Business Model

A company in the Pacific Northwest called Lamb Real Estate has a unique approach to its business model.   The company is owned by two sisters (twins, actually) who take on the challenge of selling homes deemed unsellable by market standards. 

They work with a property owner to get their property sold within 30 days.  The sisters invest their money to renovate the property with high-end appliances, landscaping, painting, adding rooms, and staging the rooms to make the property more attractive for buyers.   If the room is large (i.e., a bonus room), the staging shows the potential buyers how they can use the room, making it more attractive and adding value. 

The property then lists at the market rate in hopes of getting multiple offers at or over the list price.  If they succeed, they get back their initial investment and split the profit 50/50 with the property owner.  This business model is a win-win, or “twin-win,” as they call it. 

The sisters said they started investing this way because most people didn’t have the capital upfront for renovations.  This creative business model an example of creative investing.  There are more ways of non-traditional funding that we will explore later.