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| Resale Department |
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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: |
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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 |
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Resale Pool
Resale Pool is open only to the preferred initial founder owners. |
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- All investors who have made reservations on the units can join the developers resale department.
The resales pool is available only to the initial founder owners, and this subsidized commission offer may be closed once all the units offered to the preferred initial buyers have been reserved.
- This election may be made any time after the first
9 months following the reservation date.
- On sale, the investor pays to the developer only
3% commission, instead of the regular 6%.
- To join the resale pool the investor has to put a $1000 deposit with the developer.
For Fractional units, joining the Resale Pool is at
the reduced price of $400 for each fractional.
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
(or $400) 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 $25 as administration fees for rejoining the resale pool.
- On resale of the unit, the developer will take the
commissions on receipt of the funds, and the balance
is paid to the investor less the 3% as 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 $25 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.
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A 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
Private room in the Hospital condo.: |
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| 500%+ Cash on Cash Return |
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A Greater than
500% Cash on Cash Return:
(No Appreciation Necessary) |
Completion Price of Unit in
Oct. 2012:
Investor Purchase Pricing
Built-In Investor Profit:
Investor 20% deposit:
No monthly payments
Total payments paid
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$275,000
$120,000
$ 155,000
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$ 24,000
$ 0
$ 24,000 |
Profit of
$155,000 on investment of $ 24,000 = 645% Gross return
by completion date.
Returns are net of all commissions, fees and profit splits. |
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Commissions on resale paid to developer is
3% of the $275,000 sale price = $ 8,250.
In this example the investor get $146,750, and the developer makes
$8,250.
It is an illustrative example only and should not be construed as representing any actual result or presumed actual result. |
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If the unit has appreciated by a mere
10% in price and sold for $402,000, The average appreciation has been over
40% per year in this area during the last 4 years. The Investor profit now comes to
$282,000.
This is a WIN WIN situation both for the Investor and developer. It is an illustrative example only and should not be construed as representing any actual result or presumed actual result. |
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INVESTOR
GUIDELINES:
What
works best in the Resale Pool.
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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 for 2
-3 years at least 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. Fractionals although an
excellent purchase, have a low rating and low demand
in the Resale Pool. They are slow to resell.
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.
- 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.
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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 quicker resale.
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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. |
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| ASSIGNMENTS: |
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| Reservations are FULLY ASSIGNABLE. You can sell them before you close. This will give the buyers a major advantage. |
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Reservation Assign ability: Are fully assignable. Yes, 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 the first
9 months following the reservation 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. |
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| Example: |
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| Buyers now turned sellers have 2 options on selling. |
- All investors who have made reservations on the units can join the developer’s resale pool, and sell their unit at the then current price. In this case the sellers have to pay a subsidized
3% commission to the developer. The new buyer has to pay
6% assignment fees to get the reservation registered under the buyer’s new 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.
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| 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. |
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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. |
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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. |
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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. |
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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. |
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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. |
