I am going to share with you a strategy used by some of the most intelligent investors and business owners in the world. It is referred to as a lease to own or lease with option to buy. It represents yet another way to get into this business with limited money.
Continue reading “How to Set Up Lease To Own For Your Group Home”
In 2013, HUD requested $286Million in Emergency Solutions Home Grant money for a variety of purposes including emergency shelter operations, transitional housing, rapid re-housing and homelessness prevention. Why did they do this? Because they want YOU to help, these people end their homelessness! Yes, the government wants you to help and will pay you well for doing it…..
We are going to discuss the best way to go about finding property where you can operate your halfway home, group home, transitional home or care home.
Let’s assume you are a little short on money. You don’t have a down payment set aside, and you are wondering how you are going to set up your first group home. Nothing to fear….all the information you need is HERE.
Open up your local newspaper or simply go to craigslist.com and start looking for properties for lease. I don’t care if you are in expensive Northern California or a small town in Arizona or Tennessee; there are hundreds of homes that people are looking to lease! So let’s run through the initial steps:
Step 1: Go to Craigslist, Zillow, Trulia or any other website to begin looking for homes for lease.
Step 2: Send the people that are listing their homes emails or call them to set up a tour.
Step 3: Look and visit the property. Make sure it is in good condition. Remember, properties that are not in good condition will wind up costing you time and additional cash out of pocket getting them fixed up – and that is money that you want (and need) to hold on to.
Step 4: Negotiate a deposit for $150 that allows you to secure the property and begin moving your furniture into it. Tell them you need the first month free, and that you will pay them starting the second month. There are some ways to go about doing this, but remember, the key here is to find a MOTIVATED landlord!
Often (and we know this from experience) landlords simply will take the first halfway decent applicant that comes along – even if they don’t have the first full months rent! Tell them you will give them access to your credit card or something for security – and they can run it on Paypal if they don’t have a way of accepting credit cards. Remember, you need to be creative to secure this lease for a LOW LOW LOW price!
Step 5: Get them to say YES! Once they say yes, you are ready to begin moving your furniture in and get your group home or assisted living home started. All you need is two clients at $500 per month, and you can make the rent payment! It is that easy.
Now go out and advertise what you are doing to the local hospitals and case workers and your phone will be ringing off the hook before you know it with another four clients for you. Now you have six customers at $500/ month or $3,000 per month with a $1,000 rent payment. Next month add a few more customers and the following month, start increasing your rent! Just like that you no longer have to worry about finding property.
The next thing you know, you have $4,800 per month coming in with $1,000 per month going out along with a few additional expenses. You have now successfully secured a lease for your first group home, filled it up with paying clients and are now reaping the rewards both financially and emotionally. You are now helping people in the community while simultaneously helping yourself.
How to buy a home that you can use for starting your group home
Let’s move on now that we have finding property out of the way. A brilliant way to generate generational wealth for your family and progeny consists of purchasing the properties – whether buildings or homes – and then running your group homes, assisted living homes, care homes, sober homes or ICF homes out of them. Doing it this way will allow you to eventually pay off the mortgage which will reduce your monthly expenses by $1,000 or whatever the monthly payment amount is. Additionally, you wind up having a free and clear asset which will (over the long term) appreciate in value (most likely). We go into further details on this in future blog articles.
So, what’s in it for you to run one of these homes? Why wouldn’t you just provide housing to a traditional renter? Watch this video to see the amazing outcome this business model will have on your community AND your wallet:
If you are looking for additional information on how to start a group home, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or other type of care home for people with disabilities; check out our FREE 10-PART COURSE on starting your very own income-generating group home.
What is CWT and how does it allow me to open a Veteran Group Home?
You will hear this over and over in our articles. You need to NICHE to get rich. Well, remember, within “niches” you also have “sub-niches.” So you are obviously interested In real estate. Otherwise, you would not be on this website.
Real estate is a niche. You have evaluated many different real estate options or opportunities including “flipping” and “wholesaling, ” but for some reason or another, they just aren’t for you. You might have realized that a lot of these so-called “flippers” really aren’t making much money at all. Maybe you have realized that many of them are possibly buying correctly, but then getting taken advantage of by the contractors.
