The Partner

Do you want to enjoy the potential profits of buying low and selling high? Are you looking for a great return on your investment? If you answered yes to both of these questions, then entering into a partnership with Gallantree is the right choice for you. The only tax implication that you will incur will be to declare the interest payments you receive on your Canadian Income Tax return. We will issue you an official receipt for income tax purposes.

When you become a partner with Gallantree we will enter into a five year agreement (which may be extended or shortened on request ). During this time, you will receive a rate of return of 4% per annum paid monthly. After 5 years, we will sell the property and split the profits 50/50.

We will use your money and Gallantree’s expertise to purchase the best suited properties that will maximize our profits. We will purchase properties that generate excellent monthly cash flow but which we also predict will rapidly increase in value. Many of the home we purchase are distressed homes which are selling substantially below market value. We repair and renovate these homes, arrange for a tenant and look after all aspects of managing the property. If there is an unexpected maintenance issue Gallantree will look after it. You will continue to receive your 4% interest.

We will look after everything including interacting with our power team. We have an excellent team of lawyers and Title & Deed specialists who will ensure the property is free and clear of any liens or outstanding payments. Our fantastic Project Manager will supervise all renovations and rework that is required. We have a great Property Manager who will look after the properties, the tenants, and the rent collection.

We will arrange so that you will hold the first mortgage against the investment properties (even though we will have paid cash for them). This will help keep your principal safe in the unlikely event that something unexpected happens with one of the properties (e.g.: someone injures themselves at a property and attempts to sue our LLC). If we have to sell the house, the lawyers will clear the mortgage by paying you back your principal before any other payouts are made to a claimant so you are protected and will get your money back.

An example:

We use $60,000 of your money to purchase a property including closing/holding fees and renovations to improve the property to be able to attract a good tenant.

Every month you will receive a cheque from Gallantree for $200 (4% per annum simple interest, paid monthly) which is $2400 per year.

During the entire duration of the partnership agreement, Gallantree will manage the property and look after all tenant issues, maintenance, US tax filing, etc. You will only have to deposit your monthly cheque.

After five years we will sell the property (assuming an acceptable level of appreciation). In this example let’s assume that the property sells for $140,000 (after realtor and legal fees), the $80,000 profit will be split 50/50 between the investor and Gallantree. In this example, you will receive $40,000 at the sale of the property.

Your total income then becomes $52,000 ($2400/yr for 5 years plus $40,000 at the sale). This would make your effective rate of return 86% which is 17% per year for the 5 years.

Please contact us directly If you are interested in become a partner with Gallantree, or if you have any questions.

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