• In 1988 - A doctor purchased four (4) HUD foreclosed condos during one of HUD's investor promotions. The promotion provided investors the opportunity to purchase a foreclosure with only a $1,500 down payment.

• 3 years later the four (4) HUD foreclosed condos were marketed as a investment package & sold for a decent profit to a Chicago real estate investor in the first half of a 1031 tax deferred exchange.

• The capital gain from the 4 unit condo package was then used to purchase a distressed office building for $42/sf when replacement cost was approximately $110/sf. 

• This Class B building was then sold 5 years later & it brought $110/sf

• The doctor realized over a $1,500,000 capital gain that also included the deferred capital gain from the original 4 unit condo sale.

Case Study 2 -  RTC owned apartment building with 3 bedroom 2 bath single family home.

• In 1990 - A CPA purchased a foreclosed 21 unit apartment building in an area near a college. The purchase price was only $210,000 and included a 1,700 sf , 3 bd 2 ba home. 

• The property had been foreclosed on by a bankrupt California Savings & Loan and ownership had then been transferred to the RTC - Resolution Trust Corporation - a quasi-governmental entity created by Congress to bail out the collapsed S&L Industry.

• While previewing foreclosed multi-family properties in this college neighborhood we noticed a building with dead lawn.  We knocked on a couple of doors and learned that a large well known commercial real estate firm had been managing the property but from their Colorado Springs office.  Basically they were an absentee property manager that had failed to winterize the sprinkler system and it had broken lines.  Due to the chaos that epitomized the early RTC years the funds to repair the sprinklers hadn't been approved.  We called the local Denver RTC office & they had no clue that they even owned it.  The sales and management divisions within RTC had no idea what the other was doing.  So we went to the public records and learned that the S&L that had foreclosed on the property was from LA.  We called the Los Angeles RTC office & tracked down the case manager and informed him that the RTC owned the property - which was news to him.  We negotiated a mutually acceptable price & my client closed on a great real estate investment.

• My client bought 21 units for $10k/unit that were leased to DU students plus a house as a bonus!

• This multi-family foreclosure cash flowed from day one and my client received her down-payment back in about 8 months.

• She still owns the property and the scrape off value of the land alone is approximately $2,500,000.  The opportunity value is in the 10's of millions if she develops it herself.

Case Study 3 - Foreclosed Condo Project

• In 1991 - I put together a group of investors to purchase a foreclosed condominium project that included 44 condos & developed land (curb, gutter & utilities in place).  The land was entitled with a vested site plan that allowed us to build 380 more condos.

• In 1992-93 the group of investors sold the original 44 condos.

• In 1993 we began building the first of the four phases of the remaining 380 condos. 

• In 1997 we completed this large 400,000 SF+ project with significant net profits distributed to the 7 smart investors.

Case Study 4 - Custom Home Scrape-off

• In 1989 - my clients purchased an antiquated 60's ranch custom home that had been built by a professional football player.  They have lived in it ever since.

• The retired football pro had fallen on hard times and was in the last redemption period of a foreclosure.

• We negotiated with his lenders and obtained what is now known as a "short sale".

• Today this property is poised to return my clients a huge capital gain since it is located adjacent to one of the most exclusive custom home neighborhoods in the metro area, in fact, you must drive through this exclusive neighborhood to reach this home that is in a land locked subdivision of older custom homes.  The older custom homes are now scrape-offs due to the large lots they occupy which are more that twice the size of the lots in the adjacent exclusive luxury neighborhood.

• My clients only put $24,000 down and paid $240,000 for the home in 1989. Today this scrape-off lot is assessed by the county at $1,600,000.

There's no guarantee that I can find you deals as good as these but I will use my best efforts to find you the best deals available.  That's all that I can promise.

So don't hesitate to contact me to schedule a no obligation face to face so we can get you into the market as soon as possible.