OUR SERVICES

Residential Real Estate Investments

Detailed information about residential areas in the vicinity of Miami, Fort Lauderdale, Boca Raton, Palm Beach and Orlando

Research and identification of condominiums and houses within a wide range of budget and price requirements to accommodate clients’ needs

Providing clients with comparative analysis of properties found within proximity to peripheral desired areas and the buildings

Seamlessly carrying out price negotiations on the desired properties to determine that the client achieves optimum conditions

Implementation and execution of all legal and official process regarding the lease, sale, purchase and deed transactions under the professional guidance of legal partners

Legal counseling regarding visas and residence permits, for which can be applied by purchasing property or real estate in the United States of America through our trusted licensed attorney partners

Referring clients to the essential financial resources such as mortgages and hard money lending

Property Management Services

Commercial Real Estate Investments

Residential Real Estate Investments

Research and identification of high return residential and commercial investment properties

Forming corporations, partnerships and LLC s which the investment property will be purchased and registered under

Execution of all legal and official process regarding the lease, sale, purchase and deed transactions of your investment property

Accounting services (utilizing our Certified Public Accounting License)

i. Cash management

ii. Accounting for tenants’ ledgers

iii. Reconciliation of bank accounts

iv. Reconciliation of operating expense variances

v. Filing and payments of City/State/Federal Taxes+ Fees

vi. Recording tenant’s receipts

vii. Financial Reporting

Property Management Services

i. Abstracting leases

ii. Timely payment of invoices

iii. Providing rent statements

iv. Depositing rent payments

v. Determining your lease value

vi. Preparing the property for showing

vii. Marketing the property

viii. Professionally Screen the potential tenants

ix. Preparing the Rental/ Lease & Accompanying Documents

x. Collecting Rents & Fees

xi. Posting tenant notices as needed

xii. Coordinating any possible Evictions

xiii. Coordinating repairs and maintenance as needed

Commercial Business Investments

We Build the Team

Before beginning the process of evaluating a potential business for sale and negotiating, we help you get the right team together consisting of:

· A certified public accountant (CPA) to help you review the books and financials.

· An attorney to help prepare and review documents for the sale.

· Unless you have the cash for the purchase, we assist in identifying a lender for the purchase.

· We identify the right insurance advisors, from whom business (property and casualty) insurance and malpractice insurance (from separate companies) will be purchased.

· We serve as the broker for the purchase

We do a Preliminary Investigation, Including Due Diligence

This process is performed by you and our team consisting of broker, accountant and attorney after the intent to purchase has been signed but before the formal purchase agreement. The purpose of due diligence is to allow you to thoroughly examine the company so you can make an informed decision before purchasing.

We help you sign a Letter of Intent

Often in a business purchase, the seller will require the buyer to sign a letter of intent. This is a non-binding agreement that prohibits the buyer from discussing information about the business to outsiders. The letter also serves to keep the seller from talking to or negotiating with other potential buyers during this time.

We help you negotiate the Terms

This stage includes analysis of the valuation of the business, performed by an appraiser, which is only a starting point. The negotiation comes down to an agreement between you and the seller.

We work with you to Close the Deal by our attorneys

The closing of a business deal happens when you and the seller and both parties’ attorneys get together to sign documents and pass checks around the table. At this point, all the work has been done, and there is no more room for negotiation or changes.

Relocation Services

Commercial Business Investments

Interested in relocating to the United States?

We provide relocation services to individuals who are interested in moving to the United States and start living the American Dream!

Please refer to Relocation Information Page on our website for detailed information.

Why Invest in Income Producing Real Estate?

There are many options of protecting and growing your hard earned wealth; however, income producing real estate is one of the safest bets in today’s economic environment and here is why;

Owning income producing properties (residential rentals, apartment buildings, strip malls, self-storage units, mobile home parks and others) is one of the best ways to build wealth in real estate. The possibilities are very real for positive cash flow, appreciation and several tax benefits which all play a strong role in increasing your net worth and when done right your tenants, through the rents they pay, are making it all happen for you.

Positive cash flow

One of the biggest benefits to income producing real estate investments is that leases generally secure the assets. This provides a regular income stream that is significantly higher than the typical stock dividend yields.

