Co. says you can build new home for 65% FMV! - Posted by TBN

Real Estate Investing
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Posted by Paul Macdonald on December 11, 1998 at 06:48:00:

In my area, Northern Virginia, the average builder margin (at least as much as they admit) is right around 20%. As a private builder you’ll make a greater margin by having lower overhead but you’ll lose points because of the power of buying in quantity… so to get to the point, by building Modular (not HUD modular) in my area up to 25% “net” margin. Stick built drop that down to about 18%.

And Eagles Nest I think has you do a lot of the work yourself, that will help you increase you profit margin.

If you are expecting to pull cash out when financing a construction unit right when they issue the permanent financing don’t hold your breath. You find the lender that does that PLEASE send me the name and phone number.

Good Luck,

Paul Macdonald

2

Co. says you can build new home for 65% FMV! - Posted by TBN

Posted by TBN on December 11, 1998 at 24:49:18:

Has anyone heard of Eagle’s Nest Homes in Canton, Georgia? They are a national manufacturer of component (not modular) built homes. I inquired about becoming a representative for them, and I wanted to know if anyone has had any experience with the company. The company claims that you can potentially build a brand new home for 65-75% of what the property will aprraise for, which means, as an invesor, you could cash out upon financing of the house. The company has been around for 15 years. Anyone?