8 Percent Return

Our mission: To give the small investor the chance to participate in a low risk high return real estate investment without a large capital outlay and without the headaches of tenants and repairs.

How it works: Harold Stone forms a limited liability corporation for the purpose of buying residential rental property. He sells shares in the corporation that yield a probable 8% or higher return. These shares will sell for $1000 per share. Shares will not be sold until the property is under contract or purchased and then only enough shares will be sold to cover the acquisition costs of the property.

How safe is your $1000 investment?: You'll own a piece of income-producing real estate. It is as safe as the home you live in, as safe as the town you grew up in. I have been investing in single-family homes for over 20 years. If the home did not produce a 8+% return, I would not buy it.

Are there any guarantees?: I receive 20% of the new offering. If you do not receive a 6% cash return or better I receive nothing. I am licensed contractor. I am bonded up to one million dollars in case of fraud. Everyone who works on the property will be licensed and insured. I had the corporation documents prepared by an attorney (David Young). I will have a certified public accountant prepare taxes. (Locknane Accounting)

Can you sell your shares?: Yes. However, there is not a ready market for limited liability corporation shares. This is a private offering. Buy the shares for the long term because of their excellent yield, not for their liquidity. If you decide to sell your shares, I and the other shareholders would probably like to buy them. I will keep a small reserve for purchasing shares if a member needs to sell their shares quickly in an emergency situation. I will try to have investors waiting for an opportunity to buy.

Example: I currently have a triplex under contract with a purchase price of $70,000. Repairs are estimated at $19,5000. $1500 is added for a vacancy and repair reserve. The acquisition cost is $91,000. Ninety-one shares of the 109 shares of the corporation will be sold. Each year should yield an 8% or higher return.
Each unit will rent for $425. These are nice two-bedroom units. The total gross income will be $15,300 per year. Total net income will be $9,180 per year. I receive 20% for forming the corporation. Therefore, there will be 109 shares. Each share should receive $84 per year or 8+%.
Dividends will be paid annually. Along with the report there will be a $6 check writing fee per person (not per share). There are no other administrative cost.

Are there any guarantees?: I receive 20% of the new offering. If you do not receive a 6% cash return or better I receive nothing. When a property is sold share holders receive their initial acquisition cost before I receive anything. I am licensed contractor. I am bonded up to one million dollars in case of fraud. Everyone who works on the property will be licensed and insured. I had the corporation documents prepared by an attorney (David Young). I will have a certified public accountant prepare taxes. (Locknane Accounting)

How do I buy shares?: This is a private offering. I recommend that you take a short investment course offered by me. There is no cost for this course, The course can be found on my website at 8percent.us. It should take about 15-20 minutes. If you would like to talk to me or if you are interested in the next offering, let me know by e-mail ( This e-mail address is being protected from spambots. You need JavaScript enabled to view it ) or phone (208-880-7448).

This is a rough draft. Future changes to this page may occur.

It is possible to buy shares through a self directed IRA.