Infinite Horizons, LLC believes the opportunity to acquire foreclosed properties is ideal because of the volume, condition, and steadily declining prices of these properties on the market. Due to last year’s performance, national real estate prices have declined as much as 18%, with prices continuing to fall. This does not take into consideration properties still expected to come on to the market over the next year because of the continuing foreclosure problem.
Strengths as a Company
- Foreclosures are a good avenue to begin investing in real estate a as a start-up real estate company because many larger private real estate investors and companies view foreclosure purchasing as a small and costly investment due to the time and resources one has to put into the homes, as well as the pricing of many of these properties currently on the market.
- Foreclosures are a good avenue to begin investing in real estate a as a start-up real estate company because many larger private real estate investors and companies view foreclosure purchasing as a small and costly investment due to the time and resources one has to put into the homes, as well as the pricing of many of these properties currently on the market.
- The company can maintain a low overhead because of its hands-on approach in doing the necessary due diligence to acquire and manage foreclosed properties.This would entail finding the properties, gathering background research and data on properties, project management through construction, and property management post construction.
- The use of technology such as Blackberries, laptops, and using software programs such as Microsoft Project Management, Small Business, and Quick Book programs helps manage the company’s internal and external operations that include capital management, customer service for its clients, scheduling meetings,
and project management activities. - Infinite Horizons, LLC has developed relationships with well-seasoned real estate professionals including realtors, lenders, contractors and attorneys that understand foreclosures and can assist in the acquisition, financing, and rehabilitation
of the properties.
Opportunities within Industry
- Infinite Horizons, LLC is the only start-up, minority-owned small business in Queens’s specializing in foreclosed properties for investing, rehabilitating and managing in order to become affordable housing opportunities for first time home buyers or low- to moderate-income households.
- Infinite Horizons, LLC will have the opportunity to collaborate with nonprofit organizations to develop foreclosures and access government subsidies to make the homes more affordable to qualified income purchasers. The subsidies would be provided by the State of New York Housing Finance Agency’s Neighborhood Stabilization Program to assist with reducing the purchase price of the property.
- Another opportunity of acquiring foreclosures in high cost markets is the potential to create long term affordable housing. In high cost markets, for example, acquiring foreclosed properties may not only stabilize home prices and neighborhoods reeling from foreclosure-related displacement, but also provide an opportunity to create long term affordable housing options (New York University Furman Center for Real Estate and Urban Policy: Transforming Foreclosed Properties into Community Assets).