Day: October 26, 2018

October 26, 2018

Turnkey Properties – A Hands Off Real Estate Investment

Hands Off Real Estate Investment

With over 50 years of combined executive experience, we know how to generate our clients’ passive incomes, so let us do it for you (DIFY).

How our Turnkey Properties System Works

Acquisition Process

We conduct an extensive survey of the market to find the best available investment properties. We acquire our Turnkey Properties through brokers, wholesalers, auctions, bank foreclosures, short sales, and tax sales.

Turnkey Property Pro will work with you to identify what your long-term goals are, and find the best available properties to meet your criteria. We then walk you through the entire process of purchasing the property, including helping you set up your own LLC, if you don’t already have one. Our Turnkey Properties have low purchase price points, high cash flow, and possibilities for future appreciation.

Construction Process

We adhere to a strict 150 day construction process that allows you to start collecting rent on the 121st day of the process. Our fully renovated Turnkey Properties include a full interior demolition of the property and a beautiful facelift consisting of new electric, plumbing, full HVAC, drywall, kitchens, bathrooms, floors, and roofing. A full renovation will minimize maintenance in the first few years of leasing.

We guarantee our construction will remain within budget. When you buy a property with us, Turnkey Property Pro will ensure accurate budget costs and expenses. We will not come back to you for more money if the rehab goes over budget.

Tenant Placement

Once the rehab project is complete, we will put the property on the market. Turnkey Property Pro makes it a priority to find the best-qualified tenants to occupy the property. Part of the process also includes conducting extensive background investigations on all potential renters. Once your property has a tenant, the property will be transferred to our property management team. You will receive rent and a monthly statement on the property.

We’ll Do It For You (DIFY)

Why do it yourself, when we can do it for you? Save the DIY projects for your own home, or your in-market investments, let us handle the dirty work, we’ve been doing it for over 50 years.

Ready to talk more? Contact us below we’ll reach out within 24 hours.

October 26, 2018

Top 5 Philly Real Estate Trends in 2018

Philly won’t slow down in 2018.

“We are very bullish on Philadelphia,” said Jerry Sweeney, CEO of Brandywine Realty Trust, at the Urban Land Institute’s Real Estate Forecast last week.

Sweeney was one of a few top developers and experts who spoke to some of the trends to watch in 2018 here in Philadelphia, from a new kind of workplace to a new kind of renter.

Here are five of the top real estate trends to keep an eye out for come 2018.

1. More apartment concessions to sweeten the deal

Philly is expected to see lot of new construction deliver in 2018, with multifamily residential builds making up a good portion of it. So as all of those apartments come online, expect to see a lot of these buildings offering concessions—think one month’s free rent—to entice renters to fill up their vacancies, says Gilchrist.

The luxury rental market is most likely to push this, since, simply put, they’re just too expensive for the average Philly renter to afford. This high-end market averages about $3 per square foot—not many people can afford paying $3,000 a month for a 1,000-square-foot apartment.

As Gilchrist points out, when there are hundreds of older Philly rowhomes available for rent at a much lower price point, luxury apartments are going to have to really woo renters with deals to convince them to live in their building.

Canvas Valley Forge is a new development in King of Prussia catered to renters ages 55 and up. 
Courtesy of Bozzuto

2. The tale of two renters: Millennials and baby boomers

Talk of millennials in Philly isn’t going to go away anytime soon. As long this group keeps moving into Philly in droves (and puts down more permanent roots here), apartments will still keep coming online.

But there’s another type of renter that developers have started to cater to: baby boomers. There’s been a lot of talk of empty nesters downsizing from their suburban mansions and moving into condos and homes in Center City. But research shows that a lot of adults in this age group are actually transitioning from buyers to renters at a faster rate than millennials.

Bradley J. Korman, co-CEO of Korman Communities, says this means that developers now have to market their communities in two very different ways to attract these different types of renters.

