What It Means to Invest in Ready-to-Build Projects and Why It Changes Your Investment Game

Investing in real estate development is an excellent business and many people know it.

However, the long financial cycle, often longer than 3 years between the acquisition of the land and the sale of the project, in addition to all the red tape and back and forth to obtain building permits, can create significant obstacles for investors.

What many people don't know is that investing in real estate developments in the United States actually means a much shorter financial cycle.

The American construction method is standardized, with a specialized labor force at each stage of construction, less waste of materials and, best of all, high construction speed.

For example, an American house with 170m2 of internal area, 4 bedrooms, 3 bathrooms and 2 parking spaces, in addition to a full kitchen and central air conditioning, takes around 3 to 6 months to be licensed and 4 to 5 months to be built.

Therefore, the financial cycle for investors in this type of project is less than 12 months, with a very attractive annual return.

Although it's already a great deal, it can be even better if the investor opts for one of Makan Capital's ready-to-build projects.

What is a ready-to-build project?

It is a project whose land has already been purchased, with an architectural project developed specifically for the target audience of that market, with all the necessary licenses to build previously obtained, allowing the immediate start of the work. This differential offers several advantages.

• Reduction of acquisition risk: the acquisition of land, however simple it may seem, requires care.
  
  It is necessary to carry out a complete due diligence to ensure that the seller can actually dispose of the property and that it has no pending and restrictions, that the property includes the project to be executed, that it has the correct and demarcated dimensions, and has access to public utilities.
  
  In this modality, the acquisition has already been made and the land due diligence is complete, which saves between 1 and 2 months, and guarantees transparency and legal certainty to the investor.
• Reducing the development time of a new plant: developing the architectural design of a house involves several professionals (architect, engineer, builder, etc.), important in terms of additional costs and an estimated budget for the construction.
  
  By using a pre-defined plan built multiple times, you save between 3 and 4 months, in addition to substantially increasing the accuracy of the project budget.
• Reduction of bureaucratic risks: all the necessary building permits have already been obtained in advance, so that the actual construction can begin the day after the investment. All risks of bureaucratic delays have been eliminated, which already guarantees savings of 3 to 8 months in the project cycle.

Thus, ready-to-build projects represent an enormous reduction in risk and time, making the project's financial cycle substantially shorter and allowing investors to rotate their capital up to twice a year, maximizing annual returns.

Projection of the return of projects ready to build

In this type of investment, the gross target return of each project is between 12% and 16%, in dollars, in an estimated 6-month financial cycle. This estimate is based on a history of hundreds of similar projects already executed.

However, the greatest opportunity lies in the ability to continuously reinvest capital and earned profits! The investor can choose to immediately reinvest in a new project ready to build and thus maximize their annual profitability.

Too good to be true? The explanation is simple: there are many ways to invest in the American real estate construction market. What they never tell you is the real cost of construction and the commissions paid at each link in the value chain.

Makan Capital counts! And it helps you understand exactly each line of expenditure. Thus, you really know the asset where you are going to invest, the return you can expect, and the associated risks.

Investing in projects ready to build is a differential that transforms the real estate investment game. By accelerating the financial cycle, reducing risks and increasing profitability, this strategy allows investors to multiply their assets safely and efficiently.

With Makan Capital's complete and innovative structure, this opportunity is within your reach for you to dollarize your assets with intelligence and security.

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