Invest with The Monticello Group:

With current market fluctuations over the past 18 months and the Government lowering interest rates, it has been difficult to make a good return on ones money. 

In 2008, the market dropped 40% of its value in only a few months. Despite the recent gains, there is still much volatility in the stock market. Putting your money in a bank involves less risk; however, they are only paying between 1%-2% on your money.

So why invest in Real Estate now?

1. Not all areas of Real Estate are worth investing in. For example, building permits for houses above $500,000 has dropped significantly. Since it has become more difficult to qualify for a home in that price range, the demand has declined significantly, which has left an over supply of inventory and little need for additional building.
2. Most Economists believe that we have hit the bottom of the market. After 18 months of foreclosures and a drop in Real estate prices most economists believe that we have hit the bottom of the market or will hit the bottom in the next few months.
3. Most foreclosures and “toxic” assets held by banks should be clearing soon.  The banks have taken a significant hit to their balance sheet and cleared much of their REO properties. Most economist believe that a significant portion of foreclosures and “toxic “assets should be off banks books by the end of 2009. This means that new construction will no longer have to compete as much with “short” sales and foreclosures.
4. Utah Population continues to Grow: As a result of larger families and migration from other states, our growth rate in Utah continues to be positive. This growth continues to create a demand for housing, especially at the entry-level point of the housing market.

Why invest with us?

1. The portion of the Real Estate market that is turning over the most is under $200,000. Almost two years ago, realizing the changes taking place in the market, The Monticello Group decided to focus on townhomes in the $150,000-$200,000 range. Because of tighter credit requirements and “stated” income loans no longer being available, many people who formerly could qualify for $250,000-$300,000 are now only being able to qualify for $150,000 -$200,000.
2. We are a local, and a financially conservative company: Because of the lessons we have learned by observing the market and those in the industry that have failed, we only build 2-4 units ahead of the real estate purchase contracts we have in place. In addition we meet regularly with investors to give them an update on the project they’ve invested in and walk them through the project(s).
3. We minimize the risk for our investors:
• Our Investors are always in first position: We never ask our investors to subordinate the property and always maintain them in first position.
• We pay the investor off first: As we move forward in each phase, we reimburse the investor on the fully entitled land cost regarding that particular phase. This pays back the principle investment reduces the average balance of the investment.
• Profits are paid as we close each unit: Unlike most Real Estate development projects, we do not ask our investors to wait until the end of the project to get paid. We pay our investors the profits related to each unit as it closes.
4. We offer our investors an excellent return on their investment. Not only do we minimize the risk for each project, but we also offer our investors a very good return on their money – typically between 20-30% (APR) depending on the amount and type of investment.
5. We are flexible in structuring the Financial Agreement. Some investors want to be equity partners; others just want a fixed return. We are flexible in structuring the terms of each agreement. The return on investment will also depend on the option the investor chooses.