OPPORTUNITY : FLORIDA Maximizing Returns Using Under Valued Real-Estate Executive Summary: We present an opportunity for purchasing Real-Estate that is in perhaps, a once-in-a-lifetime . The unprecedented and unfortunate chaos in the U.S. economy brings with it incredible opportunity for the visionary buyer. Baron Rothschild, of the famous British banking dynasty, said the best time to buy was "when there is blood in the streets." Great advice by the Baron, -- however, if you do not know what you are doing in the area of distressed and foreclosed property acquisitions, you may not maximize your return in the current high yield market in Southwest Florida without a professional local partner. We specialize in doing all the “ground work”, bringing to all qualified Real Estate buyers a portfolio of homes that have been carefully selected, inspected and ready to deliver . This opportunity provides our clients the vehicle to capitalize and take advantage of the current Real Estate market in Southwest Florida! Join us now in this remarkable Real Estate proposal. “An investment in knowledge always pays the best interest” - Benjamin Franklin Southwest Florida : The Perfect Storm Distressed Foreclosed Under Value Homes Strong Rental Market Opportunity $ Banks Dumping REO Assets Desirable Regional Location WHO WE ARE! Uniquely qualified to facilitate this Real Estate opportunity We Locate & Acquire Properties Very difficult for part-time or one-time buyer Time-consuming to build a network & Real Estate team A limited window of opportunity Currently a feeding frenzy environment in Southwest Florida Our Company has built a powerful, local team and has access to quality properties from numerous sources. We Clear the Foreclosure Hurdles Steep learning curve to acquire distressed properties Easy to make mistakes for first-time buyers Approach varies lender-bylender, home-by-home Our team has decades of Commercial and Residential Real Estate experience in the US Market Multi Lingual Our Team has the knowledge to acquire the ideal properties at the absolute best price – ideal for “buy, sell or hold” Real Estate buyers! Our properties are “made like new”! Most homes less than 10 years old. Some never lived in Trusted local licensed Real Estate and Construction Professionals for home evaluation & repair Incredible “Values” in like new homes Strong rental market – Ideal rental properties 3 Bedroom/ 2 bath minimum Move-in ready Direct relationship with a local Property Management firm Rental rates: $750-1500 per month, depending on location, size and amenities Property Management Acquire Tenants Rent collection Provide/supervise maintenance Payment of all bills/mortgage 24 hours a day, 7 days a week availability TURNKEY! WHY SOUTHWEST FLORIDA? Regional & Neighborhood Highlights SOUTHWEST FLORIDA Ideal sub-tropical Weather, beautiful Beaches and incredible Sunsets A relaxing lifestyle that has long attracted vacationers and second-home owners Disney/Sea World and other Theme Parks less than 3 hours away 2 hours to either Tampa/St. Pete , Palm Beach or Miami South Beach SOUTHWEST FLORIDA World-Class International Airport Home to MLB, NFL, NHL and NBA Teams Barrier Islands with world-class shelling Home to Edison- Ford winter estate Golfing, Hiking, Tennis & more SW Florida ( 1,109,393 pop) Hundreds of miles of Canals, Riverfront and Beach front properties Cities: Cape Coral, Sanibel Fort Myers, Capitva, Bonita, and Naples L0w cost living Exotic and aquatic wildlife in their natural habitat World Class Shopping and Waterfront Dining!! Gulf access for boating, fishing, diving and other water sports Other Attractions Include: Cruises, Gambling, National Parks and Key West OPPORTUNITY: REAL ESTATE Buying Real Estate In specific real-estate niches, lie the riches Volatile markets offer the greatest opportunity Banks can fail, stocks can go to $0 CDs and money market returns below inflation Buying Real Estate No more land being created Population steadily growing, fueling demand for property Florida is the #1 retirement destination in the USA Now is the best time to buy Florida Real Estate in history! REAL PROPERTY always has lasting value South West Florida is currently an appreciating asset Typical Entry Level Homes Concrete Construction Slab Foundation Exterior Irrigation Systems 3bed/2bath 2 car garage 10,000 Square Foot Lots Typical Entry level Floor Plans Living Area 1,785 Garage 405 Entry 150 Total 2,340 Entry Level Modern Appliances Built-in Dishwasher Built-in Kitchen Cabinets Microwave Spacious & open floor plan Entry Level Carpet & Tile Flooring Built-in Bathroom Cabinets Window Coverings Entry Level Screened