Maybe they are buying precisely, have the contractors in place to do the work, but they are paying out 13% hard money interest (Not including the up-front points!) and have no money left-over after selling. Heck, maybe they have cheap financing in place, great contractors and they are buying right…..but they do not have any retail buyers. Wow! See how much can go wrong in this equation? Heck, maybe they have the retail buyer already lined up, the contractors are great, they bought the property for cash with an equity partner and they are in it at 70% LTV…….but now the federal government is shut down and the govt. backed loan programs have been put on hold!
Well, if you look around at the wealthiest guys out there – Warren Buffet, Carlos Slim, Donald Sterling, etc. you will find that these guys are not asset traders. As a general rule, they are looking to get their initial investment back in as short a period as possible. After that, they are essentially playing with the house’s money. So what does any of this have to do with finding your niche?
Well, group home, transitional living homes, care homes, sober homes and other “care-related” group homes are a niche within the real estate industry. Now, if you want to focus in on a “sub-niche” of this sector, you could begin targeting particular types of people. One great niche to target are the returning veterans that need housing!
Why not help out not only your community but also your country and provide group homes and housing for this population?
Great question. And the more you learn about these programs, the more you begin specializing in a niche. Much the same way doctors specialize in orthopedics, dermatology, etc. you can now begin specializing in VA group homes that provide housing for veterans. Quite possibly, you may specialize in providing group homes for disabled veterans. Another niche.
The CWT program stands for compensated work therapy. Veterans in the CWT program are paid for vocational re-training. They are then provided a group home environment (THIS IS WHERE YOU COME IN!) so that there rent is paid for. For example, let’s say that you live in Colorado and you are interested in helping out veterans and providing group home transitional living for them. You would want to check out this link
http://adm.elpasoco.com/VeteranServices/Pages/HomelessVeterans.aspx
and then reach out to the primary point of contact at the local VA to make your introduction. How do you know whom the person is that you need to speak with about opening up your group home for vets or even disabled vets? It would be Jack Freeman, in Colorado Springs! How do we know? Because we have done the research and can help you with this!
GPD is the VA’s grant per diem program which pays you a daily rate for each veteran that you provide housing for at your transitional living or group home! From the governments website:
“ For supportive housing, the maximum amount payable under the per diem is $43.32 per day per Veteran housed. Veterans in supportive housing may be asked to pay rent if it does not exceed 30% of the Veteran’s monthly-adjusted income. “
Again, the goal and mission of group home riches is to provide you with the information that will allow you to become rich not just financially, but spiritually as well. By providing housing for veterans you would receive $1,299.60 per veterans for each 30 day month. Now, assuming you are providing housing for 7 veterans in one of your homes, you would have a gross income of $9,097.20! This is why there are riches in the niches!
The government’s goal is to end homelessness, and they are looking for you to help them out. Don’t believe it? Just check out the number of RFP’s for contracting opportunities with the VA! They have MILLIONS AND MILLIONS of dollars budgeted to assist with this…..and the best part? Even if there is not a formal RFP in place, they still need people like you to assist with providing group homes and transitional living in a residential environment for vets and disabled vets.
What’s in it for you to run one of these homes? Why wouldn’t you just provide housing to a traditional renter? Watch this video to see the amazing outcome this business model will have on your community AND your wallet:
If you are looking for additional information on how to start a veteran group home, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or other type of care home for people with disabilities; check out our FREE 10-PART COURSE on starting your very own income-generating group home
Starting a group home for foster children can be incredibly rewarding. Both emotionally, spiritually and financially. However, it can also be sad, as often you will build a bond with the child who will usually only live at the foster home temporarily.
Although you may be interested in starting a foster home, you might be wondering why there is such a significant need or demand for foster homes. The answer is simple. Many people have children without taking the time to consider what needs they will have and if they can sufficiently caring for the children. If the children are not able to remain safely at their house with mom and dad, the state department will provide the child with an alternative family that will take care of them. This could be your family and home!
Continue reading “Interested in Starting a Group Home for Foster Children?”
Do I need group home insurance for my group home or special needs care home?
One of the first things a business thinks about after starting are their insurance requirements. Insurance can be a tricky subject. Some businesses need it, others don’t need it. Some are required to have it while others are not required to have it.
