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TrustPoint Limited Liability Companies (LLC) Investment: $10,000 to $500,000
Our process from start to end is a pretty simple and straight forward method of converting single family homes to a revenue stream producing superior returns.
It begins by potential members (you), joining one of our limited liability companies and becoming an integral part of the team. As a member, you will be given the specific information via email regarding our possible purchases, sales and other major actions to cast your vote upon. Majority rules and we abide by your wishes and carry out your directive. Since our team constantly seeks and locates properties within our target markets that meet the criteria of our investment parameters, new opportunities become available on a very frequent basis. These homes are then bought by TrustPoint directly from the owner, the government and/or the bank. Usually, these homes need little or no work to bring them to marketable condition. All transactions for each LLC is delineated on a password protected website so that you may see every transaction that occurs in your LLC. We believe in full transparency with our members.
TrustPoint then places them on the market for a subsequent sale using our marketing techniques and simultaneously searches for a rent-to-own buyer as a back-up plan. Either way, we place someone in the home and receive the proceeds immediately (direct sale) or on a delayed basis (rent-to-own).
This scenario plays out multiple times, allowing us to incrementally “grow the business” of each LLC we have formed with our members (you). TrustPoint is also a member of each LLC that is formed to invest our money with everyone else to be a stakeholder in the profitability of each endeavor. After all, how can we ask our members to be involved with a project if we aren’t willing to “put our money where our mouth is”. In fact, our participation in each LLC is generally the average of all other members participation. Mathematically, that means if 20 members contribute 5 million dollars, our personal account funding will be equal to $250,000. In this way, our participation becomes “average” so that we will not be perceived as the heavyweight in making group decisions and thereby keeping the democratic spirit alive in each project.
While this is a simplistic overview of our process, we hope that our methodology intrigues you enough to become a member and see how a simple program can have a large positive impact on your life.
Target Markets:
TrustPoint Financial Corp. is currently reviewing housing submarkets within the primary and secondary cities in the Midwest, Mid-Atlantic and the Southeast regions of the U.S, which have historically exhibited meaningful job growth and net housing unit absorption during normal economic cycles.
Target Investments:
TrustPoint is currently seeking to make investments in high-quality, well-located single family homes with "below normal" real estate risks (i.e. vacancy, near-term rollover, near-term capital expenditures, good appreciation and so forth). In particular, TrustPoint is targeting mid-size transactions (those between $100 - $250 thousand) and portfolio transactions involving multiple homes through the acquisition of solitary investors. In addition, TrustPoint is desirous of forming joint ventures with qualified operators having proven market capabilities to own acceptable residential portfolios.
Specific Property Criteria:
· Single family properties and/or SFH portfolios · Minimum asset size of $100,000 · Maximum asset size of $250,000 · Flowing floor plans · Planned neighborhood settings · Homes built no earlier than 1975
Investment Capital:
TrustPoint is in the on target to acquire over the next three years approximately $50 million of additional real estate in the firm's currently active funds and new six new funds to be formed.
Target Yield:
Investments are made for the purpose of achieving a moderately leveraged (55-60%) internal rate of return of 25-40% on invested equity over a three to seven-year period.
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