Executive Summary
The Company Fast Tracks the Real Estate Investment Process
Because the investment lifecycle consists of researching, finding, buying, renovating, and selling “Real Estate Owned” (REO’s) residential properties, the company deploys a diverse set of in-house services designed to improve efficiency, lower transaction costs, and enhance bottom line revenues. The Legiance real estate network gives investors direct access to properties containing low price-points and high profit margins.
Legiance Provides Investors with a Secure Joint Venture Program
The Firm Minimizes Risk and Maximizes Returns Quickly for Investors: Legiance targets properties that can be quickly resold to avoid the need to predict the timing of housing recovery, thereby minimizing risk and improving short terms yields. The company's primary methodology for researching and sourcing inventory is a key component to produce profit and deliver returns to you the investor.
The Economics: Economic basics teach us that excess supply drives down pricing. Pricing will stabilize when supply and demand return to equilibrium. Pricing will climb as demand gains momentum. Since the absolute bottom of any market is difficult to know, it is more important to identify the “Opportunity Range”—that range near the bottom where there is evidence that a tick in the upward direction is on the horizon. When we reach the Opportunity Range, it is time to buy.
Residential Inventories: Historically, market inefficiencies have created bottlenecks when residential inventory levels begin to build. Even when willing to offer significant discounts, lenders and developers have been unable to sell distressed properties expeditiously. Supply chain models common in the sale of consumer goods and other commodities have never been adopted by the residential real estate market. Lenders and developers overwhelmed with excess inventory still rely on the traditional strategy of listing properties with real estate agents to be sold one-by-one to the end user (homeowner or individual investor).
Opportunity: We call evidence of this leveling out of the market and subsequent tick upwards the “Opportunity Indicators”. There is little doubt that the real estate market is flooded with foreclosures and home prices as a result have dropped dramatically. The opportunity lies in the fact that the influx of new housing inventory is slowing and demand is increasing. This means that pricing has reached the bottom range and the opportunity window has opened. To appreciate the extent of the opportunity we need to first understand what caused the current real estate crisis.
Cutting the Red Tape: Our streamlined approach cuts through the red tape. In addition, our vertically integrated system increases the number of potential end users because we can assume the renovation and stabilization functions of the investment process. To implement our ground-breaking approach, Legiance is pleased to announce the creation of its new joint venture profitabilty programs. These programs will allow liquid investors to secure their captial in a joint venture for the purpose of acquiring residential below market real estate. We feature a very attractive preferred returns structure, generous participation in profit upside, and regular distributions that include minimal risk.
