are investments brief
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www.AmericanRealEstateInvestments.com [email protected]
American Real Estate Investments is your direct
source to some of the best real estate investments in the world. We buy distressed properties from several
sources: tax sales, courthouse steps, foreclosure sales, reo agents, asset
managers, private sellers and the multiple listing service. Once we acquire
the properties our workmen complete a full renovation. We install new
paint, trim, flooring, updated kitchens and baths, new pex plumbing,
HVAC and water tanks brand new or less than 5 years old with certification of good working order. Roofs and
drain lines replaced new as needed, updated electrical with new wiring and fixtures throughout. We renovate our
properties to the highest standards and cover all of our work with a 3 month, full coverage warranty.
After renovation, we lease each one of our properties to pre-screened tenants
and turn them over to our property management team. These cash producing, turn-key units are then quickly
sold as they´re sent out to our many brokers and buyers all over the world. Because we own every property
outright, we´re able to maintain strict quality standards, deliver the lowest price, the best service, and the highest
returns.
Our Markets as real estate investors ourselves we understand the needs of other
investors. Our business is driven
solely by client demand. As such,
we’ve set up operations in a few
US cities where the opportunities
are ideal to serve a wide range of
investment needs.
• Kansas City, MO
• St Louis, MO
• Indianapolis, IN
• Phoenix, AZ
• Atlanta, GA
www.AmericanRealEstateInvestments.com [email protected]
Kansas City, St. Louis, and Indianapolis: These cities represent very similar markets with respect to real estate investments. We consider these three cities
to be one Midwest market, as they’re relatively close geographically with similar size, demographics, and real
estate prices. These cities, in the heart of America, provide three of the
most stable and consistent real estate markets in the US. While mostly
known for high cash flow yields, these markets offer a wide range of
investment opportunity. There are
two main models we produce from
these markets. With our highest
cash flow investments and some of our best equity deals. The high cash
flow model is low-mid priced, sees average net yields of 15-19% and
average equity at settlement of
10-20%. The high equity model is slightly higher priced than our high
cash flow model, seeing average net yields of 8-12% and average equity at
settlement of 30-50%.
Phoenix, in the state of Arizona, was one of the
fastest growing and most rapidly appreciating US cities before the economic downturn. This southwestern US
city has since been one of the hardest hit and most affected real estate markets. Values have taken a sharp dive
in the last few years. Our fully
rehabbed and tenanted “turnkey”
properties are selling for roughly
35% of their high selling price and
65% of the current replacement
cost. The value in Phoenix is in the
extremely low comparative prices
relative to replacement cost and
past sales data, combined with the
popularity and attractiveness of this
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city. The population growth figures over the past 20 years shows a massive demand for people who want to live
and work in this city. There is huge capital appreciation potential in Phoenix and we’re seeing the early stages of
that growth happening right now. Cash buyer investment transactions have increased dramatically over the past
6-9 months and we’re starting to see that ripple effect turn into price stability and slight increases throughout
most of the city. Due to the high volume of wholesale investor transactions and while prices begin to stabilize, it’s
become difficult to attain a true market value that has much significance. The margin for error when determining
current value is larger in this market than almost every other market in America. We produce two main models
in Phoenix. One we refer to as our Buckeye model and one we call our Maryvale model. The Buckeye model
is generally a larger, newer home located in neighborhoods traditionally dominated by owner occupants. This
model produces average net yields of 10-12% and is generally sold at 40% of their previous high values. The
Maryvale model is generally an older property in mixed use owner/tenant neighborhoods, is at a slightly lower
price point, produces net yields of 11-14%, and are normally sold at 30% of their previous high values. Both
models provide decent cash flow with excellent appreciation potential.
Atlanta, in the state of Georgia, is located in the
southeastern part of the US and the real estate market is a perfect hybrid of the higher cash flow KC, STL, Indy
markets and Phoenix markets. Atlanta is one of the largest and most highly populated cities in America. Its mild
climate and hospitable culture make
it an attractive place for people to
migrate for school, work or leisure.
With Atlanta being supported by a
diverse local economy, the currently
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low real estate prices and high
rental demand have recently shown
this city to be a healthy investment
market where quality and value can
be found. The average net yields on
our turnkey Atlanta stock is 13-15%
with slightly higher equity positions
than our KC/STL high cash flow
model. The future appreciation
forecast is not quite as good as Phoenix, but we do expect the appreciation rate to surpass that of KC/STL.
Overall, Atlanta is a great market for residential property investment and our clients continue to be very eager to
invest in this city.
Summary
• We have the best reputation for consistent, quality, turnkey properties and top of class support
during and after the sale. We’re one of the top wholesale suppliers in the entire USA.
• We service the needs of all types of investors with our ability to draw from several major US markets.
• We own our stock with cash purchases and control the entire leasing and settlement process.
• We deliver fully rehabbed/leased “Turnkey” property
• We use the best renovation practices with the investor in mind. All materials from the plumbing to
the flooring are installed for low ongoing maintenance resulting in higher net returns.
• We provide a full 3 month warranty on every property we sell.
• Your experience with us will be top class, and you’ll soon see the difference between American
Turnkey Investments, and all the other guys.
American Real Estate Investments