@Patrick Bavaro
Thank you for the clarification to your post about timeline. I can assure you that all surveys, permits, etc. have been scheduled with a timely manner & are in progress. It just takes some time unfortunately. Every builder is experiencing this, especially in areas where there is a lot of building happening due to housing demands. Unfortunately we are at the mercy of the government to issue permits. Thank you for your patience as this progresses through the normal steps of construction, and we will continue to keep you updated.
Here are a few clarification points to clarify based on our post to ensure anyone reading this fully understands expectations.
-Yes, the build likely will take a year. Permitting being the big variable, which is outside of everyone's control. We've seen this take up to 4 months. Surveys and permits are ordered immediately upfront before your loan even closes to expedite this process as much as possible. I know Brad clarified this with you today.
-We are partnered with the builder. I have a large LOC out with Lima One as we are actively involved on the build side ourselves. The model you are building is exclusive to our clients, and we have committed to a certain number with the builder allowing you to achieve the below market pricing that you did. That would not be possible otherwise.
-Brad is a land broker that assists with acquiring lots. That is his role. He can also assist with the retail sale of the home if you decide to sell the home upon completion. He is part of one specific building team we work with.
This is most definitely a waiting game as with most new construction. Yes, it takes some time, but we all know that going into it. I think it would make more sense to see evaluate if you would do it again once the build is actually completed, the home is rented out & you are able to see what kind of immediate equity you have available. That will allow you to see the process start to finish. Someone that is doing multiple builds with us & is further along in the process to speak with would be @Trevor Fleck.
Please just understand building takes time, and there are many steps involved. I think you will be very successful in your build & be very happy you decided to participate in new construction in this area. Just to give you more insight, this same 4/2 model we were advertising a year ago we anticipated rent to be $1,850 along with about $20k of immediate equity. Now that these are actually getting completed we are seeing them actually rent out for $2,200 to $2,300, and have roughly $50k+ of immediate equity due to the housing demand/market conditions. We way over delivered on those properties from what was initially projected & those investors are in a very solid position! Yes, there will be small issues with builder delays, communication, etc. I think when it's all said and done when you evaluate the performance of the investment it will be hard to argue it wasn't worth it. I have been investing across the country professionally for over 10 years now. I have not come across a new construction scenario that compares to what we are seeing currently in SWFL. I am most definitely not aware of any new construction under $300k that has this type of opportunity right now.
@Don M. Feel free to reach out directly with any specific questions you have, and we are happy to walk you through the process whenever you are ready to take the next steps on new construction.
