FLIPHOUSE INDUSTRIES

This business will create a unique way to do property rental and sales. The business will utilize a guaranteed offer program to home sellers. Once they accept our offer we will remodel the house to keep operating costs low and net income at or above the market rate. After 3-5 years we need to have acquired 50% of the homes we will rent out. Within this time we will have proven low operating and vacancy rates. Our NOI will reflect a stable company which ownes 25-50 houses gaining appreciation. Now investment for phase 2 will begin. This phase may involve my grandpas land development company. PHASE 2  involves building/buying townhouses in the suburbs of Minnesota or Texas.  These townhouses will establish a link to phase 1 by providing a home seller to our ready to move in rentals offering a quick and convenient alternative to the seller. We could offer the first 6 months of rent for free to a seller, we could rent units to the sellers below market rate for the first 2 years . House acquisitions will target retirees with homes that are meant for families.  We will advertise 6 months free rent in a maintenance free senior living gated townhouse community. Once the 100 unit senior living section is complete our assets will have doubled in count from 50 to 100 homes and 100 senior living units.  So by year 10 we will sell all homes and 1031 exchange the townhomes to defer some sales tax. The final phase  may target opertunity zones or involve a loan this 10 year phase will consolidate our assets into a 200 unit apartment building . We have to 
buy an existin  property atleast 200+ units in Texas preferably in Houston, Dallas/FortWorth, Corpus Christie, possibly San Antonio .  . So after 20 years we will sell this property and we will then start to enjoy retirement. 


Not related
Some info on my knowledge on apartments and land development/ real-estate.
I work at summergate for 7 years 3 years in the minnesota corporate office 3.  years in Georgia  1 year supervisor of construction contracting on a 10 million 300 house development project in Lakeville MN near Dodds and cedar.
Apartments and rentals in my mind are the recession proof appreciated income drivers that could really make huge money if operated right. The key is to renovate an existing property to  reach top market rent within the second year of ownership.  When you reach this level keeping an occupancy level around 90%-95% is a must. This will give you an ability to keep the units as liquid as cash. Once this is performing at top level you use the monthly revenue to produce amenities and then It is time to reduce workforce. 100 units need 1.5 maintenance person, 1 grounds keeper, 1 office secretary and hubspot with automation. Everything  for the bulk of it will be done in house with these 3.5 employees. Maintenance and  groundskeeper should live on-site. Manager within 5 miles. Offer reduced wages in exchange for no rent no utilities and free wifi or cable there choice, give the groundsmen  a work truck because he will also be driving to get materials for the maintenance man. The manager must be at least 45 preferably a women who is married. Buy all the tools and bulk items for the complex and buy a shipping container for tool and material storage. Offer the kids in the complex a chance to redeem garbage cleaned up for cash. And when a lease is up offer a new appliance package or upgrade a light to a fan the rule is always leave an existing tenants home unrenovated so when the lease is up you can try and lock them in with an upgrade, don't charge them full rent for a non renovated rental. When the lease is up offer to renovate some but not all. We will never in our life time be able to produce an apartment with the same number of units at a similar cost. 
I had co-star for 2 years and acquired 30,000 apartment investors/companies contact info up until last year I was in regular email  contact with them. I have 3 years of experience in apartment acquisitions. I served as  manager in a 115 unit apartment building before that I remodeled every unit most projects were completed by me alone. I used flooring and countertop subs. I did all bathrooms from ground up.  We raised rent 400 dollars within 1.5 years we bought the property for $3.2 million in Morrow near South Atlanta after 3 years we sold the complex for 6.4 million. I moved back to Minnesota and learned how to find and acquire apartment buildings. I used costar daily and was able to negotiate sales and quickly learned methods to recieve t12's profit loss statements, rent rolls. I would then calculate a CAP rate once I found the true NOI. With these numbers and information I would contact a buyers group I established whilst finding the sellers. I would then match potential properties with investors and if the sale went through I would charge a 1.5-3% "finders fee" we had an agreement signed stopping p2p deals behind or backs. All contact was done by us through us if you don't want to invest in my apartment plan maybe we could start a business modeled after the one i briefly discussed. 
CONNECT AN APARTMENT  SELLER TO A BUYER AND CHARGE A FINDERS FEE. IT IS LEAGAL and requires NO LISCENSE. I use to target an are once I found a seller with a decent cap rate (6.5-13%) I would instantly locate portfolios of neighboring complexes and contact the owners my logic was that the must like the area and  consolidating a workforce between 2 properties is very cost effective. It is surprising how unconnected property owners are. All potential apartment sales we considered "off-market" listings that we held exclusive rights to the supporting sales information. I charged a flat fee to the buyers group, and only sent info when a buyer requested it specifically. The fee was based off of how many areas they were interested in. I was also looking to created a 1031 exchange website that would store property info on a building owned for 10 years or more. Hubspot was my tool for organizing and automating data I received. I was also thinking of starting a calling campaign to try and artificially cause a sell off in an area by using false flags to stir the property owners into selling. I would like to run negative adds