 |
|
|
| Resale Department |
|
|
We offer every client who purchases a property through East West Developments an after sales service which will make the process of buying a property abroad easy and stress free. We will offer you support in all areas from furnishing the property to renting the property out, and to resell it.
Buying a property can be a very stressful experience especially if you are working full time. For this reason we aim to make this process as easy as possible by providing the following services: |
| |
|
| |
1. Updates on progress of project
2. Furnishing of property
3. Insurance (building, fire, & theft)
4. Legal & conveyance
5. Mortgage & re-mortgage
6. Finance & loans
7. Rentals & management
8. First look at new releases |
| |
Resale Pool
Resale Pool is open
to all
owners/buyers. |
| |
- All investors/buyers who have made reservations on the units can
join the developers resale Pool.
The resales
pool may be closed once all the units have been reserved.
- This election may be made any time after 9 months following the
Reservation Agreement date.
- To join the resale pool the investor has to put a $1000 deposit with the developer.
This amount may be paid on a credit card. This is a good faith deposit and this amount is adjusted in the commissions paid on the resale.
- If the investor
moves out of the pool this amount of $1000
is non refundable. However if the investor again
joins the pool, then the investor need not pay
the deposit again, but he has to pay a fee of $5 as administration fees for rejoining the resale pool.
-
In the Resale pool, On sale, the investor pays to the developer
a subsidized
3% commission on the sale price, instead of the
regular 6% (Sellers who have not joined the
Resale Pool pay the regular 6% commission on the
sale price).
- The new buyer pays
6% assignment fees to get the resold reservation registered under the new buyer’s name.
- On resale of the
unit, the developer will take the commissions on
receipt of the funds, and the balance is paid to
the investor/seller less our commission.
- If paying in
Installments, then the investor will remain
current on his installment payments. If payments
are late or in default, the investor will be
moved out of the resale pool. However on making
his payments current, the investor can again
join the resale pool. on paying the $5 rejoining fees.
- The Developer will first sell the units in his release inventory, and then sell the Investor units in the resale pool.
- All efforts will be made, but the developer cannot guarantee any resale results.
- It is a rare exit strategy for the Investor that avoids the need to close on the sale and reduces risk, while still providing the Investor with excellent cash on cash return.
-
Applicants
desiring joining the Resale Pool must submit the
Resale
Pool form.
|
Projected Greater than 500% Cash on Cash Return with
No Appreciation Necessary: The beauty of the Preferential Investor opportunity is that it gives the Investor the clear prospect of better than a
500% return on his/her cash investment without any need for the units to appreciate in value. Suppose the investor wants to resell his position
on completion. Here’s an example of a Studio room
in the Zanzibar Condo hotel: |
|
|
CAUTION:
Although this is clearly a
preferential buying opportunity, the Buyer should be aware
that no investment or return on investment is ever
guaranteed. Please read Disclaimer. Link:www.eastwestdevelopments.com/termscondition.html |
|
Projected 500%+ Cash on Cash Return |
|
An
expected Greater than
500% Cash on Cash Return:
(No Appreciation Necessary) |
Completion Price of Unit in
2017:
Investor Purchase Pricing
Built-In Investor Profit:
Investor 20% deposit:
No monthly payments
Total payments paid
|
$265,100
$120,000
$ 145,100
|
$ 22,000
$ 0
$ 22,000 |
Profit of
$145,100 on investment of $ 22,000 = 500
Plus % Gross return
by completion date.
Returns are gross of all commissions, fees and
expenses.. |
|
|
Commissions on resale paid to developer is
3% of the $265,000 sale price = $ 7,950.
It is an illustrative example only and should not be construed as representing any actual result or presumed actual result. |
|
If the unit has appreciated by a mere
10% in price and sold for $291,600, The average appreciation has been over
20% per year in this area during the last 4 years. The Investor profit now comes to
$191,600.
This is a WIN WIN situation both for the Investor and developer.
WARNING:
We do not Purport
this as a "QUICK GET RICH SCHEME."
It is an illustrative example only and should not be construed as
representing any actual result or presumed actual result. (Please
read the Disclaimer and the Resale Pool Guidelines
below). |
|
RESALE
POOL
GUIDELINES:
What
works best in the Resale Pool.
|
|
The real profits, growth and appreciation will
come when the units start delivering the huge rental returns. Instead of
holding for life-long rental profits, if reselling is the buyers goal,
then on completion, or near completion, would be the ideal time to
resell to book the maximum profits. It is recommended that the
investor sleeps on it till the completion date and let his profits
grow. it is needless to say the longer the investor holds the greater
are his profits.
However Investors who wish to resell their
investments, and desire to join the RESALE POOL. The below tips should
prove helpful to get quicker results.
