Frequently Asked Questions
Who are you folks?
- We are an elite real estate investment firm. We provide investors with top-quality refurbished investment properties in high growth markets throughout the United States. Our “turnkey” approach allows your investment capital to work for you…without the need to know about tax sales, auction purchasing, construction rehab, or tenant management.
What kind of properties do you have available?
- We offer investors fully rehabbed and rent ready single family and multi-family properties. Occasionally, we also offer distressed properties that can be purchased at a lower cost and rehabbed by our construction team.
- Most of the properties that we offer have tenants in place and are cash flow positive and performing from day one! As such, our properties make sense the day you buy them, and for as long as you decide to keep them. There is nothing that needs to happen in order for the property to be a good investment, building wealth for the long term.
Are there any fees involved?
- No, we never, ever, ever, charge our investors processing fees, finders fees, or any other kind of fee. Because of the amazing team that we work with, we are able to generate our revenue from the properties we acquire and renovate and offer to our investors.
Do You Offer Any Kind Of Warranty?
- EVERY property that you purchase from us comes with a complete one-year Home Warranty. You will not have repair expenses during the first year of ownership.
What criteria do you use for your investment opportunities?
- Our properties must be in growing US markets, where there is a diversified economy.
- Our properties must produce a healthy, positive cash-flow.
- Our properties must not be based solely on appreciation (speculation) potential.
- Our properties must be identical to what we invest in ourselves.
- Our properties must be at or below fair market value.
How do you define a “turnkey” investment property?
- The property has been carefully selected with renters in mind.
- The property is leased, or in the process of being leased.
- The property is in a solid, stable neighborhood.
- The property has been recently renovated.
- The property is cash-flow positive, even if fully leveraged.
- The property is under professional property management.
- The property is in a growing market.
What type of real estate market do you prefer?
- We select our markets based on a rent to price ratio, rental demand, and rehab construction costs. We ONLY purchase in markets where the prices are able to generate a strong margin of monthly positive cash flow to protect the investor. We never select markets based on fads, investor demand, or appreciation potential (speculation). The markets we enter must make sense from an economic and investment perspective.
How do you choose your markets?
- We select markets based on many factors. The first metric we look at is rent to price ratio. At a higher level, we consider a number of economic factors that include job growth, employment stability, population growth, as well as the overall status of the local housing market, including (but not limited to) available inventory, average conditions, price trends, etc.
Do your investors purchase their properties sight unseen or can they view them first?
- Many investors will buy sight unseen as we have developed a very secure and safe way to invest without the need to preview the properties. That said, we welcome a 1-day tour that can be scheduled with a week’s notice.
- Given the returns that we offer, we rarely have a property that stays in our inventory more than a 1-2 weeks. If an investor has analyzed and desires a specific property, they should consider securing it quickly, before it’s sold to another investor.
Do you offer professional property management for clients?
- We partner with only the best professional local property managers to protect your investment. In every case, the management company is part of the SAME TEAM that acquires and rehabs the properties. Their only goal is to make your investment as hands-off and as profitable as possible. Because we work intimately with these teams, we maintain ongoing oversight and diligence on their performance. The property management teams we partner with currently have a 6% vacancy rate across hundreds of properties…well below the industry average of 10-12%. And although we recommend them, you are not obligated to use these property managers. You are free to change companies at any time.
Are your properties always rented?
- Most properties either already have tenants in place with 1 year leases, or they are typically filled within 30 days of purchase. On some occasions, we have properties available in “pre-rehab” condition at prices reduced even further than our typical investment properties.
Do you have financing available?
- Most investors either purchase with cash, or have their own lender in place.
- Many of our properties are perfect for self-directed retirement accounts such as IRAs and 401(k)s.
- We can refer you to a number of different lenders that understand investor requirements. Of course, you are free to use any lender you choose.
What makes High Return Real Estate unique?
- We simply have better deals…period! We provide stronger CAP rates and cash flow then other turnkey firms out there. Our major competitors offer returns in the 8-12% range. Most of our properties will return 13-20%.
- We provide our investors unbiased counseling and advise, and data. We will always encourage you to look at the numbers, and do what makes sense for you.
- We were founded by two real estate investors. We will help you avoid costly mistakes, Everything we do is with an investor’s mentality.
Do you invest in real estate too?
- Of course. We are proud of the fact that we personally invest in some of the properties that are available through our network. We started as customers, just like you!
- One of our co-founders, Jack Gibson, started investing in real estate at the age of 26 starting with a single family home. He continues to build his real estate portfolio and now holds over 70 units of rental properties.
- Our other co-founder, Jeff Schechter was a “flipper” for many years, has owned numerous investment properties, and continues to build his portfolio. He buys multiple rental properties, just like the ones you see here.
What’s my NEXT STEP?
- Schedule a consultation with us. The is NO CHARGE to speak with us. We will discuss your goals and create a course of action that will work best for you. We will help you design a portfolio strategy that will provide ongoing cash flow, safety, and appreciation.