If you are not familiar with the SRAP (Small Rental Assistance Program) offer on the Mississippi Coast, it would be a good time to read more about it. The Small Rental Assistance Program is designed to help address the affordable housing issue on the Mississippi Gulf Coast and awards up to $40,000 per door to investors who want to rent to moderate and low income families for at least 5 years.
The SRAP program is one of the single best programs for investors because it allows them to easily obtain properties that can cash flow considerably from day one. The problem that many investors have seen with this program is that real estate brokerage companies and builders have teamed up to push new construction products as the only means of getting it when this is not true.
Utilizing existing inventory is generally a much quicker way of getting approval – and getting your money, not to mention it offers some tremendous opportunities for cash flow potential.
LowestRealEstate is a website managed by us where we have put together some of the best deals available for cash flow. We have pulled properties that would cash flow very well with only minimal down (albeit we generally recommend 20% down due to lending guidelines and better positioning). Many of these properties have CAP rates in the 9% – 11% range before applying SRAP and some have 20%+ CAP rates when utilizing the Small Rental Assistance Program funds. These CAP rates are unheard of! We do have limited inventory so jump on them as quickly as possible. We have put together options on these to protect our interest but if you do not see anything you like we will be more than happy to help you find other properties that the numbers will still work out beautifully on.
The properties listed on LowestRealEstate.com are put together as good investments with or without SRAP. As with any government program, you never can be certain you will receive it, albeit the likelihood is great so long as you are within the guidelines. If you do not get it for whatever reason, the properties will STILL make good investments – unlike those new construction duplexes you have been pitched time and again.
Take a look at LowestRealEstate and contact us for more information – before time runs out. The deadline to apply is December 15th – and you should have the deed in hand when applying…