WeWork Philadelphia at Northern Liberties
Courtesy of WeWork

3. A boom in coworking and shared work spaces

At last count, coworking spaces like WeWork, Benjamin’s Desk, and the Yard made up 527,000 square feet of total office space in the Central Business District (CBD). While that’s a small percentage of the city’s total office space, the numbers show this type of workspace could account for as much as 30 percent of office space in the country years down the road. “Coworking will be a huge driver,” said Lauren Gilchrist, vice president of research at JLL Philadelphia.

Philly is already home to a plethora of coworking spaces, and there are a bunch more in the pipeline, including Bond Collective at Suburban Station and Spaces in the old Hale Building. Both are set to deliver next year.

Why are these type of offices so attractive? The flexibility these spaces allow is a big factor, but they also come with amenities like outdoor space, kitchens, and host special events. Gilchrist says to “expect vanilla, un-amenitized Class A trophy office space to struggle.”

Rendering courtesy of PREIT/Macerich

4. A different kind of shopping experience

Whoever predicted the end of malls was wrong: They’re not dead, just different. While e-commerce has no doubt caused a major shift in the typical shopping experience, brick and mortar shopping is still the most popular way for folks to consume, and it doesn’t look like people are going to stop shopping in malls anytime soon.

What will change is what malls offer, says Gilchrist. Her research shows that food and beverage is the most popular renovation strategy for malls, making up an astonishing 40 percent, followed by tenant upgrades, entertainment, and multifamily residential features.

PREIT’s redevelopment of the Gallery Mall is a prime example of what Philly should expect with the new shopping experience. After originally promoting itself as the Fashion Outlets, months later it reemerged as the Fashion District of Philadelphia, with an eye toward restaurants and entertainment. Along with flagship stores like H&M, the Fashion District will offer things like Market Eats, a food hall of sorts, as well as a fancy movie theater with reclining chairs with the option to order food and drinks.

PREIT is banking on its redevelopment being one of the most successful mall redevelopments. “We see it as a project that’ll be the premiere urban retail centers in the country,” said CEO Joseph F. Coradino.

King of Prussia is on the move.
 Photo by Philly by Drone

5. Philly will have some stiff nearby competition

The desire to live and build in Center City and Philadelphia in general isn’t going to become any less popular next year. But Gilchrist says that by the looks of it, the ‘burbs are making a comeback, too.

“Expect mixed-use suburban office, multifamily, and retail to peak up steam,” Gilchrist said in her presentation.

There are some suburbs in particular to keep an eye on, starting with King of Prussia. The town has seen $1 billion in development in recent years, including a revamp of the famous King of Prussia Mall and the nearby KOP Town Center that is now home to tons of retail, townhomes, and apartment developments. And although it’s many years down the road, the goal to extend the SEPTA Regional line here has gained recent traction.

On the Main Line in Bala Cynwyd, a developer has undertaken a $100 million master plan to redevelop the town’s historic corridor with new retail, restaurants, and apartments.

And while Camden isn’t a suburb, it is much smaller compared to Philly, but also its closest competition. Liberty Property Trust is responsible for all of the waterfront development that’s happening in Camden on the Delaware River, where there is 1 million square feet of mixed-use development under construction.

“That town finally has momentum that’s gaining traction,” said CEO and president William Hankowsky. “I would watch Camden.”

October 26, 2018

To Invest Or Not To Invest: Philadelphia Real Estate Market

The big real estate investing question this year is not whether to invest in real estate, but where to invest in real estate.

There has never been a better time to buy a real estate investment. But with all the hottest markets in the current housing market being paraded in front of you, which one should you choose?

The Philadelphia real estate market 2018 would be a smart choice and a safe choice for real estate investing this year.

The truth is, while those hot real estate markets can have some of the best real estate investments, they are also usually the most expensive real estate investments. Add in the competition from real estate investors and homebuyers alike, beginner real estate investors will have trouble breaking into such housing markets.