1.
Buy Full units only, not Fractionals. Fractional units although an excellent purchase,
have a low demand in the Resale Pool.
They are slow and difficult to resell
in the Resale Pool.
2.
Buy Studios or larger units, instead of
Parking Slots. Full Condos are much better sellers and are more cost
effective and with higher profits, than the Parking Slots. Parking Slots
are slower to resell in the Resale Pool.
3.
Do not buy in Installments, under the Financing Option.
RESALE while the Installments are pending is extremely difficult:
Finding a new buyer to pick up the investors installment is a remote
chance. Only on completion of the installments can the investor hope
to find a buyer.
4.
The best
option for Resale is full payment.
The investors get a
built in equity to start with, which keeps increasing with time.
This is the best option for resale.
5.
Be Patient. The Developer will sell his
units first. Then only the Resales can happen. It is projected that the
maximum Resales will only take place on completion or near completion of
the development. The Seller may have to wait till then.
All efforts will be made, but the developer
cannot guarantee any resale results.
|
|
The Process: The actual reservation of units will be on a first come-first serve basis generally based on the timing of
$1,000 deposit received. In other words, an effort will be made to accommodate first those who commit first. |
|
| ASSIGNMENTS: |
|
|
Reservations are FULLY ASSIGNABLE. You can sell them before you close. This will give the buyers a major advantage. |
|
Reservations
can be assigned without seeking permission from the
developer and are free of any costs to the reservation
holder. This election may be made any time after 9
months following the Purchase Agreement date. Developers
around the world now rarely ever grant this right to a
buyer. It is certainly a big benefit to the buyers now
turned sellers. |
|
| Example: |
|
| Buyers now turned sellers have 2 options on selling. |
- All investors who have made
reservations on the condo units can join the
developer’s resale pool, and sell their unit at the
then current price. In the resale pool the sellers pay a subsidized
3% commission on the sale price to the developer. The new buyer pays
6% assignment fees to get the resold reservation registered under the new buyer’s name.
- The other option the investor gets a buyer from the
market himself or thru another broker. The new buyer pays your invested sums plus a premium to you as your profit and you assign your reservation in the buyer’s new name. The seller pays no
selling commissions to us, but the new buyer has to pay
6% assignment fees to get the reservation registered under the buyer’s new name.
|
| The seller can select whichever options suits him/her the best. Whichever option will make him/her the most profit. |
For the transaction to go smoothly the developer can provide his intermediary services free of any cost. They can act as collecting agency for the funds received from the new buyer, and send funds to the seller. All Bank charges or transaction charges will be borne by the seller. |
|
Disclaimer: Although this is clearly a preferential buying opportunity, the Buyer should be aware that no investment or return on investment is ever guaranteed. No representation is being made that your investment or return on investment will be the same as or resemble the examples shown above. In fact, no representation is made that there will necessarily be any return on your investment. The examples are just one of many possible investment outcomes and are for purposes of illustration only. The Buyer investment, in this case, is in a project to be constructed. Although the expectation is that this project will be built as planned, we make no representations or promises that the project will proceed as planned. Investor funds will be held in secure escrow/trust accounts and all funds will be returned in the event that the project does not proceed. |
| |
The information herein is merely illustrative and promotional in nature, and does not represent a contract, guarantee or specific representation regarding any particular contract. No representation is made as to the success of any project, the ability of a purchaser to find a buyer to take assignment of a purchase contract of a unit, or that the prices within a particular project will rise. Real estate buyers should understand that if held for investment purposes, there is a risk that returns from other investment vehicles — such as a stock, bonds or other property — could be higher. Accordingly, there is no guarantee that a pre-construction purchase contract represents the best possible investment relative to other possible uses of a buyer's money. Buyers should do their own due diligence and consult their own investment and tax advisors about the suitability of a pre-construction purchase contract for their particular needs and situations. The purchase of a pre-construction contract is a purchase of a particular real estate unit. Accordingly, it is not intended to constitute a security. |
|
The information provided here are calculations only. The rates, revenues and returns are expected estimates only based upon the analysis of market conditions and hotel
& hospital management activity in the Location
areas. |
|
East West Developments makes no recommendations whatsoever with regard to the decision of any prospective buyer to purchase a unit by the developer, other than to recommend to any prospective buyer that he/she should consult with his/her independent investment advisor, tax consultant and legal counsel. |
|
East West Developments is not registered with the Securities and Exchange Commission, or licensed by the National Association of Securities Dealers. East West Developments disclaim any responsibility for the project or portfolio performance and makes no representation or warranty, express or implied, as to the percentage of return of investment to any purchase at the Condo. |
