We are doing deals on luxury homes, and a big part of our model is to pay ourselves a little up front and put 6 to 12 months runway in an account or keep it in escrow.

I have friends that have been doing the luxury market for 30 years.

i think the numbers in this post for construction are really low... its def not 200 a sqft, the poster that said 350 is prob more spot on.... i looked a project where the house was just off ventura in studio city yet facing it, the next door house was capecod new build sold for 2.3m i think and the nextdoor lot was thesame size for sale 950k-990k i forgot where it closed...long story short at a min you need 3000 sqft for those homes and at a 300 build thats at least 900k if you are lucky...you need much higher quality finishes and products to command that market esp in the valley, and a pool at least will cost 150k...so long story short, the margins might be decent to make like 200-300k but the risk is far greater.. if that luxury mkt softens a 10% drop in price on a 2m house is a lot of money whereas a 10% drop in price on a say 600k flip is only 60k

Vega currently manages a fund that specializes in luxury remodels within urban revitalized areas within various markets nationally.  

There are 4 major luxury apartment buildings scheduled to be completed by next year, along with a new Costco.

Could you discuss in terms of what type of real estate were effected most (For example luxury homes versus single family vs condos vs plexes) B) Can anyone forecast the BC market in the next 3 and 10 years.

There may be MI but you have the ability to customize it and possibly not pay as many as with 203k- you do not need equity at the time of initiating or applying for a refinancing (assumes you own the property already) vs a FHA 203k you need min 2.25% equity - flexibility of primary/investment/second homes and rehab financing vs only primary with FHA- less restrictions on what type of upgrades you do like luxury items are less restricted and attached ADU (accessory dwelling units) are ok since some people like to build in law quarters and such while 203k will have severe restrictions on theseSome downsides on home style are:- your rehab cannot exceed 50% of your ARV value (determined by your appraisal). - can only have 4 financed properties (may be an over lay but I've always seen this)- min down is 5% vs 3.5% with FHA- FHA 203k is not capped for rehab budget like home style with its 50% of ARV cap

Just keep your price point mid range so in a crash your not trying to rent LUXURY rentals

Hello, In Monaco (Europe), I found wonderful house, not far away from marina with luxury yachts, and the house is on market to be sold for relatively cheap price ( *** ) comparing to what potential buyer could get in return.

We bought a house in July of last year.  It was built in 1980, and was in 'fair' condition.  We bought it for $290k, where most 'similar' homes in the neighborhood (Manassas, 20112)  that have been updated sell for $3...