Forced Equity

Multi-State Forced Equity ^*

Program	Pay Off	$ Down	Time-Frame	Costs	Requirements	Other
Residential
Texas Equity	$11,500	$1,500	Should be less than one year.	No negative cash flow. Potential positive cash flow.	680 credit score. $5,000-10,000 in reserve.	New homes with tenant/buyer in place. $1,500 returned after closing. $10,000 pay off when tenant buys home. Tenant's credit repair is part of program.
CA Hold & Sell	50% of profit.	Nothing	12 to 16 months.	Partner covers any negative cash flow.	640 credit score. Other as required by bank.	1% returned after closing.
FL Rehab	50% of profit.	0% to 5%	Rehab time varies.	Partners cover carrying costs and rehab costs.	640 credit score. Financial ability to mortgage property between $400,000 and 1 M.	High end rehab. Goal pay off for investor is 10% of purchase price; i.e., $40,000 to $100,000.
Multi-State Forced Equity	Property at 80% LTV¹	about $5000	Intended for investors to hold property at least a year.	Utilities, taxes, insurance, etc.	680 credit score, investment experience, sufficient cash reserves.	90-day hard money loan is part of program. You must refinance after rehab is completed. Rehab costs are included in purchase price.
Investor Partners: Nationwide	50% of the profit	See "costs"	45-day contracts.	$179 plus work-related expenses and advertising costs.	Knowledge of real estate investing, willingness to work, entrepreneurial spirit.	Find the investment property and help with the marketing; reap 50% of the profit. We need people in EVERY market.
Commercial
Commercial: Property Scout	3% of profit.	Less than $100.	Varies.	Less than $100.	Study the course...material covered by the program cost.	This is an off-site program over which I have no control. However, the company teaches you the skills you need and then funds the projects. You buy no real estate with this program.

Multi-State Forced Equity (Rehab)

This program operates in Philadelphia, Pittsburgh, Atlanta, Baltimore, and Kansas City. "Forced Equity" is any method by which the value of the property is increased through as opposed to waiting for market values to increase. The forced-equity model used here is the rehabilitation which is an average of a $30,000 - $40,000 scope of work.

The process:

1. Pre-Approval: Investors must get pre-approved with a national lender who will in the end issue a simple term-rate refinance on the property.

2. Selection: Investor picks a property from available program inventory and goes under-contract with $5,000 Down.

3. Hard Money: the Program issues a temporary hard money loan to the transaction in order to transfer title into your name. Investor now owns the property.

4. Rehab: Property undergoes rehabilitation

5. Refinance: The national lender orders the final appraisal and refinances you out of the temporary hard-money loan into a more conventional loan at 80% LTV, leaving you 20% Built-in Equity.

*Note: Program details may change. Must Qualify. Contact us for more information.

Multi-State Forced Equity *

Multi-State Forced Equity ^*