- Published: Wednesday, 16 October 2013 00:00
- Written by Sean Summerville
[CASE STUDY] 100k Profit, Two Houses in 10 Months.
In this post I am covering the following...
- How Boris makes $100,000 in a deal.
- Win-Win in property and How to get your Deposit Money Back.
- You don't have to Screw Everyone Over with Property deals. That was for the Old Days...
People love a success story and here is another one. Checkout this new great Case Study from one of our team members from our last Closed Door workshop back in September. Boris has produced some Awesome Results and this another one for you to see. Two houses sided by side. By themselves they look nice but combined into the one deal and Cha-Ching...you have property investing on steroids.
The Huge Plus Side of this deal is, $100,000 profit in 10 months with all your deposit money being refunded back to you. How good is that. This is an absolutely brilliant strategy.
The suburb is Parramatta in Sydney. Two normal houses side by. Alone they are they are all there money. The Win-Win in this deal is that the owners of the two properties get their asking price.
No negotiation or argument over the asking price, just give them the price they have asked for and your profit...$100,000
The Key to this deal:
- Simplicity of transaction.
- Securing two blocks of land with the local zoning permitting apartments.
- Getting a survey report that gives the architects option.
- Do not get a D.A. approval. There is simply No Need. Many novice developers do this. It can cost too much money and take too much time.
- The site is located in a very good location with uninterrupted park views.
- The size of the development is very attractive to large number of buyers and developers.
- Our report indicates that the land suitable for at least 18 units and has further potential in the future.
- Use a single piece of paper that allows you to get your deposit money back when the deal is completed.
Read more of Boris's Success Stories below...
It is in Asquith, only 26kms from the Sydney CBD. There are 2 houses side by side that show great development potential. Now before you say you are not a developer and don’t have the skills to develop these blocks…Think Again…
You do not have to be a developer to make 150k from this transaction, all you need is the ability to identify the blocks of landor in this case, 2 houses side by side and on sell them to someone else for a great profit.
A survey report indicated that these 2 properties combined allowed for a unit development of between 22 to 24 units. The next step is you check with the Architect to gauge his thoughts…and guess what…He agreed, in his opinion, it was a Gold Mine! Cha-Ching…the deal was set in place.
The value of these properties were $1,900,000 but guess what? You don’t have to buy them to on sell the property. You simply use a property option on these properties for a fraction of the price which greatly limits your risk. It is All about Risk Minimisation.
The biggest upside to this development, is that the blocks were very attractive to buyers and developers because of the size. You could buy both of these houses and just hold on to them yourself to develop in the future. The flip side to that is developers are ‘Screaming’ to find blocks of land like this but don’t have the time to find them.
Enter the ‘Property Collector’. These are the people (Like you) who can see the potential and then on sell a property or in this case, houses to a third party. Now our Property Collector was happy to sell at this point for a 150k profit.
This deal had so much potential because the 2 properties were great properties by themselves. The big upside for the new purchaser was the adjoining block on the corner was Land Locked. It was owned by the Government and they were considering selling.
The buyer then has the ability to substantially increase his profit if the Government sells the Land Locked property. This is called leaving something in the deal for the next person. The decision was still pending but doesn’t matter as everyone has already made their profit.
Chunks of Cash like 150k in 8 Months can make all the difference to your Cash Flow and is a great way to eliminate debt...Sean Summerville.