Bulk Foreclosure Opportunity

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Bulk Foreclosure Opportunity Presented by
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FORECLOSURES
REAL ESTATE MELT DOWN
Real Estate IntelligenceOpen Season For
Foreclosure Hunting!by Joshua Lipton,
Foreclosure fire sale Cashing in! Millions of
strapped homeowners are desperate to sell. Is
this the time to get in?. By Stephen Gandel,
Money Magazine
Crime scene foreclosure! Cleveland's mortgage
meltdown has sparked a crime wave in the nation's
hardest hit area for troubled homeowners By
Les Christie, CNNMoney.com staff writer
Foreclosed Homes. By MICHELLE LOCKE
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MORTGAGE TROUBLE
MORTGAGE MELT DOWN
Dollar Falls Against Yen On Subprime Fears
July 24, 2007Traders in Asia are concerned that
America's mortgage troubles will infect the
broader economy.
Debt markets Big threat to the buyout boom
Subprime problems at Bear Stearns funds spark
broad reassessment of risk investors eyeing big
bond deals. By Grace Wong, CNNMoney.com
Caught in a toxic mortgage? Meet the Olivers
good credit and low risk. So why are they in
danger of losing their home? How to get deep
in mortgage trouble in one hard lesson. By Les
Christie, CNNMoney.com
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Overview of the Foreclosure Process

• Original owner
• Bank very interested in helping correct problem
• Court House Auction
• Real estate market through typical avenues
• 0.50 to 0.70 on the dollar auctions (pick
  choose)
• Our Auctions 0.20 to 0.30 on the dollar
• Where are these properties? Why?

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The Bulk Buy Process

• We are offered a Batch of foreclosures from the
  auction house
• We buy Sight Unseen and As Is
• We clean the title and remove any and all
  encumbrances.
• Issue you or your Entity Title with Title
  insurance
• We inspect the property Insure its sale-ability
• You will receive a Warrantee Deed

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The Bulk Buy Process

• Property management company goes to work getting
  a new buyer
• Buyers are qualified from future Mortgage Note
  buyer
• Property is sold to qualified buyer on an As
  Is basis. (Est. 60 to 120 days)
• The Property produces a lucrative monthly
  cash-flow (Great cash on cash
  return)
• The Mortgage Note is seasoned and then can be
  sold if desired
  (Est. 9 - 12 Months)
• Once the Mortgage Note is sold you The Investor
  are paid and no longer involved.

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The Bulk Buy Process
What IF

• Understanding You are investing in Real Estate,
  Investing is speculating, we always plan ahead
  and try to anticipate each scenario

• What if I get a home that is un-livable?
• What if my buyer stops making their monthly
  mortgage payment?...Eviction???
• I want to keep my monthly residual, and dont
  want to sell the Note?

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Actual Examples

• 218 2nd Ave Beaver Falls, PA
  15010
• 2 Bed, 1 Bath, working class neighborhood
• Kitchen has good cabinets, walls are sheet rock
  fair condition
• Good hot water heater, new furnace with new duct
  work
• Est. Market Value 50K

• 600 Down, 400 month
• Note Price 46,000 _at_ 10 Interest

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Actual Examples

• 602 N Falls
  St Gastonia, NC 28052
• 2 Bed, 1 Bath, working class neighborhood
• Kitchen has good cabinets, walls are sheet rock
• Good hot water heater, place for two fire places
  although both have been removed
• Est. Market Value 71K

• 600 Down, 420 month
• Note Price 48,000 _at_10 Interest

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Actual Examples

• 13710 Durkee Ave
  Cleveland, OH 44105
• 2 Story 2 Bed, 1 1/2 Bath
• Kitchen has appliances missing, ceiling good
  shape although its missing one or two tiles
• Good hot water heater and furnace, very good
  roof, shingles look new
• Est. Market Value 87K

• 500 Down, 380 month
• Note Price 45,000
• 10 Interest

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Actual Examples

• 3 Bed, 1 Bath
• 2 trees fell on it during Katrina
• Black Mold everywhere
• Unlivable
• Fire Dept Practice
• Exchanged property for Investor We take this one
  back, the investor gets a new property!

• Papa Lane Carriere, Mississippi

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The Bulk Buy Process
Exit Strategies

• Our System Sell the Note
• Hold for positive cash flow
• Sell quick to local cash investor
• Fix and flip (you have the tiger by the tail)

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The Bulk Buy Process
Funds Est.

• Monthly Payment Est. 380 (Less 10 Management
  Fee 342)
• 12 Months of payments Est. 4,104
• Sell of Note Est. 29,250 (Less 3 Management
  Fee 27,900)
• Total Profit Est. 32,504

These values are accomplished using several
assumptions. As an investor you must be willing
to risk these time lines may taking longer, and
the values may be different.
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Bulk Foreclosure Opportunity Presented by