In the Frequently Asked Questions, and the Deed Disclosure there exists language in regards to the step by step processes of re-sale but it fails to paint a "what if" scenario. Below is a table that explains the difference between this project growing at the rate of inflation (the projected annual rate of return), versus this project sold at a market rate with all the inconsistencies that come with the Real Estate market.
|
|
Year |
Year |
Year |
Year |
Year |
Sales Proceeds to owner after five years |
|
|
|
1 |
2 |
3 |
4 |
5 |
||
|
|
Consumer Price Index |
5% |
3% |
2% |
4% |
2% |
|
|
|
Inflation Factor |
105% |
103% |
102% |
104% |
102% |
|
|
Price Paid |
$ 140,000 |
$147,000 |
$151,410 |
$154,438 |
$160,616 |
$163,828 |
$ 23,828 |
|
|
|||||||
|
|
Market Rate |
0% |
1% |
-5% |
3% |
2% |
|
|
|
Housing Market |
100% |
101% |
95% |
103% |
102% |
|
|
Market Value |
$ 160,000 |
$160,000 |
$161,600 |
$153,520 |
$158,126 |
$161,288 |
$ 1,288 |