Using leverage to multiply asset value

Another important characteristic of commercial real estate investing is the ability to place debt on the asset, which is several times the original equity. This allows you to buy more assets with less money and significantly multiply asset value and increase equity as the loans are paid down.

Low-cost debt leveraged to multiply cash flow

Placing “positive leverage” on an asset allows for investors to effectively increase positive cash flow from operations by borrowing money at a lower cost than the property pays out. For example, if a property generating a 6 percent cash-on-cash return were to have debt placed on it at 4 percent, the investors would be paid 6 percent on the equity portion and approximately 2 percent on the money borrowed, thereby leveraging debt.

Hedge on inflation

For each dollar that is created, there is a corresponding liability. Real estate investments have historically shown the highest correlation to inflation when compared to other asset classes, such as the S&P 500, 10-year Treasury notes and corporate bonds.

As countries around the world continue to print money to spur economic growth, it is important to recognize the benefits of owning income producing real estate as a hedge against inflation. Generally speaking, when inflation occurs, the price of real estate, particularly multi-tenant assets that have a high ratio of labor and replacement costs, will also rise.

Capitalize on the physical assets

Income-producing real estate is one of the few investment classes that, as a hard asset, has meaningful value. The property’s land has value, as does the structure itself, and the income it produces has value to future investors. Income producing real estate investments do not have red and green days, as does the stock market.

Maximizing tax benefits

The US Tax Code benefits real estate owners in a number of ways, including unlimited mortgage interest deductions and depreciation accelerations that can shield a portion of the positive cash flow generated and paid out to investors. At the time of sale, IRS allows investors a 1031 provision, allowing investors to exchange into a like-kind instrument and defer all taxable gains into the future.

Asset value appreciation

Over time, more and more inflation has made it into the economy, drastically reducing purchasing power. However, income producing real estate investments have historically provided excellent appreciation in value that meet and exceed other investment types. Properties historically increase in value as the net operating income of the property improves through rent increases and more effective management of the asset.

THE Two Main Options in Income Generating Real Estate Investment

Basic Rental Properties

This is an investment as old as the practice of land ownership. A person will buy a property and rent it out to a tenant. The owner, the landlord, is responsible for paying the mortgage, taxes and costs of maintaining the property.

Ideally, the landlord charges enough rent to cover all of the aforementioned costs. A landlord may also charge more in order to produce a monthly profit, but the most common strategy is to be patient and only charge enough rent to cover expenses until the mortgage has been paid, at which time the majority of the rent becomes profit. Furthermore, the property may also have appreciated in value over the course of the mortgage, leaving the landlord with a more valuable asset.

One of the major risks with this kind of investment is to have bad tenants who damage the property or, worse still, end up having no tenant at all. This leaves the investor with a negative monthly cash flow. There is also the matter of finding the right property.

The biggest difference between a rental property and other investments is the amount of time and work you have to devote to maintaining your investment. When you buy a stock, it simply sits in your brokerage account and, hopefully, increases in value. If you invest in a rental property, there are many responsibilities that come along with being a landlord. This is when SPO Advisory comes as a professional property manager and resolves all the issues on your behalf.

Real Estate Trading

This is the higher risk higher return side of real estate investment. Like the day traders who are leagues away from a buy-and-hold investor, the real estate trading is an entirely different line of investment from the buy-and-rent practice. Within real estate trading, we buy properties with the intention of holding them for a short period of time, often no more than three to four months, whereupon we plan to sell them for a profit. This technique is also called flipping properties and is based on buying properties that are either significantly undervalued or are in a very hot market.

In pure property flipping, typically we will not put any investment into a property for improvements; the investment has to have the intrinsic value to turn a profit without alteration or we won't consider it. Flipping in this manner is a short-term cash investment; however, this is the less preferred flipping strategy we follow.

The second class and more preferred property flipping for SPO Advisory LLC is through buying reasonably priced properties and adding value by renovating them. Depending on the investor’s choice and market conditions as well as opportunities available in the market, this can be a longer-term investment depending on the extent of the improvements.