• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
Logo 2x

Vestright

Transforming Lives Through Real Estate

  • Home
  • About
  • Podcasts
  • FAQ
  • Blog
  • Testimonials
  • Contact
  • LOGIN

Exit vs Payday

October 22, 2020 by David Hill Leave a Comment

Finished Lot Values

How does the national builder make a bigger profit margin than the local builder?

There are 3 main factors to consider:

-Building costs

-Real Estate Agent Cost

-Finance Costs

When we run the math in order to figure the costs for both the national and the local builder. I run a profit margin at about 12% for local and 20% for national builders.

Yes, a national builder has a higher profit margin but that is because they typically have buying power, in house agents and in house financing.

BUT…the math still works out to where the finished lot is worth about the same amount of money for either builder!

In the end, a finished lot is worth what a finished lot is worth. It's only worth what the market will bear.

Here at VestRight, we teach you how to do the math on land deals in order to know what the profit margin is going to be. If you are interested in more information on what we do and how we do it, the best place to start is by watching our video presentation here: https://shrtlnk.co/KuwiM

Posted by Cody Bjugan – VESTRIGHT on Tuesday, October 13, 2020

Today we are talking Land Deals and getting paid. 

When you exit out of a deal versus when you get paid isn’t necessarily going to happen at the same time. 

In our course, Land Deals Revealed we teach all aspects of becoming a Land Acquisition Specialist. Here are some of the basic steps that we take in the land deal process:

  1. Executed Land Purchase Contract
  2. Feasibility Study Completed
  3. Project Approved/Closing
  4. Finished Lot Sale
  5. House Sale

Throughout the steps, there are different potential paydays. The key is patience. The longer you walk the project through the steps the larger your payday. 

If you are interested in more information on what we do and how we do it, the best place to start is by watching our video presentation here.

Filed Under: Land Deals Revealed

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

Latest Posts

How to Make Money During a Recession with Raw Land

The real estate market in 2023 is becoming increasingly uncertain, with some people fearing a recession in the U.S. housing…

Read More

The Benefits of Raw Land Investing

This is a great time to start investing in raw land with development potential. Whether you're a real estate professional…

Read More

A Guide to the Land Entitlement Process

Once you’ve found a piece of raw land that you want to take to home builders for development, you first…

Read More

Raw Land: A Guide to Closing Big Deals

Land acquisition is an overlooked, untapped market that can offer strong ROI for real estate professionals and entrepreneurs… as long…

Read More

What do you think…?

Had a blast today at the range with a great group of guys I mastermind with!

Read More

Footer

vestright-logo

© 2023 VestRight® | All Rights Reserved
Privacy Policy | Terms Of Use

5005 Lyndon B Johnson Fwy Suite 300 Dallas, TX 75244

DISCLAIMER: The figures stated on this page are our personal figures and in some cases the sales figures of previous or existing clients. Please understand these results are not typical. We're not implying you'll duplicate them (or do anything for that matter). The average person who buys "how to" information gets little to no results. We're using these references for example purposes only. Your results will vary and depend on many factors including but not limited to your background, experience, and work ethic. All business entails risk as well as massive and consistent effort and action. If you're not willing to accept that, please DO NOT PURCHASE ANY VESTRIGHT COURSES.

Download Your FREE “7-Figure Raw Land Paydays” Playbook

Please enter your name and email below.



 






No thanks, I don’t want to download the playbook