Fhemmmy:

Ummmm . . . But i would suggest that to be a different scheme entirely, cos Spyder was known for building homes and that is why people wanna be on the investment partnership, but buying land and keeping for a while is nice too, however, will advice it to be a different program from this one entirely.

Satama: Important things to remember when making an offer for a real estate investment property.

People who are already decided to buy a house try to secure a pre-approved loan to finance their chosen property. Once they get this, they proceed with the task of house hunting. Looking for the best real estate investment property can be very challenging for most people; however, this process can be extremely fun and exciting as well. After all the searching, an offer should be made for your chosen property.The offer made by the prospective buyer marks the first step in a real estate transaction. This negotiation stage usually comprise of the buyer’s offer as to how much he is willing to purchase the property, his financing terms, and property inspection contingency.

Purchase Price

There is no standard pricing to follow when it comes to investment properties. Value of houses and real estate properties vary depending on location and other relevant factors. Offer for purchase price of the best real estate investment you’ve found should be carefully weighed and thought of. To make a good price offer, keep in mind that it has to be realistic. This means you have considered the value of other houses in the vicinity and make an offer based on the current value of nearby properties. At the same time, you need to be aware of the current market trends and local conditions affecting real estate transactions.

If there is a high demand for investment properties in the area that you’ve chosen, you need to make an offer that’s competitive; this is because a lot of other buyers are possibly bidding for the same property. If you want the property badly enough, then you need to bid wisely so you can be in the forefront of the bidding war. If, however, there is very low demand for properties in the said area, bid accordingly, leaving a lot of room for future negotiations.

Financing Terms

When you’ve found the best real estate investment property, you have to specifically indicate your serious intention to acquire the property. By mentioning to the seller that you have a pre-approved loan, you are giving yourself due advantage over other interested buyers who don’t have a pre-approved loan. If your payment for the house you want to buy is dependent on the sale of your own property, you want to clearly indicate this as well. This is just fair for the property owner especially if you will keep them waiting for a certain time until you’re able to sell your own house. If this is the case, you might want to enter into an agreement that you are willing to have a particular time frame to pursue your offer. Setting a deadline will be most fair to the owner of the property that you are eyeing.

Contingencies

Lastly, the third element of a good offer is to include a contingency clause that will allow you to finalize your offer only after you’ve gained reasonable satisfaction in inspecting the property. Third party inspection reports are basically for your protection as buyer of the property. This will avoid having to spend a fortune in repairing certain faulty parts of the house which may be discovered only after the final negotiation or, worst, after you’ve paid for the property. Inspection reports will serve as your basis to demand performance of certain conditions during the negotiation process.

While these three are the basic elements of a good real estate offer, there are still other things that you can include to acquire your best real estate investment property. Closing costs, for example can be shouldered by the seller if you wish to include this as part of your concessions. If you are among those people who don’t have a pre-approved loan, disclose to the seller that you want a financing contingency. This contingency is when your purchase is dependent upon the approval of a mortgage. You should also indicate the realistic term and rate of the mortgage.

When making your purchase offer, don’t forget to indicate a deadline when you expect to receive a response from the seller. A three-day allowance would be reasonable enough. And lastly, make sure that everything is in black and white. Put everything in writing so that both parties will honor their commitments and agreements.

Spyder880, please, take your time and do more research and i pray GOD almighty will guild you and give you more wisdom on the projects ahead.

ocman: I suggest we digress into buying of lands and fencing it. This will take care of those members trying to opt out. But this should be purely for those who can wait for like 5 to 10yrs. Why do I say this? If we are able to get 20plots of land now at locations like ibeagwa nike at 600k per plot now, by 7yrs to come. We would be talking about not less than 7million per plot. A frnd of mine bought 15plots at New GRA at 200k per plot some 9yrs ago. Now he sold just 5plots at 9mill each. He is in money. Pls if we can do this for long time sake, I would prefer it. Let's think of this business in the line of getting something down for our kids and for our futuree too as fathes. It will help us a lot. The longer the time, the most relevant the assest.I dnt need quick hit a jackpot now-kinda investment that will fetch just 2mill for 10peeps to share. If we throw in 8yrs and wanna sell our investment. We will be balling. So let's do it a long time stuff and agree on it, this expunges the opt-out tendency. That is my take on this

Satama: Important things to remember when making an offer for a real estate investment property.