Running a group home, sober home, special needs disability home, transitional living home or other type of care home is a business that can be extremely profitable – both for your bank account as well as your mental and emotional bank account. You can create a true “community asset” that helps out those in need throughout the community, while also providing an amazing lifestyle for you and your family. However, while you are enjoying all of your newfound passive income that you have created by providing housing and related services for those in need, remember that things can happen. Perhaps you decided to purchase the property where your group home operates. If that is the case, you may want to look into obtaining property and casualty insurance. Unless you acquired your property all-cash, chances are that your bank will require that you have insurance.
In other cases, you may obtain a government contract for foster homes, group homes, or a specific niche of transitional living homes in your area. If this is the case, and you have started a group home which has now taken you to the “big leagues” of government contracts, you can be rest-assured that these entities will require you to have insurance. What type of insurance? Typically, these government contracts require the following:
Liability: $1,000,000 limit
General Aggregate $2,000,000 limit
Products and Completed Operations $2,000,000 limit
Personal Advertising Injury $1,000,000 limit
Damages to Premises Rented To You $100,000 limit
Medical Expense $5,000
Abuse and Molestation
Each Occurrence $1,000,000
General Aggregate $2,000,000
Professional Liability
Each Occurrence $1,000,000
General Aggregate $2,000,000
Workers Comp
Each Occurrence $1,000,000
General Aggregate $2,000,000
If you are not going after government contracts, or at least they aren’t currently on your radar, you may potentially skip this step and simply get general insurance. Possibly a less rich policy, such as a simple General Liability policy for your group home or care home business. If you are simply operating sober homes or transitional living homes for people that have lower incomes than most, you can obtain these policies at minimal expense.
Of course, you need to know where to look! That is what www.grouphomeriches.com is here for. No where else can you find this much information at your fingertips! In fact, many of our thousands of subscribers didn’t even realize that could make an amazing passive income with just a few simple group homes before finding our website. Just the information above is worth tens of thousands of dollars. Why? Because how else would you ever know how much insurance is required to procure a government contract?
In future articles, we will talk specifically about how else to locate and procure government contracts that can literally set you up for life. One simple contract and technique could put a guaranteed $3,000 – $6,000 or more (PER GROUP HOME) in your pocket each and every month. Think about it……You would need to have over $1,000,000 (one million dollars!) just to generate $3,000 per month in passive income —IF YOU ARE LUCKY! Yet, one group home can literally set you up for life. And the reason why insurance is important?
This income stream is protected! What if the building where your group home is burns down? That is what insurance is for. What about the rents you will miss out on? That is what “Loss of rents” protection insurance is for. We hope today’s article was insightful and beneficial for you. Remember, the more you learn, the more you earn. Sign up today for our FREE 10-PART COURSE today and learn much more than just group home insurance.
What’s in it for you to run one of these homes? Why wouldn’t you just provide housing to a traditional renter? Watch this video to see the amazing outcome this business model will have on your community AND your wallet:
This is another very common question, and honestly a matter that keeps most people out of business and therefore out of money and without the ability to help people! Folks, what are you doing! You need to get creative. This is America! If you don’t have money, use your mind! Find others with the money you need or get creative and figure out how to do it without any of your funds….let’s dive into this in more detail.
When you are providing group home housing and related services for people with disabilities and other disadvantaged populations, one of the most important things that you can do for them, and for yourself, is to get set up as their representative payee. Of course, if you are being paid directly by the federal or state government then you may not want to act as the rep-payee; you may want an outside third party to do this for you……
Continue reading “Who is the Rep-Payee for the Clients at Your Group Home?”
Group homes for recovering alcoholics or sober homes as they are also known have become increasingly popular these days due to the huge demand from recovering substance abusers and the large profit potential for aspiring business owners that are looking to help others and help the community while simultaneously being well remunerated.
In today’s economy and most cities throughout the United States, there is still a large glut of housing inventory. In booming cities like Houston and Dallas and even in cities where the economy is not nearly as good – say, for example, Cleveland Ohio, there are thousands of homeowners looking to sell or rent their houses out at any given point in time. And as a result, some new entrepreneurs are putting these homes to good use by running them as recovery homes or group homes for ex-substance abusers and recovering alcoholics.
