Real Estate
Real Estate
I have been involved recently in real estate in buying, rehabbing and selling single-family residences in the North and East Dallas areas, and in the Lake Ray Hubbard area of East Dallas County and Rockwall County ( I currently live in Rockwall).
My company is Sherwood Realty LLC. It has a dba Sherwood Financial Services.
My real estate website shows several of the properties I’ve done through 2010. I have two that sold in 2011 that aren’t shown on the website. The website also explains the two different ways that I can appeal to an investor these days that is looking to put his money somewhere besides the losing roller coaster that is the Stock Market.
The first way is I can borrow the money at a very good rate of interest, say, 10%, with an additional point (1%) up front on the loan. The lender would place a first lien on the property, the same as any lender. I will do all the rest of the work. I find the property, put the proposal together, review it with the investor, and then I pull the trigger. I supervise the rehab, I market the property, and then repay the principal to the investor at closing. During the process I can either pay interest only, or I can accrue the interest. I take most of the risk on the deal, and do all of the work.
The second way is the investor and I can buy the property as partners. Here, we both share the risk. I still do all the work, as I described above. But now the investor can share in the profits, which could be substantially higher than the interest rate shown in the lending option above. But, since he shares the risk, he could split a smaller profit than projected, or a possible loss on the sale of the property, if some unforseen problem occurs. The partnership option provides a chance for a higher rate of return over the lending option, but it also presents a risk of a loss.
Both of these options are described in greater detail at that website, so go check it out there if you’re interested in either lending or partnering with me on my next deal!
Again, the website is www.sherwoodrealtyllc.com.
Thanks!
Mark
