The properties purchased will be wholly owned by the investor, through a LLC. The clients are the members of the LLC and the SPI director can be the Manager. The investor retains complete control of the asset, while eliminating any management responsibility. SPI manages all aspects of the asset, from selection and acquisition to property management and disposition.
All properties are purchased under current market value. All properties have been or are thoroughly remodeled before or immediately after purchase, and are maintained to ensure the excellent condition and therefore minimize any significant capital needs in the foreseeable future.
Summit Properties International offers a personalized and tailored service, so it is extremely important to know our client, and understand their objectives, long and short term goals, likes and dislikes.
We will sign an agreement outlining our services and responsibilities, set up the LLCs Federal Tax ID (FEIN) and Bank accounts for the LLC.
SPI has created a very strong reputation with our providers. When we commit to purchasing a property, sellers know we mean it, and will close very quickly, usually within ten days. This allows SPI to negotiate very good prices for our clients, but it also means that cash must be available before we make any purchase commitment.
Once the account is funded we are ready to begin completing the portfolio. We source properties from different providers, among them:
• Market Listings
• Off market Listings (Properties which have not yet been put in the market, but are offered to SPI due to the strong reputation for quick closings).
• REO listings (Properties which have been foreclosed on and are owned by banks).
Closings take place at an Attorneys Office. As part of the closing process, the Attorney will:
• Verify Title (Fee Simple).
• Purchase Title Insurance.
• Initiate Signatures.
• Delivery of funds.
• Title Recordation.
• Fund Disbursement.
• 10% Property Management For Investor Clients.
• $100 Per month Flat Fee Maintenance.
SPI charges 20% of the net income received by the client each month, after all expenses have been deducted. Statements showing all activity in the account, property performance and more are sent monthly to each client.
Once purchased, the properties are remodeled or repaired and up-fitted, if necessary. Properties are leased through SPI Property Management LLC who carefully qualifies and selects tenants to take care of the property and pay their rent as agreed.
Historical portfolios for SPI have an occupancy rate of 95%. However, in those cases when tenants do not pay the rent and comply with the terms of the lease, our Eviction Specialists will stay on top of the process in order to minimize the time when properties are not producing, and get them rented to good tenants again as soon as possible.
In Mecklenburg County the eviction process takes approximately 45 days. Through SPI’s strategic alliances, properties purchased have access to excellent providers with special pricing.
SPI will use the Multiple Listing Service, CMLS, Loopnet and its extensive network to market the property and obtain the best possible profit for its investors. Funds from each closing will be wired by the Closing Attorney to the LLC’s account, to be used according to each Client’s instructions.