When it comes to the Philadelphia real estate market 2018, it’s a somewhat different story. Let us tell you the real estate investing story of Philadelphia.

Philadelphia Real Estate Market 2018: The BackStory

Philly’s Economy

You probably haven’t heard much about the Philadelphia real estate market 2018, its economy or much else for that matter. But, believe it or not, that can be a good thing for a real estate investor. It’s simply because it can be a sign of stability, one of the best things for successful real estate investing.

No one’s saying the economy of Philadelphia is soaring nor are they saying it’s something Philadelphia real estate investors should worry about. Instead, know that when you invest in Philadelphia real estate, you’ll be surrounded by an economy that is growing, slowly but steadily. This makes for a low-risk Philadelphia real estate investment with the potential to greatly appreciate as the surrounding location experiences growth.

Philly’s Job Market

Addition of jobs is, of course, a major factor in the growth as well as the key to the rising demand for Philadelphia investment property. In 2017, the rate of job growth in Philadelphia was actually faster than that of the national rate.

Even with a fast-growing job market, a Philadelphia real estate investor might be wary of the high unemployment rate of 6.2%. Although much higher than the national unemployment rate, it is declining more than anywhere else in the country. This means things are improving in the Philadelphia real estate market 2018.

As real estate investors know, a location with obvious signs of improvement and growth make for the best places to invest in real estate. This is due to the fact that Philadelphia real estate prices are affordable compared to everywhere else in the current housing market and are likely to see some real estate appreciation as the city improves more and more.

Philly’s Population

Because of this growing job market, the Philadelphia real estate market 2018 enjoys steady population growth. Just another box to tick in the checklist for the best place to invest in real estate. This population growth furthers the positive trends of the economy, mostly because of the large influx of residents that are more educated and wealthier.

Why the BackStory Matters

Keep in mind that while the backstory doesn’t paint an ideal picture and the Philadelphia real estate market 2018 can’t boast all kinds of titles and rankings, it’s heading in the right path. This means great things for a Philadelphia real estate investor who buys investment property right now. The future of the Philadelphia real estate market 2018 and beyond is a bright one for sure.

 

Philadelphia Real Estate Prices: The Plot Thickens

Let’s continue our real estate investing story with Philadelphia real estate market trends. These are significant, of course, to know before you decide to invest in Philadelphia real estate.

 

Philadelphia Real Estate Market 2018: The Stats

Median Property Price: $243,672

Traditional Rental Income: $1,310

Traditional Cash on Cash Return: 2.59%

Traditional Cap Rate: 2.59%

 

Philly’s Real Estate Prices

This is where the plot thickens in the Philadelphia real estate market 2018. A report from Philly.com earlier this year for the reassessment of Philadelphia real estate prices reported a jump of 10.5% in the median property price. Every Philadelphia real estate investor was stunned, as this reassessment comes along with property tax hikes. With the 10.5% increase, it’s likely taxes would increase somewhere between $500 and $1,712.

While these facts might deter you from investing in Philadelphia real estate, local authorities are doing their best to deal with the situation. A bill came soon after that proposes that the City Council should be able to control Philadelphia real estate assessments in the future, preventing unnecessary tax hikes. In other words, the City Council is doing its best to remedy the situation for Philadelphia real estate investors and residents alike.

Despite the fear of higher taxes on investment property, real estate appreciation can be a good thing. If you buy now, Zillow predicts that Philadelphia real estate will go up 5.1% as the year continues. Luckily, this is the kind of real estate appreciation that makes it relatively possible to enter the Philadelphia real estate market 2018 and eventually sell an investment property for a good return on investment.

Philly’s Housing Inventory

The housing inventory in the Philadelphia real estate market 2018 is currently tight. This would explain the Philadelphia real estate market trends with the rising prices. But for 2018, a lot of new real estate development is in the works, especially for multi family homes. Single family homes, on the other hand, will continue to give Philadelphia real estate investors fewer options due to tight inventory, even with new construction plans.