Porch/Exterior Upgraded Homes Concrete Construction Slab Foundation Exterior Irrigation Systems 4b/2b 2 or 3 car garage Oversized Lots Typical Upgraded Home Floor Plan Upgraded Homes Upgraded Homes Typical Upgraded Homes Lanai Custom Homes Custom Home Floor Plan Custom Homes Custom Home Floor Plan Custom Homes Custom Homes Southwest Florida Endless Possibilities Commercial Properties OPPORTUNITY: FINANCIALS A Two Part Equation RENTAL INCOME • MONTHLY CAP RATE EXCEEDING MARKET RETURNS A CONTROLLED RISK / HIGH-YIELD REAL ESTATE OPPORTUNITY MARKET RECOVERY • REALISTIC APPRECIATION EXPECTIONS Current Client Inventory Valuation of Properties Purchased PRESENT INVENTORY 1320 Andalusia B 3-19-09 4009 E Gator C 3-27-09 1117 NE 33 T 3-30-09 2022 NW 20 T 3-31-09 3935 NE 22 A 4-1-09 4410 NW 22 S 4-2-09 3234 NW Juanita P 4-6-09 2628 NE 5 A 4-6-09 1617 NW 17 T 4-8-09 3200 NW 2 P 4-10-09 1728 NE 6 P 5-4-09 2461 NW 9 S 5-5-09 201 Chiquita Blvd N 5-19-09 305 NE 24 A 5-21-09 1521 NE 13 A 6-11-09 1017 NE 43 T 7-1-09 310 NE 27 T 7-16-09 2825 NW 7 T 7-23-09 907 NE 2 A 8-5-09 TOTALS…………………………… AVERAGE……………………….. Base SqFt 1,783 1,272 1,408 1,458 2,143 1,993 1,408 2,104 2,245 2,060 1,574 1,993 1,799 2,414 1,639 1,524 1,796 1,806 1,458 33,877 1,783 Purchase Price $66,414.00 $62,469.00 $56,512.00 $59,468.00 $84,218.00 $91,659.00 $53,553.00 $75,304.00 $98,691.00 $97,329.00 $69,284.00 $92,575.00 $66,490.00 $79,460.00 $78,748.00 $59,424.00 $96,884.00 $67,810.00 $70,203.00 $1,426,495.00 $75,078.68 Cost Per SqFt $37.25 $49.11 $40.14 $40.79 $39.30 $45.99 $38.03 $35.79 $43.96 $47.25 $44.02 $46.45 $36.96 $32.92 $48.05 $38.99 $53.94 $37.55 $48.15 $42.35 Replacement Cost $199,000.00 $159,700.00 $165,000.00 $169,000.00 $233,000.00 $223,000.00 $165,000.00 $229,000.00 $249,000.00 $222,000.00 $185,000.00 $223,000.00 $199,000.00 $249,000.00 $179,500.00 $174,000.00 $219,000.00 $199,000.00 $169,000.00 $3,810,200.00 $200,536.84 ESTIMATED CURRENT PROFIT $516,105 Current Value 8/09 $94,900.00 $79,000.00 $82,900.00 $84,900.00 $119,000.00 $117,000.00 $82,900.00 $119,000.00 $126,000.00 $129,000.00 $89,000.00 $117,000.00 $99,900.00 $111,000.00 $92,500.00 $84,900.00 $127,900.00 $97,900.00 $87,900.00 $1,942,600.00 $102,242.11 NEW ARTICLES AND CLIPS OF AREA June 2009 The South Florida residential real estate market is at bottom and likely to experience some appreciation within a year, the National Association of Realtors Chief Economist Dr. Lawrence Yun said. Yun joins Jim Cramer (Mad Money) and a host of other economists who feel that bottom is basically here. “I think the prices have already pretty much bottomed in the South Florida market,” Yun said. “The rest of the country is more difficult to say but I think here, given the buyers, the prices have already bottomed in Florida.” Yun spoke on June 11 during a keynote address to a lunch crowd of the International Real Estate Congress and Expo. Given the growing number of residential deals occurring in South Florida despite no readily available financing, Yun projects that today’s buyers could actually realize some home price appreciation as soon as next year when credit is expected to be available once again. “Soon you will reach the point of equilibrium where home prices begin to show growth,” Yun said. “It is always difficult to precisely predict. I think that many people who are buying today in this month - June of 2009 - if they look back a year from now in June 2010, I think many people will see that they have actually gained in equity.” Yun acknowledged that Florida market conditions - a diverse community with limited developable land, attractive weather, and an international appeal - give the region an advantage over many other areas in the United States. Sales are up about 100 percent from one year before. New Record Breaking Numbers for June 2009! In the January issue of this newsletter, I talked about the fact we were headed to a serious seller’s market. The numbers seven months ago pointed toward that trend. Who would have thought that just seven months later we would be looking at a record level of reduced inventory here in Cape Coral? By the end of July we fell below 2,000 single family homes on the market! Today, we are clearly below 2,000 single family homes. On some days, the number of pending sales and closed sales in Cape Coral outpaces the number of new listings two to one. We are in a serious sellers market especially in homes under $250,000. Inventory between $250,000 and $500,000 still remain competitive and balanced. Over $500,000 we still have a way to go! It is too soon to measure the solds for July, but a look at June tells the story! The Lifestyle SW Florida Sunset Celebration