The acquisition department was busy in the first quarter purchasing 116 REO’s (versus 27 last quarter), and another pool of non-performing assets from Nationstar. The fund has been purchasing mainly Bank of America assets but cemented another relationship to purchase Freddie Mac REO’s. We are excited about this relationship as it seems that Freddie Mac has a substantial number of assets and they are pricing them aggressively. We have already had good success in working with Freddie Mac and expect this relationship will continue to bear fruit.
The winter months in many parts of the country are slow time for real estate sales. The particularly harsh and extended winter this year made evictions harder than normal. Even though the winter weather was an issue, we were still able to evict, rehab and prepare properties for listing. As the mid west and eastern parts of the country thaw out, many of our properties are now getting under contract.
Our efforts should begin to produce results next quarter as we see sales cycles come to fruition. This will provide us with some statistics to share. For now, please see the SRF property below that we closed at the beginning of the 2nd quarter.
Featured Asset:
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| Our featured property this quarter is a 3-bedroom, 2-bathroom, 1,815 sqft single family home built in 2005 on a 9,350 sqft lot and located at 3215 Ozark Drive, Bryant, Arkansas. |
Investment Stats (rounded):
- REO Purchase Price: $91,000
- Expenses: $18,923
- Sold Retail: $140,000
- Gross Profit: $30,077
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Fund Performance:
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