Frequently Asked Questions
- What are the criteria used by Select Capital Group (SCG) to establish a viable investment for its members?
Select Capital Group adheres to the following criteria and parameters:
- The investment falls under one of the following:
Pre-Development, Pre Construction, New Construction or Land.
- The investment must be located in an emerging market and provide at least one, if not more, of the following benefits:
1) Tax Benefit
2) Positive Cash Flow
3) Built in Equity
4) Appreciation
- The Developer must have at least 10 years of prior experience and have a strong local presence.
- If located within a subdivision, the number of investors allowed to invest in a specific subdivision must be limited to between 10% to 25%. (This protects the integrity of the neighborhood). Select Capital Group does not encourage our members to purchase in neighborhoods that are mostly investor occupied.
- Priced between $99K to $350K (some exceptions may apply).
- Most have either at least 25-50K built in equity or the estimated monthly rent will be approximately 1% of the purchase price.
- Can Select Capital Group guarantee I will make money?
As we are not financial advisors, nor speculators, we can never guarantee our members will make money. While we do the initial due diligence necessary to identify a feasible investment opportunity, to determine builder’s legitimacy and expertise and conduct business in the most ethical manner, it is the responsibility of all members to perform their own due diligence and ultimately make the final decision. We are not representing you and hence encourage you to consult with your accountant on what’s right for your personal financial goals and portfolio.
- Am I required to use a particular lender?
No, in the majority of cases you will not be required to use a particular lender. Typically Select Capital Group and/or its affiliates will recommend a lender for a specific project, but members are welcome to use their own lender.
- Do I have to buy a certain number of properties if I join a conference call or attend a meeting?
No, there is no obligation to purchase a certain number of properties. We encourage SCG members to attend conference calls without any obligation.
- What are the requirements for developers who would like to list their project with SCG?
The developer and project must meet all the requirements set forth in Question 1.