People who are already decided to buy a house try to secure a pre-approved loan to finance their chosen property. Once they get this, they proceed with the task of house hunting. Looking for the best real estate investment property can be very challenging for most people; however, this process can be extremely fun and exciting as well. After all the searching, an offer should be made for your chosen property.The offer made by the prospective buyer marks the first step in a real estate transaction. This negotiation stage usually comprise of the buyer’s offer as to how much he is willing to purchase the property, his financing terms, and property inspection contingency.

Purchase Price

There is no standard pricing to follow when it comes to investment properties. Value of houses and real estate properties vary depending on location and other relevant factors. Offer for purchase price of the best real estate investment you’ve found should be carefully weighed and thought of. To make a good price offer, keep in mind that it has to be realistic. This means you have considered the value of other houses in the vicinity and make an offer based on the current value of nearby properties. At the same time, you need to be aware of the current market trends and local conditions affecting real estate transactions.

If there is a high demand for investment properties in the area that you’ve chosen, you need to make an offer that’s competitive; this is because a lot of other buyers are possibly bidding for the same property. If you want the property badly enough, then you need to bid wisely so you can be in the forefront of the bidding war. If, however, there is very low demand for properties in the said area, bid accordingly, leaving a lot of room for future negotiations.

Financing Terms

When you’ve found the best real estate investment property, you have to specifically indicate your serious intention to acquire the property. By mentioning to the seller that you have a pre-approved loan, you are giving yourself due advantage over other interested buyers who don’t have a pre-approved loan. If your payment for the house you want to buy is dependent on the sale of your own property, you want to clearly indicate this as well. This is just fair for the property owner especially if you will keep them waiting for a certain time until you’re able to sell your own house. If this is the case, you might want to enter into an agreement that you are willing to have a particular time frame to pursue your offer. Setting a deadline will be most fair to the owner of the property that you are eyeing.

Contingencies

Lastly, the third element of a good offer is to include a contingency clause that will allow you to finalize your offer only after you’ve gained reasonable satisfaction in inspecting the property. Third party inspection reports are basically for your protection as buyer of the property. This will avoid having to spend a fortune in repairing certain faulty parts of the house which may be discovered only after the final negotiation or, worst, after you’ve paid for the property. Inspection reports will serve as your basis to demand performance of certain conditions during the negotiation process.

While these three are the basic elements of a good real estate offer, there are still other things that you can include to acquire your best real estate investment property. Closing costs, for example can be shouldered by the seller if you wish to include this as part of your concessions. If you are among those people who don’t have a pre-approved loan, disclose to the seller that you want a financing contingency. This contingency is when your purchase is dependent upon the approval of a mortgage. You should also indicate the realistic term and rate of the mortgage.

When making your purchase offer, don’t forget to indicate a deadline when you expect to receive a response from the seller. A three-day allowance would be reasonable enough. And lastly, make sure that everything is in black and white. Put everything in writing so that both parties will honor their commitments and agreements.

Spyder880, please, take your time and do more research and i pray GOD almighty will guild you and give you more wisdom on the projects ahead.

FLORIDACAR:


@Spider880, From above quotes it's easy to say #2million Naira Profit on every #10million Naira Investment average 9 to 10 months duration? Meaning if any investor invest #1 million Naira that person should expect about #200,000 Naira profits in 10Months .
AM I being Cynical? Absolutely not! I am more into this but I think we need those people sitting on d fence to jump in & bring more money making inputs into this. Calling on people like BayoAA, Prinx_onyx, Fhemmmy & all sharp thinking nairalander's. Spider880 did a good job bringing this up now he needs all contributions to make reality out of d dream.

prince_onx:
@Floridacar: I believe everything or almost all that need to be said/known has been laid down by lawyer. I guess am also one of those guys on the fense at least till we know how to role this project/investment. Personally, my biggest issue/concern is not even how long the house stay before it sell but like lawyer rightly said, what happen to investors money/investment/funds if anything go wrong? That take me/us back to why I suggested involving some kind of insurance company or bond on the investment but it was never commented on or considered a major factor. I also recalled suggesting adding an extra 10% to whatever amount a lot or investment cost to cover the insurance. My example was if a lot or investment amount is N500k, investors should pay N550k bearing in mind that their primary investment is only N500k and N50 apply to some kind of insurance. I hate stories when it comes to business and I supper hate losing money too which is/why I do my homework very well and if its a deal/business I consider risky (101% of naija business is as far as am concern) I will not do except somebody (insurance/bond company) somewhere is ready to pay if any unforeseen happen. All the same, I strongly still think/believe this is doable! Maybe better off with fewer investors and higher investment.