Airbnb Philadelphia: The Subplot

The Philadelphia real estate market 2018 is Airbnb-friendly. Airbnb is legal in Philadelphia while other major cities continue to battle Airbnb or enforce strict regulations on these investment properties. Airbnb Philadelphia welcomes real estate investors with open arms.

Airbnb Philadelphia: The Stats

Airbnb Philadelphia Rental Income: $920

Airbnb Philadelphia Cash on Cash Return: 1%

Airbnb Philadelphia Cap Rate: 1%

With an Airbnb occupancy rate of 67% and general short term rentals having reported record occupancy rates in 2017, Airbnb Philadelphia is a great choice for real estate investors in this housing market.

The Best Neighborhoods in Philadelphia for Real Estate Investing

Interested in investing in Philadelphia real estate? You should be. The Philadelphia real estate market 2018 is only getting better and better with time. Even with Philadelphia real estate prices on the rise, they are relatively affordable compared to other popular real estate markets but still offer a great return on investment.

Of course, this return on investment will only come in the best neighborhoods in Philadelphia. Because some Philadelphia neighborhoods are experiencing drops in real estate prices, high crime rates, and loss of population, a Philadelphia real estate investor really needs to be able to differentiate the best neighborhoods in Philadelphia from the not so great ones. Always be sure to check on such facts before investing in Philadelphia real estate

Old Kensington

  • Median Property Price: $439,999
  • Traditional Rental Income: $1,583
  • Traditional Cash on Cash Return: 1.87%
  • Traditional Cap Rate: 1.87%
  • Airbnb Rental Income: $2,876
  • Airbnb Cash on Cash Return: 4.77%
  • Airbnb Cap Rate: 4.77%
  • Airbnb Occupancy Rate: 57.57%

Greenwich

  • Median Property Price: $259,900
  • Traditional Rental Income: $1,549
  • Traditional Cash on Cash Return: 3.23%
  • Traditional Cap Rate: 3.23%
  • Airbnb Rental Income: $1,814
  • Airbnb Cash on Cash Return: 4.3%
  • Airbnb Cap Rate: 4.3%
  • Airbnb Occupancy Rate: 43.52%

West Poplar

  • Median Property Price: $502,000
  • Traditional Rental Income: $1,715
  • Traditional Cash on Cash Return: 1.32%
  • Traditional Cap Rate: 1.32%
  • Airbnb Rental Income: $2,820
  • Airbnb Cash on Cash Return: 3.37%
  • Airbnb Cap Rate: 3.37%
  • Airbnb Occupancy Rate: 51.86%

East Poplar

  • Median Property Price: $614,900
  • Traditional Rental Income: $1,730
  • Traditional Cash on Cash Return: 0.95%
  • Traditional Cap Rate: 0.95%
  • Airbnb Rental Income: $3,061
  • Airbnb Cash on Cash Return: 3.19%
  • Airbnb Cap Rate: 3.19%
  • Airbnb Occupancy Rate: 50.28%

East Passyunk

  • Median Property Price: $332,500
  • Traditional Rental Income: $1,635
  • Traditional Cash on Cash Return: 2.41%
  • Traditional Cap Rate: 2.41%
  • Airbnb Rental Income: $1,792
  • Airbnb Cash on Cash Return: 2.89%
  • Airbnb Cap Rate: 2.89%
  • Airbnb Occupancy Rate: 44.64%

Dickinson Narrows

  • Median Property Price: $329,900
  • Traditional Rental Income: $1,863
  • Traditional Cash on Cash Return: 2.73%
  • Traditional Cap Rate: 2.73%
  • Airbnb Rental Income: $1,720
  • Airbnb Cash on Cash Return: 2.4%
  • Airbnb Cap Rate: 2.4%
  • Airbnb Occupancy Rate: 43.95%

