Cash Flow From Model Homes?

Here’s a Jump Start idea given to me by a reader. Rich was at a new development touring a model home and speaking to a sales agent. He mentioned that he liked the model home and that it would be a great buy-when they were finished with it. Much to his surprise she told him it was for sell that day. But the story gets better. The builder would lease back the home for two years and at the end do any fix up, repaint, recarpet and throw in the furniture. Rich went to his network. His mortgage broker secured financing for three model homes-interest only. As it turned out there were three model homes available under the terms of this agreement. The math worked out that with the interest only mortgages and the lease amount from the builder-the properties would Positive Cash Flow from day one! Thanks to Rich for this idea which was new to me. I like the fact that he asked good questions and had built his Network before he needed it. What’s working for you?

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Dansette