prince_onx:
@Floridacar: I believe everything or almost all that need to be said/known has been laid down by lawyer. I guess am also one of those guys on the fense at least till we know how to role this project/investment. Personally, my biggest issue/concern is not even how long the house stay before it sell but like lawyer rightly said, what happen to investors money/investment/funds if anything go wrong? That take me/us back to why I suggested involving some kind of insurance company or bond on the investment but it was never commented on or considered a major factor. I also recalled suggesting adding an extra 10% to whatever amount a lot or investment cost to cover the insurance. My example was if a lot or investment amount is N500k, investors should pay N550k bearing in mind that their primary investment is only N500k and N50 apply to some kind of insurance. I hate stories when it comes to business and I supper hate losing money too which is/why I do my homework very well and if its a deal/business I consider risky (101% of naija business is as far as am concern) I will not do except somebody (insurance/bond company) somewhere is ready to pay if any unforeseen happen. All the same, I strongly still think/believe this is doable! Maybe better off with fewer investors and higher investment.

FLORIDACAR: @prince_onx,

@Prince_onx, talking about bond /insurance take us back to my earlier suggestion page 2 on this tread. Where I talk about smart way we can invest with or at least low our risk on investment. But to my suprises spider did not include some of our early sugestion when d voting came up . It's so simple d way I suggested it back then to actually look for those that own land willing to build and go into some kind of agreement with d person . For every house that cost #10million to build provide land give us #5million deposit, we build for u then upay rest of our money back in few months or what ever time agree on. In this case bank involves should u fail to pay bank pay on your behalf then we investor walk away on hurt. Am I d only one thinking on this line?

FLORIDACAR: @Spider880, what about we look into this from another angle... Say like we build for people inform of co-perative things.
Say for example..BayoAA, is planing to build a house about 10M we go in agreement with him that HE provide the land with 5million Naira deposit,
We build and he pay us rest of money say in about 6 months or whatever we agree on. In that case we may not need to look for buyer & we can deal with many people at a time.
.....should this not clear enough expect more clarification when I get to my next stop ...

FLORIDACAR:

@Spider880, I just quoted my suggestion that I posted on page 2 again. With litle suggestion here and there I think we fan start something unique and profitable . Here are some of things that my idea can eliminate, #1, we don't need to look for land to buy as our buyer provide that. #2, No point wasting time waiting for buyer #3, most likely we already figure whats profit ratio b4 we even lift a block. #4 zoning is eliminated because buyer comes from wherever they have money ready and willing to dance to our terms of agreement. #5 amount invest is so minimal and possibility we can do more than one at time.
What am saying or looking at is that so many people thinking in the line of building houses but there are always this fear of they don't have sunk of money to sink in such project, thats were we coming in. .... As any of my readers SHOUT niche marketing yet? Lol

FLORIDACAR:

@Spider880, I just quoted my suggestion that I posted on page 2 again. With litle suggestion here and there I think we fan start something unique and profitable . Here are some of things that my idea can eliminate, #1, we don't need to look for land to buy as our buyer provide that. #2, No point wasting time waiting for buyer #3, most likely we already figure whats profit ratio b4 we even lift a block. #4 zoning is eliminated because buyer comes from wherever they have money ready and willing to dance to our terms of agreement. #5 amount invest is so minimal and possibility we can do more than one at time.
What am saying or looking at is that so many people thinking in the line of building houses but there are always this fear of they don't have sunk of money to sink in such project, thats were we coming in. .... As any of my readers SHOUT niche marketing yet? Lol

FLORIDACAR: The only problem I am still looking at with this option is this,

First the client provides land, probably has his land documents and therefore the control of the investment, we are just going to be the service providers and nothing more, what do you think will make him consider our building options in order to give us the needed profits since he can just hire the roadside bricklayers to build this same house for him?[/color]

@Spider880, Yes anyone could hire roadside bricklayers to build but can road side bricklayer provide financial assistance or use is money to complete a project? NOPE! that's where u come into d picture as investor/builder. are u asking me how u gonna make money/ I say same way u being making money from your previous project only different now is that u don't have to wait for owner to get more fund b4 u complete a project neither do u wait for him to fulfill is payment obligation. I am very sure no owner is going to give you his/her land and cash deposit and play around when they fully know u guy's have some kind of agreement.