Graduate Hospital

  • Median Property Price: $479,900
  • Traditional Rental Income: $1,873
  • Traditional Cash on Cash Return: 1.92%
  • Traditional Cap Rate: 1.92%
  • Airbnb Rental Income: $1,952
  • Airbnb Cash on Cash Return: 2.11%
  • Airbnb Cap Rate: 2.11%
  • Airbnb Occupancy Rate: 45.26%
October 26, 2018

Philadelphia Housing Market Predictions 2018, 2019, 2020

Philadelphia is perhaps the brightest housing market in the nation, with one report suggesting a price growth of 16.6% (now 13.4% in May). See the national housing report and the housing forecast for 2019.

Prices have risen 11.3% in the last year and an astonishing 31% in the last 2 years according to Zillow. DOM are at record lows. Buyers are eager, but listings are scarce.

You can see how Philadelphia’s prices contrast to other cities and the general forecast for the US.
That’s much higher price growth than in the Bay AreaLos AngelesMiamiHoustonSeattleSan DiegoNew York and Boston.. For investors, Philadelphia might be one of the best cities for capital appreciation by 2020.

 

Philadelphia Sales Price History and Forecast courtesy of Zillow

 

2018 has been a phenomenal year with new construction releases so plentiful, and while sales and apartment rentals were buoyed by free concessions, the demand is getting so intense that incentives won’t be needed to fill homes and condos being built.

Home buyers in Philadelphia and real estate investors are wondering whether this is a good time to buy in Philly.

How does this city compare with the best cities to invest in? Prices are expected to rise 13.4%, listings have fallen 1200 during the last month, foreclosures are up, and sales actually rose 18% last month.  Sold vs list price was 98% which is much stronger than average in the last 2 years.

Rent Price History courtesy of Zillow

Philadelphia Community Homes For Sale Median Sale Price Price Growth Price Growth Forecast
Bustleton 37 $239,900 7.8% 9%
Chestnut Hill 35 $737,500 7.80% 9%
East Mount Airy 55 $200,000 1.10% 1.60%
Fishtown 122 $324,947 8.40% 10.70%
Fox Chase 23 $229,900 10.30% 9.80%
Mayfair 47 $179,000 11.80% 14.20%
Millbrook 7 $195,000 12.40%
Overbrook 67 $153,900 5.20% 13.80%
Oxford Circle 68 $156,750 9.40% 14.90%
Point Breeze 164 $309,900 23.20% 4.30%
Rhawnhurst 34 $229,900 11.40% 14%
Rittenhouse Square 103 $554,450 1.60%
Somerton 35 $243,400 6.10% 8.70%
West Mount Airy 44 $349,900 1.10% 1.60%
West Oak Lane 79 $140,000 0.60% 12.20%

What’s Driving Philadelphia’s Market

Although not enjoying the same employment rate growth of Dallas or Phoenix, job growth in Philadelphia-Camden-Wilmington, PA-NJ-DE-MD Metropolitan Statistical Area rose 39,700, or 1.4% over the year, according to the  U.S. Bureau of Labor Statistics.  Demand for homes is steady but availability is the issue as it is in so many cities across the country.

Word is, that the market is driven by Millennials and Babyboomers. It seems millennials are selling their big houses in favor of renting. As rental opportunities appear, we might see more sell their homes.

Median List price rocketing in 2018. Screen Capture courtesy of Zillow

Since 2015, rents have risen about $150 on average, not the same rate as home prices during the same period.

 

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October 26, 2018

Baltimore’s Mayor Catherine Pugh Pushes Development In Real Estate

Baltimore has seen an impressive amount of improvement in recent years to areas like Fells Point, Canton and the Inner Harbor, but most are well aware of just how incomplete its revitalization has been.

“When developers take a real interest directly in the neighborhood, it creates jobs and can transform the neighborhood.”

