Builder Lease Back- Rare top equity position earner – high end in Birmingham

Builder's model with a 12-month leaseback for $5500/month
RARE opportunity top finishes in a High-End neighborhood!
Builder will also pay the HOA fee for the first year of $2200/year
Builder will pay all carrying costs minus mortgage and homeowner insurance but they’ll have their own rider.  
Possible Equity Exit in 1 Year
We project the post-street completion value to be $1,250,000 at the end of the lease period in which you can turn around and sell this property for an equity exit.

This is the LAST basement home that will become available in the most desired subdivision. 
There will no longer be basement homes built here, and there are slab homes being sold at the same price.

About the House, Builder & Neighbourhood – See pics attached!
Here more about the area, builder, the community and this opportunity – a chat with our local agent 


6 Beds | 5.5 Baths | 5,347 sqft | 3 car garage | 2021 built 
– 22ft ceilings in the living room, walls of windows looking out to your huge covered deck, and the finished basement has a bedroom and bathroom, huge den, and kitchenette area.
Schools ratings: A
About this opportunity
– Phase one: 
Hold for 1 year under the builder leaseback 
Expected annual cash flow: ~$19,500
– Phase two: 
Sell for ~$1,250,000 (and d1031 exchange into additional property or properties)

* Unique opportunity fee: this opportunity carries an additional Purchase Fee to Simply Do It, on top of your due fee, of $7,500 at closing  – paid directly to Simply Do It. 
Purchase price$1,025,000
Your investment
(down payment, and fees)
Projected selling price$1,250,000
Selling expenses (6%)            75,000
Net selling price      1,175,000
Profit (from sale)         150,000
Rental income$19,601
Total profit$169,601
Projected ROI62%
Q&A with Realtor:
  • Is this the same neighborhood you [Simply Do It's Realtor] live in that you took me [Dani] to see a few weeks ago? 
    • A: Yes! There are ZERO basement homes from now on. This is the last one. 
  • Are rentals allowed in this community? Do you have any sense of what the rent would be? 
    • A: $5,500/month for 12 months 
  • “Builder will pay all carrying costs” – just to make sure: repairs if there are any, HOA, property taxes? 
    • A: They will pay for the first year due at closing. The HOA and the tax bill. Owner pays insurance. We will negotiate it so it can be so 
  • Does the owner pay during builder-lease insurance and mortgage? that's it? 
    • A: Yes owner pays the insurance 
  • What are the chances of finding or not a buyer in 1 year? 
    • A: Should not be a problem. Again, there will not be any other similar models moving forward. Only slab homes. 
  • What are the chances of finding or not a renter in 1 year in case it won't sell and it needs to be kept as a rental? 
    • A: Very likely. The neighborhood does allow LONG term renters for a year + lease only. 
    • A: No one else has rentals in here and there’s always a need especially in here. You’ve seen it, it’s a hot commodity.
code Blackrid

All the best, 
Dani Beit-Or
Simply Do It Investing
Tampa | Houston | Dallas | Nashville | St Louis | Kansas City | Birmingham | Chattanooga
Podcast: Guided Real Estate Investing by Simply Do


Information contained herein was obtained from sources deemed reliable, however, Simply Do It and/or the owner(s) of the property make no guarantees, warranties or representation as to the completeness or accuracy thereof. The presentation of the property is offered subject to errors, omissions, changes in price and/or terms, prior sale or lease or removal from the market for any reason without notice.

The analysis is provided “As Is”. All the information is believed to be accurate (except for the small effects of some simplifying assumptions), but is not guaranteed, and depends on the values entered for the property. This analysis is intended for the purpose of illustrative projections. The information provided is not intended to replace or substitute for any legal, accounting, investment, real estate, tax, or other professional advice, consultation, or service. Simply Do It and/or the owner(s) are not responsible nor liable for any damages arising from the use of the analysis info.