[color=#006600]Secondly, if this client can bring in 5 million as you suggested and give us to start his project while he sources to pay the balance as we build/ after we complete the house. I have a question, what is the difference between this suggestion and what I am doing right now? You know I have been building houses for clients on their lands, with their money. If a client can buy a land and give you N5 million to build it, tell us why he should choose our cooperative/investment partnership and not any other service provider like Spyder, Brabus or Segcy moore?

Here is answer to your "secondly" question, Out of 10 projects you were consulted to do in the last 2 years i bet half of them exceeded the set out time before completion, u know why? because lack of cash either d owner run into difficulties or some other delay... IF you tell "Fhemmmy" or any of Nairalands big boyz to continue doing his car business with #5Million while u building him a Mansion with another #5million he wont say no to a deal like that.(i know i would not say no to that)lol. so what am saying is that there are so many good people that willing to buy or build but fear of putting all business money or building. its a kinda win win situation which ever way u look into it.[color=#000000][/color]

spyder880:

I don't see how this is different from providing project finance which banks and other financial institutions currently do. I am a builder and will not mix it with being a money lender, have you thought of how we get out of this if the N5m is not repaid? Everybody is not you and Fhemmmy, the larger majority of our country men may not share your integrity qualities.

What is your profit projection for this option?

FLORIDACAR:
Profit projection can be as good as same as you project on other idea u first mentioned. My only problem with your idea is that u limited you and your investors to one place that u build. What happen if no serious buyer in 18months?
You asked how to get out if buyer did not pay "" the answer is very simple Bank pay you back which i explained earlier in one of my posts.
The only part i need you to clarify is where u said "larger part of country men did not share my integrity qualities"

FLORIDACAR:

@Spider880, I just quoted my suggestion that I posted on page 2 again. With litle suggestion here and there I think we fan start something unique and profitable . Here are some of things that my idea can eliminate, #1, we don't need to look for land to buy as our buyer provide that. #2, No point wasting time waiting for buyer #3, most likely we already figure whats profit ratio b4 we even lift a block. #4 zoning is eliminated because buyer comes from wherever they have money ready and willing to dance to our terms of agreement. #5 amount invest is so minimal and possibility we can do more than one at time.
What am saying or looking at is that so many people thinking in the line of building houses but there are always this fear of they don't have sunk of money to sink in such project, thats were we coming in. .... As any of my readers SHOUT niche marketing yet? Lol

FLORIDACAR: @spider880, It was over a month ago(pricesllly Feb 8th) when I first sold this idea to you but u missed my point. I was on a transit waiting for my next flight i couldnt type as much but I asked if u need me explain more better when I get to my next stop ...I am ready to put my money where my mouth is.. I know this gonna work and I am not shame to partner with you big time on this . If bank buying cars for people to tune of 7 million or more in Nigeria and it works , why not this?
Let us change the way we think, the way we work, way we reason and do something big. You may not be Bill gate of this world or Mark zuckerberg. But you are kenneths spider880. Yes you can. You have it in you an ability to build a nice house with cost saving that majority of Nigeria population looking for right now. Don't let me be one to tell you that you have a work to do and start doing it now. Take it to next level spider, you've got it in you the world can know longer wait for you. The time is now and let it start from here spider880!

If any one ready to partner with Spider880 on this my suggestion u should pls click like on this post and let get this started!!!

FLORIDACAR:

Here is answer to your "secondly" question, Out of 10 projects you were consulted to do in the last 2 years i bet half of them exceeded the set out time before completion, u know why? because lack of cash either d owner run into difficulties or some other delay... IF you tell "Fhemmmy" or any of Nairalands big boyz to continue doing his car business with #5Million while u building him a Mansion with another #5million he wont say no to a deal like that.(i know i would not say no to that)lol. so what am saying is that there are so many good people that willing to buy or build but fear of putting all business money or building. its a kinda win win situation which ever way u look into it.

Fhemmmy:

Wonderful concept BUT we have to make sure it is well fine tuned to make sure payment is made within the specific period of time, but here is a question for you, Sir . . . If we give the buyer 5 months to make all payment and come 5 months, he is missing payment, what happened, do we take our house of his land, do we seize everything or what will be the term, but i am so much in love with this concept.

FLORIDACAR:

@Fhemmmy, I expect a kind of an agreement with CLAUSEs in it that clearly state mode of payments & DURATION. Should owner fail to pay couple of things could happen either owner approach bank for a short loans or we approach bank on his behalf.