Baltimore Mayor Catherine Pugh, speaking at Bisnow’s Baltimore State of the Market event on March 29, 2018

“Our transformational work has been in the white neighborhoods in town, and over the 44 years we’ve been here, there has not been a ton of progress in East and West Baltimore,” Cross Street Partners principal Bill Struever said at Bisnow’s Baltimore State of the Market event March 29.

Real progress is underway on both ends, with the ultimate goal of stitching East and West Baltimore together, according to Struever. To the east, Cross Street Partners is part of a group tasked with a massive redevelopment of the Perkins Homes, Somerset and Old Town Mall areas. But as with any impoverished area, special concern has to be given to avoid displacing the residents who have lived through the worst times.

“It’s really a social mission, because it would be awful to live in a dilapidated neighborhood for decades, and finally, when the spigot turns on, for it now to be a great neighborhood, you’re no longer there,” La Cité Development President Dan Bythewood said. La Cité is underway on its own sizable development in West Baltimore called Center\West, which will ultimately deliver around 3,000 residential units, 20% of which will be designated as affordable housing. Like in East Baltimore, La Cité will depend on a patchwork of funding from federal, state and local governments, along with nonprofit investment.

“The city supports us in every way that they can,” Bythewood said. “We’ve been fine for financing, and when we put a shovel in the ground, our project doubled the amount of [expected] inclusionary housing in the city of Baltimore.”

Baltimore Mayor Catherine Pugh is well aware of the impact developments like Center\West can have, calling it “something unheard of” in her keynote address. Pointing out how cities like Detroit and Cleveland relied on private investment to jump-start recoveries, Pugh committed to doing more to entice such capital sources.

“We’re looking for private investors to look into communities that deserve that kind of investment, but we should also have more skin in the game,” Pugh said.

 

Pugh said the city will be launching its own investment vehicle with $50M behind it, with the goal of enticing private partners to join in and multiply the capital and its impact. “Help us to get to $200M a year, which over the next five years is a $1B investment that can turn our city around,” Pugh said.

Pugh’s proposal is another example of what Struever referred to as American cities’ increasing self-reliance in the face of the shrinking budget at the Department of Housing and Urban Development. “You can’t blame it on this administration; the federal government has been taking money away going back to the Reagan administration,” Struever said. “They’ve been disappearing from the funding environment. Fortunately, many cities have been investing in projects, and they have [experienced] growth that allows them to self-invest.”

The development team behind the East Baltimore revival plan is still hoping for federal funding not to disappear completely — the group, led by McCormack Baron Salazar and including Beatty Development Group, has applied for a $30M grant from HUD’s Choice Neighborhoods Initiative program.

Beatty Vice President Tim Pula called the $30M “a drop in the bucket,” but emphasized how developers have to scratch and claw for every bit of funding when affordable housing is involved. “Debt and equity is relatively easy to figure out, but all the different layers of funding from city, state and the federal government are very significant and very difficult to deal with.”

 

M&T Bank Administrative Vice President Chris Beach and Himmelrich Associates President Sam Himmelrich

To that end, Pugh made two encouraging announcements: For four straight months, violence has decreased in Baltimore City, a total decline of over 30% in every single category. The city is also planning to build 23 new schools in the coming years, not including the City Springs elementary and middle school that will be replaced as part of the East Baltimore project.

“We will build more new schools in Baltimore City than in the entire state of Maryland,” Pugh said. The city’s show of results essentially amount to a bet that it is hoping businesses call. With a promise to continue to decrease taxes for the city, Pugh emphasized the need for private help.

“One of the things that I said when I came in as mayor in 2016 was that the city can’t do everything by itself,” Pugh said. La Cité, Beatty, Cross Street and the other developers attached to neighborhood revitalization projects have answered the call, which Bythewood characterized as doing a public service.

“Since developers control the purse strings, it depends on how much you want to drive into these communities,” Bythewood said. “When developers take a real interest directly in the neighborhood, it creates jobs and can transform the neighborhood.” La Cité put Bythewood’s philosophy into practice with the $80M investment it made into Center\West, but it had help from major national capital sources — a point Bythewood emphasized.

