[Savvy]

Dear All,

I have just gone through the complete thread, and found interesting suggestions from all who contributed. Just wanted to share some thoughts on the proceedings.

a) The person(s) negotiating the final deal with the developer ought to get a commission on the overall deal. I am sure most of us would part ways with 1-2% commission if we are getting a good deal, say 10% below launch price (which is less speculative than market price).

b) We should have an online site with registered investors, who update thier profile/portfolio frequently. So that when an investment comes up the investing group has a fair idea of the buying power with timelines of all members.

c) Each project will have a target price/sq ft say AED1700/sq ft (pre-negotiated) published with the project details along with the payment plan

d) Each member could then bid the value he is willing to invest (plus he/she would need to provide the downpayment cheque in the name of the developer to a designated group member) (we can call this our group escrow, this will ensure that the bidders dont back out once they show thier interest), the bidder should also specify where he/she is cash buyer or finance buyer.

e) For each project we would then be able to determine our overall buying power, We could then incorporate Sally's idea for diff price/sq ft ratio based on studio/1br/2br and higher/lower floor + view can be factored to determine a price for each unit to be procured.

f) Once we negotiate a deal with the developer, the negotiater can fill in the price/per sq ft for the investment, and the calculator based on the floor plan will calculate the individual unit price (acc to floor, view, type).

g) At this point I think all potential buyers would need to meet, (because this process has to be transparent in order to safeguard trust), the negotiater presents the deal to all bidders explaining the pros-cons-risks if any.

h) I am sure if we negotiate a 5%-10% discount from off-plan prices of the developer, not a single buyer will back out, specially if prices are distributed according to higher floors and different views. (formula for which can be determines based on the market rates and thresholds mutually agreed by us)

Phew, those were some of the thoughts I could jot down in this session. Let me know what you guys think, would love to be part of the next meeting.

Thanks & Regards,
Savvy