Not only are these group home owners helping others, but many are also making a fortune….up to $10,000 and many times much more per month, and per property as Brian Wall, a real estate specialist in this niche recently told Marketplace.
“If I’m not doing it to make money, then why am I doing it?” Wall says. “If I’m doing it for passion, that’s great, but that doesn’t help me open up ten houses.”
As Sarah Gross, the Emmy Award-nominated journalist for Marketplace noted in her article on sober homes, many of these new owner operators of recovery homes, group homes, and sober houses are simply having a difficult time renting or selling their homes the traditional way and have turned to this new market niche…. As quoted from Marketplace:
“Here is a new twist on the American housing market, a growing number of homeowners are turning their properties into something called sober homes. Sober homes are something where recovering addicts can go to when they first come out of rehab….and today’s strapped homeowners are tapping into this new market that homeowners can turn to to make their mortgage payments and turn a profit.”
As one gentleman in San Diego who owns and manages six sober homes mentioned to Marketplace,
“There is such a demand and such a need. It is an excellent opportunity to be of service.” The owner also offers drug testing and counseling services for his clients. Although not mentioned in the report on sober homes, this is also an additional avenue for making money from these sober homes. How is this done? Well, because drug use and alcohol problems are public health concerns, the United States allows agencies to reimburse for alcohol and drug screening and brief intervention.
“The impetus behind the Medicaid decision to reimburse for alcohol and drug screening services was the recognition of the number of people who go unidentified who are in need of an intervention or treatment,” Bertha Madras, deputy director of Demand Reduction from the White House Office of National Drug Control Policy, told Medscape.”
About 22 million Americans have abuse and addiction problems; of these, about 10% are in treatment, and the vast majority of the rest are not in treatment, not because there is a problem with the system, but because they don’t recognize the fact that they have a problem. Most do not seek help and remain unidentified.”
As you can see from the above articles and quotes, the opportunity to not only help out people in need but also help out the community and help yourself financially is enormous. But how exactly do you open a sober home you may be asking? Just think about the four easy steps:
You have the opportunity to charges as little as $150 per week to as much as $15,000 per client per month! The opportunities are limitless. Do some research, figure out what others are doing and begin helping yourself and others by starting up a sober home or group home for people in need of recovery
If you are looking for additional information on how to start a group home, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or other type of care home for people with disabilities; check out our free course on starting your very own income-generating group home by entering your email below.
Are you looking to learn how to start a group in your state?
Are you from any of the following states:
California
Texas
Florida
Wisconsin
Indiana
Arizona
New York
Tennessee
Vermont
Illinois
Oklahoma
Kansas
Arkansas
Minnesota
Georgia
Alabama
ANY OTHER STATE?
KEEP READING!
Group homes, sober homes, transitional living homes, residential care facilities and other types of specialty care homes are needed no matter where you are located. There is a HUGE demand for this type of housing, and a substantial undersupply of this type of housing! Keep reading to find out how you can help and #2, how you can help yourself……
The process, albeit a simplified process of starting and operating a group home, is really quite simple. Here are the ten steps to starting, marketing and managing your group home:
These ten steps are put on paper for you to read. Doing it is another story. However, what you will find is that doing this is really quite easy and will not cost you an arm and a leg to do. In fact, you can potentially secure a nice four bedroom home with a $300 deposit. After that, take a look at the local auction houses around your town (we provide some free resources in our free wealth generating group home course on where to buy $2,500 furniture for $10) and outfit the home for less than a few hundred bucks. This is not a joke! For $500, you are ready to go (although it may take you some time to find everything you need).
The above ten steps outline everything you need to do to get started. However, the most important thing for you to do is get your property secured (you either rent it or purchase it) and then get your marketing material out to the appropriate parties. You must, I repeat, MUST, market your group homes, care homes and assisted living or transitional living facilities to generate the phone calls! Let me tell you, there are hundreds of people each day in your city that needs a place to live and the government is willing to pay you each and every month to provide housing for them! Interested in learning more? Sign up for the free course on how to start your wealth-generating group home
If you are looking for additional information on how to start a group home, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or other type of care home for people with disabilities; check out our free course on starting your very own income-generating group home by entering your email below.
If you think this was helpful… check out our membership site!
