Private Real Estate Investment Opportunity
If you are looking to earn more than your bank can possibly offer – you stopped in a right place. 9-12% APR is what we offer to private lenders in a return.
The ultimate goal of Real Estate Investor is to find a perfect combination of talent, security, integrity, profitability and someone who can be trusted. That’s what we her for. We are team of ultimate professionals who knows real estate business like no other. We are trusted, bonded, insured, licensed. We are eager to earn and keep earning. And we will deliver.
We offer YOU opportunity to earn 4-5 times more a year than your bank can do for you. Your cash invested in High Quality Single Family Development Projects in one of the prosperous areas in United States –
Silicon Valley – San Francisco Bay Area, California
There are many different opportunities to invest: Stocks, Bonds, Hi-tech startups, however up to the date Real Estate is the safest investment of all. World population is growing, amount of places where people can live, work, raise kids safely, get access to good education are limited on a planet. Silicon Valley is one of the unique places on Earth, that on top of these benefits offers climate of the heaven, comfort of the big city and feel of the village.
Housing market in San Francisco Bay Area is still strong without any signs of weakness. The city governments are liberal to new construction and quickly approves creative architectural designs. There are many homes in the area that were built in 1950’s and many affluent people choose to leave towns with very limited supply of new quality homes. The older homes require complete teardown, floor area expansion and remodeling, which in a long run will provide many opportunities for investment. Demand on newly constructed or remodeled homes is always strong in any economy as neighborhoods like Palo Alto, Cupertino, Saratoga, Los Gatos are highly desirable due to excellent school districts, high paid jobs and proximity to work.
We start with property site selection in search of a perfect spec home by a broker Mike Khesin who we have on board, we provide full spectrum of services needed for project completion. Initial design and architectural plans, continues with city planning review, complete structural and civil engineering, building department approval process, demolition, grading and excavation, construction, landscaping, interior design and green points design and implementation, seamless support for each step without costly delays by General Contractor – Ilya Fedulov.
We constantly searching for new development opportunities. It could be existing home that can be completely remodeled, tear-downs, potential 1 and 2 story additions, empty lots for new home construction. Sources are different, from MLS to off market deals. We work with few top RE agents in our area, who are supplying us with good potentials, and selling for us completed homes.
When we see a good deal, then we quickly explore build and sale options, calculate possible expenses and profit, estimate time schedule for development and construction processes. If numbers work – business plan will be prepared. Then we need pour in cash to acquire a property.
And why cash? In order to secure a deal in multiple offer situation, which is always a case – cash is a requirement. Ability to buy these properties for cash versus obtaining financing allows us to be more competitive among other buyers on a market and achieve quick close on a transaction.To purchase properties quicker, get best deals, quickly convert them into attractive single-family residences and turn them around for a quick sale – cash is necessity.
Development process will start with lightning fast architectural design and planning department approval within couple of months in average. We do work in all cities of the Bay Area and we do it ourselves using our own architectural design team. Following are the structural calculations and construction documentation.
Construction cost is always known from the architectural design stage, as we are building our projects ourselves, and we are best at it and calculate cost precisely.With Company as ours, that deals with both design and building aspects, budget is solid and rarely affected by any unforeseen circumstances.
Most of the projects we get involved in are sold within 1st open house, few of them got sold before even completion. We know exactly what to build and what level of quality needed to achieve maximum profit and fast return on investment.
Proven record of profit sharing with investors. Our private equity strategies originate from decades of experience with a client-focused mindset, as we work to generate appropriate overall returns without exceeding our clients’ portfolio risk tolerance. Our clients always in control of the project cost, budget and schedule. Therefore profit is no “surprise”, but known in advance.
For average tear-down project we will need around $1,5 M to acquire a property. $300-500K to renovate and house will be sold for $2.2 – 2.5M. This typical project will take about 12-14 months to develop and build and assume another 1 months to get it sold. Investors profit share is $180 – 240K depending on a project, excluding any government taxes. Investing $500K your profit can be as much as $60K. Will anything else will make that much legally? High tech startups potentially could earn double of what Real Estate can, but the amount of risk is 10 times higher.
– Will the loan be secured against the property?
– Naturally it will be. All loans are secured by the property. We constructed few different type of deals for investors:
– Straight note
– Promissory note
– Investment agreement
– Construction loan agreement
– Venture agreement
Progress Builders is NOT novice in this business, we have proven record of the successfully completed projects with excellent profit and happy investors.
Case #1: Sylvian way, Los Altos, Ca
|Before: 3 bedrooms/1 bathroom single-family home. Total – 1 ,684 sq.ft. Value – $1,34M||After: 4 bedroom/ 2-1/2 bathroom single-family home. Total 3,242 sq.ft. New value – $2.4M|
Case #2: Sylvian way, Los Altos, Ca
|Before: 2 bedrooms/1 bathroom single-family home. 1,623 sq.ft. Value $1,52M||After: 4 bedroom/4 ½ bathroom 3200 sq.ft. Cost of construction $800K Value $3.1M|
Case #2: Manor Way, Los Altos, Ca
|Before: 3 Bedroom/2 bathroom. 1,644 sq.ft. Purchased $1.33M||After: 4 bedroom/3 ½ bathrooms 3,075 sq.ft Cost of construction $450K. Value –$2.5M|
We know where to buy, what to build and how much it will be sold for.
No extra management costs or extra fees and no uncertainties.
Ilya Fedulov – Company’s founder, General Contractor, has 20 years of experience in construction and development business.
Pavel Kantor – 10 years of construction management, field and office stuff supervision at custom home construction in San Francisco Bay Area.
Mike Khesin – 20 years of experience in managing residential/commercial real estate sales, property management and mortgage loan origination.
Company made it through recent economy financial crisis without losses and always had plenty of active projects, as all of our customers continued to provide referrals to our prospective investors. During the past few years, we were able to maintain positive cash flow, excellent quality of construction, develop some new approaches to make our business more efficient, and improve our profit margins.
|Ilya Fedulov – Head of RE Development||Pavel Kantor – Construction Supervisor||Mike Khesin – RE Broker and agent|
– Private Lenders with investments starting at $100K.
– Home Owners with existing property ready to be developed for sale.