Tel: 800-270-3565
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The Network:
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With the Real Estate Action Network, membership has its advantages. Members of our network receive many benefits including free education, discounted vendor services, access to sponsored events, and a wealth of resources and intellectual capital.
Beyond those things however, the primary benefit and value of being in the network is its members. We are a growing network of action oriented investors who are all dedicated to making deals happen. Everyone in the network has been vetted (qualified) to ensure they are able to perform. What this means to you as a fellow member is that in many cases, there are members in the network who can help solidify a successful transaction. That can be done in a number of ways including funding, partnership or acquisition and distribution assistance. Below we have provided a few scenarios of how the network can be of benefit to our members.
Scenario 1: You are a real estate investor who just got a great fix and flip deal under contract.
You tell us that you would like to wholesale the deal if you can make at least $15,000 dollars on it. Otherwise you will take the project on yourself but you would like to do so with the cheapest cost of capital. Once we have done our due diligence to ensure your assumptions are accurate, we would then submit the wholesale opportunity to our active members interested in flip opportunities at the ARV you are offering plus $500 for our facilitation fee. Within 24 hours, we have secured 3 investors who are interested and would like to inspect the property. The property will go to the first investor who deposits their funds into escrow. Once the deal is consummated we submit our transaction coordination addendum to escrow instructing them to pay $500 to the network at closing for its facilitation of the deal. At the close of escrow, you will receive your $15,000, the investor gets the property and everyone wins.
Scenario 2: You are a capital investor looking to make at least 20% on your money this year.
You tell us that you are tired of getting 1.5% on you CD and are looking for an alternative investment vehicle that can earn you much greater returns with little risk. We suggest you consider investing in our micro term lending product where the maximum term on any loan is 3 months. These loans are specifically used for transactional funding where the the end buyer on a project is already identified and qualified.They are mostly used in situations where the investor needs capital to get a deal funded and the end buyer is buying it cash or securing traditional mortgage. This makes the investment much less risky but you can make up to 9% in a 3 month period or an annualized 36%. You are happy with that option because you do not tie up your money for extended period of times and you have complete discretion on which deals you invest in. After only 6 months you have made over a 15% return on your money.
Scenario 3: You find a 150 unit apartment building with a 10% Cap Rate but need partners to get the deal done.
You've been looking for the "right deal" to syndicate for the last 8 months and have not found anything that meets your criteria. Finally, you found it... Only problem is that the people who you were originally going to partner with have dedicated their resources to other deals. Unfortunately, you don't have enough money for the down payment nor are you able to qualify for a commercial mortgage of this magnitude. As a result, you submit your deal to the network. After doing our due diligence, we share the opportunity with members who have expressed an interest in being credit partners and have the requisite qualifications to get your deal done. We also share the opportunity with our private money members who were interested in equity partnerships. After a few days, several members have let us know they would like to participate in the deal and under what terms. Once you and the partners agree to the terms, we connect all parties so they can form their acquisition entity and close the deal.
The types of scenarios are endless but being a part of the network opens you to the realm of possibilities. Our objective as network administrators is to simply to empower our members to get deals done more seamlessly and create beneficial outcomes for all parties involved. If you are interested in becoming a member, contact us today to set up an interview.
Check this week's education series video:
How to accurately determine market value.
Interested in learning more about how you can get involved in the network?
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