Prairie Estates Subdivision

[Ben Baye]

Investment Info:

Other other investment in Cameron.

Purchase price: $300,000
Cash invested: $15,000

Combination of 12 lots: 7 - 1/4 acre single family, 3 - 1/2 acre single family, 2 - R3 lots.
Sold the 2 - R3 lots and 1 - 1/2 acre single family lot.
Just listed a couple new plans and have several more in the works, hoping to start building and selling specs this summer.

What made you interested in investing in this type of deal?

I enjoy planning and building spec homes.

How did you find this deal and how did you negotiate it?

I bought a lot from the owner of the subdivision. He is an older gentleman and wanted out of this, which was his last investment property, as his wife's health is in decline. We discussed price and terms.

How did you finance this deal?

Land contract

How did you add value to the deal?

Working on it, but building specs

What was the outcome?

In process

Lessons learned? Challenges?

Don't buy a subdivision using lending, pay cash. Lending on the specs is different as if they don't sell you can rent them and cashflow.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

TM Title