Learn why rental investment properties make sense during times of inflation and economic uncertainty. Includes information about finding cash flow real estate.

1. Wealth Creation and Preservation … … can be accomplished at the same time

2. but we’re not telling you anything you haven’t already experienced The consumer price index is kept artificially low …since 1991 between 1.6 percent and 3.3 % … the real Inflation rates have been closer 5% and 6% and some estimate it’s even higher

3. More inflation is on its way … Why?

4. Bear Sterns 29 Billion Bank of America 97 Billion Automobile Industry 97 Billion AIG 112 Billion GE 139 Billion Citi Bank 235 Billion Home Owners 300 Billion Fanny and Freddy 400 Billion Iraq War 507 Billion TARP 700 Billion Stimulus 787 Billion Total Up To Now: 4 Trillion New Spending Commitments: 7.8 Trillion Total Committed Spending: 12 Trillion

5. 60 Trillion Dollars of Unfunded Obligations to Social Security Medicare and Medicaid

6. The only way out of this situation is inflation with the potential for hyperinflation Debt and Obligations GNP

7. with inflation everything gets more valuable except money

8. What is the Solution?

12. Low Maintenance Cash Flow Real Estate An Overview

13. We have a solution that addresses both wealth creation and preservation…

15. Once in a Generation Opportunity “ Buy when there is blood in the streets.” – John D. Rockefeller “ More money has always been made in a down market than in an up market.” – Wendy Patton, notable real estate investor and broker “ Timing is often the single most important factor determining the success or failure of a real estate transaction.” - Craig Hall, real estate mogul and author

16. What is the Solution In our lifetime there has never been a better time to buy real estate…

17. … but it still needs to be the right real estate

18. Our Approach

19. What’s Your Investment Style? Low risk? High return? Conserve capital? Avoid risk?

20. High Risk Venture Capital Start-Up Business “ Private Placements” / Angel Investing High Reward 7:1 ROI 100%-200% ROI 18%-25% ROI Low Risk Certificate of Deposit Triple-A Rated Bonds Low Reward 2%-3% ROI 4%-5% ROI

22. Most real estate investments are entered in to for one of two reasons: cash flow or capital gains . And typically, you get one or the other – but rarely both

28. We take care of everything Market analysis Acquisition Manage it for you Maintenance Agreement You just get the monthly check

29. The title is yours…

30. … and we take care of all the headaches If you choose … You can always do it yourself Or hire someone else

31. We buy homes, duplexes, typically around 1,400 to 1,600 or so square feet, often with attached two car garages. They within four to five years old and in decent neighborhoods.

32. Typical Units Location: Various Locations in the US Style: Single Family Home or Duplex Size: Typically 1400 to 1600 square feet, 3 bed 2 bath Condition: Typically updated both cosmetically (new carpet, new paint) as well as havc, plumbing, fixtures, windows, etc… We can also provide a full one year ‘wall to wall’ warranty, parts and labor, for any major repairs of any kind. Typical Purchase Price: $60,000 to $75,000 Typical Replacement value of the home: $80,000 for materials, $45,000 for labor; $25,000 for a lot = $150,000. Typical Appraisal value = 100k or so (was 200k to 225k two years ago).

33. Acquisition Price Monthly Gross Cash Flow Monthly Net Cash Flow* Monthly Appreciation Monthly Cash Flow Plus Appreciation Mason Hill’s Model $70,000 $900 $600 $500 to $1,000 $1,100 to $1,600 The “back of the napkin” numbers for a property purchased from Mason Hill… * Deducts property management fee of 10%, property taxes, insurance, and one month’s “vacancy” per year.

34. The Deal Purchase Price: $65,000 Monthly rental income: $900 Typical expenses: Property Tax - $45 Insurance - $65 Property Management Fees - $90 Maintenance Agreement - $100 Total Expenses ($300) Typical monthly / annual net rent: $600 Cash on Cash Annual Income $7,200 or 12% Appreciation 0-10%

35. The Next Step… If you are interested in acquiring a Mason Hill property, please email or call whomever referred you to our program. www.MasonHill.com