Topic: RentalStarter - A Midwest Real Estate Investment Company - page 28. (Read 120494 times)

I am sorry the info is not up to date been working, my website is not that great but it really does not get used. So no point in sinking money in a site that does not get used often.

I will tell you a little about myself
Been Working with Real Estate investors since 2005, opening my first business painting and fixing rentals for Coldwell Banker. I worked with one investor that had over 75 rentals between him and his father learning the tips and tricks of producing cash flow properties.
After the economy tanked I started working a sales job, while still dabbling in real estate doing a couple of whole sale deals and mostly bird dogging for other investors.
The last 2 years I have working with a investor that lived in Maryland, due to his job "he is a FBI agent" he could not oversee rehabs, so I took over the role of project manger. He retired and is now doign it himself, that is why I stopped working for him.
I have been through the NC Real estate course, and passed it with out having to retake it. "75% of my class had failed it at least 1 time before" Have had my credit and background check cleared by the state just waiting to take the State exam should be this summer sometime.



Some things I bring to the table
Real Estate Investing experience and knowledge in the area's of
Wholesaling
Subject to
Staying on budget
ARV targeting
Distressed property finding
Absent owner tracking
Notice of Default searches
Project management
And of course why I am here Creative Real Estate Financing

The last property I wholesaled to the investor then manged the rehab, pulled 5k on the whole sale the was paid to manage the project.
Paid 74,500 + 5000 dollar whole salefee, we put 15,375 into renovations, we also gave the home buyers a rebel home warranty and a playground. House sold for 124,000
The investor cleared over 30k on this property.
http://www.zillow.com/homedetails/208-Spring-Dr-Jacksonville-NC-28540/51551785_zpid/

Great to see of an acquisition and things expanding. But what does it mean for RentalStarter?

Will the management be combined? Will funds be shared? Is it a full-on takeover/buyout or a merger?

I would tend to agree.

Their website is terrible: http://encinvesmentproperty.com

Link to CryptoREI's thread.

Haven't yet read the thread and business plan in full, but I don't see much info on the owner, nor on his experience in the field. And the whole proposal looks hastily and sloppily put together.

RentalStarter is proud to announce the acquisition of CREI (CryptoREI).

After deliberation, proposal reviews, the management of RentalStarter has felt that aquiring CREI was the right decision for the company. This acquisition will help us diversify the RentalStarter portfolio significantly by adding North Carolina to our portfolio of locations. We feel that the management team in place for CREI is solid and will produce solid returns for our current and future investors.

To fund this acquisition, and the purchase of more properties out of our Ohio location, we will be starting the second round of funding on Monday, March the 31st. We will be offering shares at .0075 per share. This price is to reflect the drop in USD:BTC and will further solidify investment from early adopters. We are very excited about the future for RS and believe we will continue to produce solid gains for our investors.

Verbiage additions :


Default

The business will be considered to be in default after 3 consecutive dividend periods (Assuming monthly div payments) are missed OR a total of 6 dividend periods are missed over a 9 month consecutive period.

Should default occur, liquidation of the company's assets (The property) shall be required. The shareholders may either choose to appoint an agent in charge of liquidation, or shall mandate the asset issuer to liquidate all assets. All net proceeds shall be dispersed to the shareholders with no regard for the previous equity split. Should the entire USD amount of investments be recouped by shareholders, issuer may be eligible to receive a maximum of 5% of net equity value AFTER all original investment is paid back to shareholders. The remaining equity value shall be passed on to shareholders on a per-share basis.

Example :

3/25/2014 Total utilized investment (Approx) - $300,000
Liquidation value of properties (Less 15% equity loss due to distressed sale, 6% commissions to selling brokers, 3% Tax & title fees) - $361,000

Total paid to investors - $357,950
Total paid to issuer - $18,050


The additional verbiage to be added to the contract (To clear up lump-sum, one-time dividend disbursements).

All one-time dividend payments to share holders shall be 40% of net income of business. A one time income shall be any non-rent or income from notes issued by RentalStarter. Such incomes would be proceeds from the sale of flips, land contract fees, rent-to-own fees or other *special* incomes.

This clears up the profit splits on all large income streams that aren't derived from rent. As it stands now the shareholders would get only 30% from such ventures, in this event it's increased to 40% with no factors for time/seasoning.

They've already indicated to me that they're ok with it.

Even with a lowball offer, we don't have enough cash onhand to do it, we'll have to make the offer right after the start of the 2nd round.

Also, Union has been rented out @ $350/mo.

Additionally tomorrow I'll be releasing on the upgraded/revised contract covering the dissolution/liquidation of the company in the event of default and lots of BIG news about what's on the platter for next month.

Is it worth it to throw a low ball offer for it and see if they take it?

Got yet another call asking us to please buy the apartment complex on Main street. We don't have quite the capital to swing it at this second but are pretty close, might buy it from round #2.

I realized this morning I never came up with the verbiage. I'll work on this today as I want to add a few other clauses in the contract to make it healthier.

I'll update first page & HL contract when I get this done.

Hi Branny, any updates on this?

Excellent! Good to hear.

Any timeframe for the next round of funding via Havelock?

Oddly enough the bank emailed me all the closing docs on E Mill today and I ran down to the bank to wire them the funds, So, E mill is now ours.

Rehab I think will begin tomorrow. Will get some video set up of the property. East Mill, like Mulberry and the cottage on Union all have interior video so I can put together before/after videos of the process.

There should be a link in the business plan to the spreadsheet I've already set up with properties & figures. Additionally on the past newsletters I've sent out, I have included the link again. If you can't find it just message me on here and I'll send you a link to the spreadsheet.

Closed on Mulberry , bank is supposed to let us close on Mill today but i haven't got a HUD yet from them. They're making me very mad.

Scioto is under contract and I've got a distressed seller who owns a duplex literally right next to it, they want $27k without me even talking them down yet. If we can get it for say $35k or less repaired I'll go with it.

Sellers accepted the contract on Scioto at $39.9k with us getting around $1200-$1500 back at closing due to deposits & rent credits.

I've got some exterior photos on my cellphone that are sync'ing with my dropbox account very slowly. I'll update this post with photos when they're done.

4br/2ba per side, almost 3,200sf.

coolio. would be nice to see some pics 

We will be submitting an offer for a second duplex in Chillicothe today. Looks good as far as things are concerned - $1300/mo in income off a $39,900 property. In a sketchy neighborhood but the area is on the upswing which is where we want to be .

Mulberry was delayed due to the bank either dragging their feet or being otherwise slow.

We have 2 guys that do repairs, each property escrows $75/mo to pay the workers. The workers are paid on a per-repair basis, when we go in and rehab a property we fix everything that needs fixed, so for the most part it will take 2-3 years before anything sizable breaks.

Through property #5 we're setting back a total of about $450 per month in repair escrows.