“You guys in Baltimore need to have more faith that growth is coming,” Bythewood said. “BlackRock has put money into West Baltimore. Think about that.”

Matthew Rothstein, Bisnow Philadelphia

Read more at: https://www.bisnow.com/baltimore/news/economic-development/

October 26, 2018

Baltimore Seeks $102.3M TIF For Massive Redevelopment In The East

Baltimore officials are seeking a tax increment financing package totaling $102.3 million to help pay for a nearly $900 million redevelopment of a blighted area between Harbor East and Johns Hopkins Hospital.

The TIF would pay for some of the redevelopment of Perkins Homes, a public housing complex, the former Somerset Homes site, a new City Springs Elementary and Middle School, two new public parks, infrastructure and a network of roads and sidewalks in the community.

The massive redevelopment was first detailed in March by the Baltimore Business Journal. It would total $155 million in infrastructure improvements, $309 million in commercial and mixed-use development and $425 million in new housing, according to figures unveiled during a special meeting of the city Board of Finance on Monday.

A team of private developers that formed PSO Housing Co. will spearhead the project led by Beatty Development Group, St. Louis-based McCormack Baron Salazar; Cross Street Partners, the Henson Development Co., founded and owned by former city housing commissioner Daniel P. Henson III, and Mission First Housing, a low-income housing group based in Philadelphia.

The downtrodden area slated for redevelopment is only blocks away from Harbor East and Harbor Point, the fast-developing waterfront neighborhood and commercial districts. Among projects being built there are high-end residential and commercial towers, as well as a 50,000-square-foot Whole Foods.

The city has applied for a $30 million Choice Neighborhoods grant from the U.S. Department of Housing and Urban Development and should receive an answer by the end of the month, Mayor Catherine Pugh told the finance board.

“We are one of six cities now vying for three grants,” Pugh said.

Pugh said the move to start the process to establish the TIF portion of the redevelopment was timely considering the federal grant timeline.

“This is a neighborhood TIF that will help to improve neighborhoods,” she said. “This is the kind of TIF my administration is pushing.”

In the past, the city has approved TIF packages for projects that include Harbor Point, Mondawmin Mall, the East Baltimore Development Inc. and Clipper Mill. None of those approached the dollar amount approved for Port Covington, the development proposed by Under Armour CEO Kevin Plank’s real estate arm. Sagamore Development Co. was awarded $660 million in tax increment financing for the project in 2016 but has not set a date for selling the bonds yet.

The TIF to PSO Housing Co. would be spread out in three separate bond sales, said Keenan Rice, president of MuniCap Inc., a private financial consultant hired by the city.

The first bond sale would fund the demolition and replacement of Perkins Homes at an estimated cost of $13.4 million. The replacement of City Springs would cost $33.8 million and the new parks and a recreation center in the neighborhood would cost $20 million, a report to the finance board by the Housing Authority of Baltimore City said.

Work could begin on razing 629-unit Perkins Homes later this year and replacing them with 737 units of affordable housing, said Stephen Kraus, deputy director of the Department of Finance.

A total of more than 2,100 new housing units are expected to be built in the nearly 200-acre footprint — a mixture of public housing, affordable and market-rate units. In addition, Caroline Street — that runs north and south along the footprint — would be framed by bike lanes.

The city’s Board of Finance voted unanimously to approve the “concept of the TIF” and legislation will soon be introduced before the City Council to begin the private bond sale process, Kraus said. Public hearings will be held by the council in the coming months.

The 393-unit Douglass Homes public housing development could also be razed and redeveloped as part of the project, said Bill Struever, a member of the development team, earlier this year. Tania Baker, a spokeswoman for the city housing authority, said it was not included in the plans.

