I hope this information helps to clarify what I have access to.
1. They are all selling at 14% return
2. All their FICOs are 480 - 600
3. They have all put down $1k to get in the houses
4. They were all prequalified by checking their employment and the fact that before they got in the houses their rent was as high or higher than PITI
5. In Jacksonville Florida, if you were to buy a plot of land and have it approved with the city to build a 2bed/1bath house would cost you $42K + building the house .. you are buying a note for an average price of $38K AND it is a 3bed/2bath!
6. All buyers are in the houses under a contract for deed so even though they pay taxes, insurance, and repairs, if they default they can be evicted. We provide you with a company that has a physical presence there to take care of anything for you, should you need their services for a fee of course (i.e. aprox. $1500 to sell a house for you), or you can contact a local realtor who will do it for aprox. $3600 (6%).
7. Price is not negotiable
8. Notes average face value = $60K (at 8% for 30years no balloon), your discount price averages = $38K (14% return)
9. Monthly payment is $440 + taxes and insurance, all paid to you through a servicing company
10. We are the only company in the country that can sell Real Estate on a credit card! The way it works is when buying 2 notes, you can charge the 1st $25K of the 2nd note's total price on a credit card!
11. 7 day 100% money back guarantee - for any reason - Full refund of the purchase price of the note minus any payments made to buyer and title preparation fee.
12. Right now you can get them at 14%, but keep in mind that when we 1st started this program, we were selling them at 18%, then 16%, then 16 1/2%. As we keep raising the prices of Real Estate in Florida, the interest will go down. We have sold 1200+ and we have a system in place where if you were to need 100, we can get them for you. We can release them as fast or as slow as needed.
13. All notes are one to three months old because we can not keep them any longer, they are selling that fast.
14. Value comes from BPO.
Key points;
A. The beauty of this program is that PITI equals to about $600 in a neighborhood where rents are $900. These people have no reason to leave and default. You have property insurance for $40K - $45K and personal liability insurance for $1mil per property with Lloyds of London.
B. Credit Card companies don't usually allow you to charge RE. Due to our sellers business record (not his FICO, but his clean business practices and low returns), we are allowed to charge a portion of the purchase price. Not even auction.com can sell RE on a credit card!
C. Our source buys in bulk from Bank of America. Our source did not go after the bank to buy houses, the bank went to them to see if they wanted to buy houses in bulk because of their bank account!
E. 1200+ notes sold over the last 20 months, over $20 million in residential transactions (on notes only)
F. Why Florida? http://blogs.forbes.com/meghancasserly/2011/02/02/happiest-us-cities-workplace-careerbliss-survey-san-jose-silicon-valley/
