Flipper makes 53% return in 30 days using the auction method of marketing real estate.
A New York real estate investor purchased the childhood home of President Donald Trump this past December for $1.39 million. Throw in the auction method of marketing and a 30 day auction marketing plan sales price of $2.14 million is achieved. A 53% return on investment. And they say auctions are the method of last resort, fire sales and giving your property away.
CBS News reports that president’s father, Fred Trump, built the home in the Queens neighborhood around 1940, and the Trump family lived there for 10 years before moving around the corner.
The Trump homestead offered five-bedrooms, 4.5-bathrooms, an eat-in-kitchen, formal dining room, fireplace, screened patio, den, finished basement, and hardwood floors along with a two-car garage.
Michael Davis purchased the home in December from Isaac & Claudia Kestenberg, who purchased it in 2008 for $782,500 and later sold it as part of divorce proceedings. The Kestenbergs wanted to auction the house in October, after the third debate between the Donald Trump & Hillary Clinton. However, they chose to postpone the auction after “significant media attention.”
The home’s address is 85-15 Wareham Place in Jamaica Estates, in New York City’s Queens neighborhood. This is the address listed as the home address on the president’s birth certificate. Median home sales in the neighborhood is $850,000 according to Trulia.
Mr. Davies sold the home at auction grossing 2.5 times the median home value in the neighborhood, that is a deal that Donald Trump himself would be proud of. How do you place a value on the childhood home of a President of the United States? Simple you tell the market what day it’s going to sell and allow them to financially compete to own it.
The losers in this deal are the Kestenbergs. When “significant media attention” happens in the auction industry we call that “free advertising”!
Read the CBS News Article Here