The redevelopment of the Somerset Homes site would be overseen by Henson, who is including the 16-acre Old Town Mall redevelopment in his plans. Some of the designs have been presented to the city’s design panel in the past six weeks. In January, the state Department of Commerce re-designated the Old Town Mall area an Enterprise Zone, making it eligible for tax credits upon redevelopment.

Overall, there are 3,715 new jobs projected as part of the redevelopment, city finance officials said.

By Melody Simmons  – Reporter, Baltimore Business Journal

October 26, 2018

Baltimore Home Prices Rise To 10-Year High!

Median home prices rose again in June, reaching $285,000, a 2 percent increase from last year, according to monthly data provided by MarketStats by ShowingTime based on listing activity from Bright MLS.

The June price was the highest for the month in a decade and near the top price of $289,900 reached in 2007.

The region’s housing market continues to suffer from declining inventory, with active listings of homes for sale falling 8.7 percent to 10,136 at the end of June. It was the 34th consecutive month of year-over-year inventory declines. But June was also the second month in a row in which that drop was below 10 percent.

The low inventory may explain why fewer homes were sold in June, 4,230 compared with 4,509 a year earlier. The sales volume fell 5.4 percent to $1.37 billion, year-over-year.

Despite the decline in sales, demand appears strong by other measures, with sellers fetching 97.4 percent of their asking price for homes sold in June, up from 96.6 percent in June 2017, but down from May’s record-setting 97.5 percent. The median number of days homes were on the market before going under contract was 15 in June, four days fewer than a year earlier and the fastest sale time in the last 10 years.

Howard County continues to have the most expensive homes, with median sales prices in June up 2.4 percent to $448,000. Baltimore City remained the most affordable, with prices up 3.7 percent to $170,000.

Harford County home prices jumped the most, up 9.5 percent to $276,000. Carroll County prices were up 1.8 percent to $325,000.

Baltimore County home prices dipped 0.4 percent to $249,000, while Anne Arundel County homes decreased in price 0.5 percent to $340,000.

 

Meredith Cohn – Contact Reporter

The Baltimore Sun

October 26, 2018

Turnkey Properties – A Hands Off Real Estate Investment

Hands Off Real Estate Investment

With over 50 years of combined executive experience, we know how to generate our clients passive incomes, so let us do it for you (DIFY).

How our Turnkey Properties System Works

Acquisition Process

We conduct an extensive survey of the market to find the best available investment properties. We acquire our Turnkey Propertiesthrough brokers, wholesales, auctions, bank foreclosures, short sales and tax sales.

Turnkey Property Pro will work with you to identify what your long-term goals are, and find the best available properties to meet your criteria. We then walk you through the entire process of purchasing the property, including helping you set up your own LLC, if you don’t already have one. Our Turnkey Properties have low purchase price points, high cash flow, and possibilities for future appreciation.

Construction Process

We adhere to a strict 120 day construction process that allows you to start collecting rent on the 121st day of the process. Our fully renovated Turnkey Properties include a full interior demolition of the property and a beautiful facelift consisting of new electric, plumbing, full HVAC, drywall, kitchens, bathrooms, floors and roofing. A full renovation will minimizes maintenance in the first few years of leasing.

We guarantee our construction will remain within budget. When you buy a property with us, Turnkey Property Pro will ensure accurate budget costs and expenses. We will not come back to you for more money if the rehab goes over budget.

Tenant Placement

Once the rehab project is complete, we will put the property on the market. Turnkey Property Pro makes it a priority to find the best-qualified tenants to occupy the property. Part of the process also includes conducting extensive background investigations on all potential renters. Once your property has a tenant, the property will be transferred to our property management team. You will receive rent and a monthly statement on the property.

We’ll Do It For You (DIFY)

Why do it yourself, when we can do it for you? Save the DIY projects for your own home, or your in market investments, let us handle the dirty work, we’ve been doing it for over 50 years.

Ready to talk more? Contact us below we’ll reach out with 24 hours.

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