Hi all,
Just became a member today because I am looking for guidance and information on buying property in Atlanta, which is fully managed. Property seems very cheap and sounds ideal that it is fully managed, as I live in the UK and the property is in the US, BUT I am sure that there are things that I need to be aware of and pitfalls in engaging in this type of venture, so I am reaching out to those that are already engaged in this type of field for their knowledge and experience.
I am having trouble finding out genuine and honest information about the estate agents and their reputation. I have used the internet to see if I can find reviews but all I seem to find is the website for the estate agent. So is there anyone out there that can give me some advice as to where to start? Any other tips and advice will also be very helpful.
Many thanks!!!
Hi Curiouscat,
You are correct in recognizing Atlanta as a great market. I have a lot of contacts in that area.
I hope this will not put you off, but I'd like to point out a few challenges we have experienced in this area.
1) There are several inexpensive neighborhoods that are almost completely investor owned. This is cause for many problems in which I'm sure you're already aware.Sometimes this is deceiving as the neighborhoods are brand new developments and look amazing!
2) There are a lot of people buying in this market, so purchase prices have increased. More competition means more out of your pocket.
3) There are a lot of small companies operating in Atlanta and they can be slow to move and communicate.
4) Some neighborhoods of Atlanta have long vacancies and issues with vandalism. Make sure you do your research on where you're buying.
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Cheers!
Hi Curiouscat
What you have to consider is that Banks do not lend on residential real estate for foreign Nationals.The reason is that they deem it high risk. Be very careful in markets like Atlanta. When you work out your returns make sure you look at net figures not gross. Because there can be so many cost you need to look at this carefully. Do you have a plan. How many are you looking to buy? These are all question which you need to answer. Personally I prefer commercial property that can still be residential but over 4. The benefit is that with a lot of commercial you can borrow up to 60% which means you can leverage
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone MeWe have just launched a new website join our membership today
HI jsnarr100
So what neighborhoods are completely investor owned?
It would be great to share this information.
Cheers, MTR
WI,
Many neighborhoods in Atlanta metro and for that matter the US that were heretofor owner occupied have turned the corner and have many renters…
I would venture to say each of the homes that you and I own are in neighborhoods with many renters. Where 5 years or 10 years ago (depending on Age) these were predominantly owner occupied…
Other than High end East Coast NYC Boston WA DC,, West Coast SF Silicon Valley, Seattle, LA better parts, much of these bread basket towns have seen a shift from owner occ to renter.
Heck Memphis is over 50% renter and has been for 25 years… Same scenario in many of these other cities.
Nigel,
As we have discussed your commercial deals on other threads and your US partner sent an example of a 6 million dollar property, I submit that the average investor on this forum is not looking to spend 6 million but rather 60K..
The financing for commercial has a floor and is much more complicated than just staying there is 60% LTV financing for anything commercial in the US..
Different audience in my mind,, Not many folks that can handle multi million dollar US commercial deals need you to help them with their purchases when your in OZ.. I mean really,,, Great deals in commercial are bought and sold domestically not hawked on a OZ site that is basically for mum and pops looking for a few SFR's in the US..
Not to say these folks that have a little more buying power might not be better suited in Some commercial deals than SFR's its just a completely different animal and investment…
Quote:There are a lot of small companies operating in Atlanta and they can be slow to move and communicate.I'd venture that's not always the case, I actually found smaller, savvier companies are often a lot quicker and more responsive on their feet than the bigger ones – there's a lot of overhead and a lack of personal attention involved in dealing with a well-oiled marketing machine, particularly if you're a smaller investor – they're very quick on the sales side, but once you're a client, the experience can be quite different.
Ziv Nakajima-Magen | Nippon Tradings International (NTI)
http://www.nippontradings.com
Email Me | Phone MeZiv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property
Go commercial…heck yes… Love it!! Bejesus .. SFR fights over crap rproperties in investor owned enclaves?? That equals a downward spiral in rents the second there is any vacancy. If you aren't buying through someone with a holding interest like Jay then or buying through a licensed US buyers agent, you are motivated through someone ONLY by greed. only. No matter what spiel they do…
College Park, Douglasville…..NOOOOO..unless you really get someone in it with you I would seriously research…or call anyone who has been there and ask the "would you invest in Douglasville"? Oh and 10 miles to buy even ice cream leaps to mind in general when I hear Douglasville but if you know seriously someone is in it with you??? Hmmmm, I would have to be convinced.. I am so not going there given ?any alternative short of a 20k purchase…..Even Lithonia I MUST see something SUPER special near shops, schools or transport…special….. Do you want photos of Lithonia for rent signs…BUY WISELY.. Would YOU rent there??? Since day 1 I have said since this is so flipping basic…. Is it walking distance to schools shops and transport…google drive the streets.. Do the houses look alike?
Jay will buy what he thinks will rent because he holds.nYou can sue a US buyers agent or rlicensed real estate agent like me if we misrepresent but these others???? ROFL…. ZERO RECOURSE and the more taste of money they get without any follow through, the more greedy they will become…. If you paid 4k for nothing last year, they will charge 5k for nothing this year….
Please ask if they are a US resident … Then if yes, which NONE are to my knowledge… Are you licensed??.
get over 6 months ago… So you missed SFR … ATL was somewhere that we all went to after everywhere else was bought out….. For the briefest period of time….Next phase… Today's prices are just no validity to SFR, I am very happy flipping for some of my investors but only because I don't charge commission it is viable at this point for those who want to move their funds back toa desert holding environment.
Hi Curiouscat,
I am also in the property investment market, I found a very valuable platform in Property investment in Sydney Australia.
I have benefited a lot from my investment the last 5 years. I have friend who has invested property in US, sadly it didn't work out as the Realestate Agent promised.
Rental return in US is still a Big problems, after a lengthy periods of sharing my experience with excellent results of more than half a dozen investment properties in the time of 3 years, she turn around and start investing in Sydney Australia.
Hope this help!!
Cheers!
Gleek2
Don't dismiss Nigel's Commercial opportunities as he has a wealth of knowledge in the area and has lived and worked in the USA as a Licensed Real Estate.
I have personally seen a couple of the deals he is currently working on and definately think for a small mum and dad investor that a Unit Trust arrangement like Nigel has set up here in Australia is preferable than using cash or a line of credit for the acqusition of a SFD.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Do the research before buying in Atlanta. It is the great market there, but not all neighborhoods are good. Be sure to buy the property somewhere in suburbs, not close to downtown Atlanta.
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