Hi Gang,
this is my 1st post and I haven't bought any properties yet.
Does anyone know anything about USA foreclosure investment properties? There was an article on A Current Affair about it. Does anyone know if these are good investments for us Aussies or are they high risk? The website is http://www.housebuyersusa.com/
Any comments appreciated.
Thanks,
Rosemary.You cannot inspect the properties and you have to pay cash. I will be buying forclosed properties and offering them renovated to investors at under market value.
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone MeWe have just launched a new website join our membership today
how is it that these people in america can afford to pay hundreds of dollars each week for rent yet they cant pay of a piddley $30000 home loan?
Maybe because all of the banks have gone bankrupt so there is no-one to seek finance from?
The days of sub prime loans have gone. What this means is that in the current US market unless your credit rating is near perfect you will not get a loan. This is good news for investors because over time it will create more demand for rents which should put upward pressure on prices.
I am not a big fan of buying bottom of the market properties. However keep in mind that if you want to buy a $30,000 property that has been forclosed you have to pay cash for it.Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone MeWe have just launched a new website join our membership today
Hi Roseagain,
I should be able to help you out, as I have a great contact in the US (Texas) who would have no problems in answering any questions.
Give me a call or msg me anytime as I am happy to share my experiences with you.Peter 0407 227 602
Nigel Kibel wrote:You cannot inspect the properties and you have to pay cash. I will be buying forclosed properties and offering them renovated to investors at under market value.That's great to hear Nigel. What do you anticipate your costs to purchasers to be?
We are still looking at the figures. However you need to be on the ground to do this well. The people I work with are very experienced. I will go over on a regular basis and personally select the right property for my mentoring clients. Buying good property takes research and understanding the local market.
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone MeWe have just launched a new website join our membership today
Sounds great and wonderful but also very risky and scary not to mention tooooooo far away if something goes wrong and who do you really trust.
Is there a reputable company like Colliers with a long standing reputation and international connections ???
I know there are some very smart and savvy investors here including Steve who has come back from USA that can tell their stories but I would need lots of confidence to do this out side of Australia … look at the people who bought in the NZ heat who are now burnt.
I hear the next crisis in USA is a massive mounting commercial property collapse that is predicted to send banks to the wall ??? will this effect borrowing and a second wave of sud prime ??? god only knows and this is in the news fokes and not intended to scare people it is real.
I have been to the states several times and have friends with businesses in San Fran and the big apple, if you are not in real estate or finance there things are good but it is still very nervous … and yet I am not an expert in that field so my comments are only from 3rd parties.
I also know people like Dymptha Deholt are charging 4 – 6k to learn how and 25k per year personal mentoring to do this – I would love to hear from anybody who has done a course and purchased from A – Z if there are any … In L Vegas I saw you can buy a 1.2 million dollar property for 120K ?? – let move !!!!! looks fantastic …
Good luck i'll stay home and do it here, a bit old fashioned about losing my money on seminars and OS buying … hey Steve are you intending to do any talks on your USA experiences ???
hi wealth4life,
I work for a big bank in London which has a big (massive even!) exposure to commercial property in the USA.Whilst there will continue to be a fall on commercial property values, it is probably close to bottoming out, the green shoots of recovery in the USA are well underway, especially with the lastest retail figures. You are correct, people are still quite nervous but things are appearing to get better on a daily basis, that is, unless the Fed defaults on their treasury bonds!
I'd be more concerned with the Middle East than the USA for the moment.
Simmo,
Thank you for that comment above … can you tell me where or what to read as I am confused with so much differing opinions.
I am connected with several international reports including “money and stocks” and the picture is vastly different across the board.
Which bank are you with and do they have a news feed that I can join.
Philip Sigglekow author
Hello worried investors
I understand concerns about buying in America.
What I suggest is get over there, make a small investment in your time / education first hand and get the facts.
Flights to the US are under $1,500
I have done it and investing has never been better.
There is so much information out there and many companies wanting to take your money for little return preying on your insecurities, I suggest just go where you want to invest, get stuck into it and have a few days holiday whilst you are there.If it happens Michigan is your interest I have a free talk as per the website and if it is not Michigan that is ok too.
Hi Gang,
thanks for all your comments. I plan to be in BC Canada and travel down the west coast to California this July/August. Are there any good foreclosed properties in those areas?
Thanks,
Rosemary.Hi Guys,
just a word of warning be very careful buying in the states .There is so much emotion around in Oz
regarding buying some cashflow properties in the states and holding them long term .Just be very careful.
There are heaps of pitfalls in being so far away .Also the differwent laws etc . I have done it for about 4.5 years
and it hasnt been easy !
just watch buying through other people.eg buyers agents or other well meaning people trying to help you while they are still learning themselves.Alot of the issues dont surface until after the emotion dies down and you have to deal with it all yourself.
My opinion is its almost litterally imposssible doing it from so far away.
If you go over,get on the ground and do quick turn arounds this is the best way to go .Cashflow is a bit of a joke to be honest in the usa ,
by the time you pay everything and deal with it all.Luke Taylor | Hope Property Investing
http://hopepropertyinvesting.com
Email MeProperty Support,Strategist and Buyers Agent
Hi Rosemary,It's a great idea going over there as Jason mentioned earlier.Jason and Nigel have both made good comments.Personally as a procrastinating conservative investor i wouldn't invest o/s or as a novice either.Best friend lives in Fresno California and he came home for Christmas,has lived and worked there for 8 yrs.Grilled him for a while.These were his condensed thoughts.There are 3-4 aussie companies buying foreclosed at auction,repairing,renovating and selling to investors.Do some research,they are in different areas and states.1 or 2 houses are selling from 12000US to 50000US.Majority are selling for a lot more.Most do need work from minor renos to major repairs and as mentioned earlier you cannot inspect them before auction.In areas like Detroit most of 1 suburb is foreclosed slum area.Unemployment is high.You need a stable working tenant.Do as much research as you can before you leave.Good Luck
Hi,
It is best to do a lot of research before stepping into any market. Look at http://www.zillow.com for a start. I purchase properties in Florida due to the great value at present – foreclosurees only. We have access to condos, townhouses and houses. Happy to discuss over the phone.
Have a look also at books like 'foreclusres for dummies' and here is a a great site – http://www.ziprealty.com.
Regards,
Steve
Email: [email protected]Hi Steve,
thanks for your comments. I will check it all out.
Roseagain.Hi Rosemary
I agree with the advice above. The best way is to fly over to the US and get a feel for the market yourself. The foreclosure market can be a risky one and sometimes the foreclosure price can be higher than somewhere that just needs a lick of paint and some flooring. Do as much research as you can here, on this website and others and find a city that you like. http://www.Zillow.com as mentioned above is good, although the values can be inflated. http://www.Realtor.com is good for property listings and you can then contact the agents to find out more. When researching your city look at the employment in that area, are companies hiring? And also check the school district. Good luck!
RichardThanks. I will check them out.
Roseagain.Other good sites are city-data.com (great source of info from locals), trulia for market stats/trends/last sale prices and yahoo real estate for vacancy rates in a city. Be careful of cities with vacancy rates >around 10%. There may be an underlying problem here. I dont use zillow as the values are severely inflated.
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