Paul,
People were doing that in CA back in the late 70’s and the builders eventually put a stop to it. I have not looked into it at all, but I believe in CA you have to agree to actually live in the home with some type of enforcement mechanism involved. Where are you? I live in both CA and OH. Do the builders approve of this program or do you have to tell them you intend to occupy the house? Do you know of any other states where this works? You are right, in a hot market, this can be very lucrative.
Thanks,
Randy
There is nothing I love more than an opportunity to get in on a new development in the first few phases. You can lock in a property for as little as $1000.00 to hold it at a given price until it is built. By the time you go to contract, you could well have made 20-30K dollars, as prices are raised through the development.
I recently locked up 7 new properties in a development, 5 of which will not be delivered for 6 months. For beginners, start with one. Look for the properties with the lowest price per sq foot compared to other properties around. These were at 120-130 dollars a sq ft compared to others at 148-152 dollars, for the same area.
There is money in those new home developments, check it out, and buy 1.