Forum Replies Created
stratigic default
now thats a very interesting view
and 20mil homes to come on line
2.5 to 3 trill in value in default with fanny or freddy
1 trill loss
what most people seem to miss
is that there is a huge amount of buyers but also a huge market for a funder or suppliers of finance
yes not buying the house but fundng the house purchasehi edmund
the private funding in the US is expo its up around the 15% when you are getting a 20% return that makes the margin slim
one of my groups am not investing direct into the USA and its not for a board but buy remote is a bit risky as you don’t know what you are buying
their system is a bit different then to here and a few have been caught buying some thing that was different then was in reality
there is only two ways to buy for me
cash
or card credithi mark
I would like to meet up for a coffee
where do you think
we usually meet at the chatswood rsl thru one group so thats fine for me
I would need a couple of days notice to work around
I have a couple of groups that are just about to invest in the USAcan I ask why you discounted delaware
I understand the question but from the start you discounted delaware
what was the reason for thishi james
you have asked a question lots of investor are thinking
first this is a free to air board and don’t ask this type of question unless you are will to accept every man and his dog giving you his view
and lot have no idea so work on that premise first
now an llc can’t be set up here
llc stand for limited liability corp
limited as in it its worthless
same as our pty ltd 2 dollar companies
also you need to set the llc up in the state you want to buy in
yes you will hear no you can have one that crosses state lines but the cost are high so just go with set it up where you want to buy
now to the lastpoint
i have no idea to answer your question
your question needs to be answered by an accountant that does both here and the USA
and do I know one
now that answer is yeshi all
I am interested in the numbers as they don’t seem to add up to me.
if the client is putting in 22k and the 75k is lending I take it
so the client is in the property for 97k
its worth 120k to 130k thats about 80% lvr the return is 950 per month why is this a good deal
yes the clients has bought it but for me in the us market this is no shining light
I have one of my investors that just bought 2 weeks ago
2 x 2br 3 x 3br in a multi tennent in cleveland ohio and he paid 8k and its returning 2800 per month
22 k can buy a house returning 1k in alot of states of the usa
this would need to do a 40% capital increase to make it a good deal
yes you have a buy out but they are in at 97k
whats the term of the buy out at 1k per month 24k per year say 25 to make it easy thats 5 years plus
davids is 4 months most of our flips are in two years on my excels
I understand buying mortgages but if the debt was 75k I would be in the 35 to 40k max
if its the case that you have bought the mortgage for 22k
then the debt level is 22k so paid out in 12 months then its better
but even 120 to 22 is a bit high but not seen the house
150 to 15 is what we have been seeing
I have one 270 bought to 35 for sale which does come within my numbers
nigel I would like to see the numbers as I just can’t understand the ones you have put thru at the momenthi runaway
your views missed a few areas
1. syndicates a group of investors that buy as a group and combine cashflow now they are not selling anything they are investing together.
2. group that don’t invest in the asset but lend to people to invest in the asset so you are like a little bank just you take a position as well.
3.investors (or hard cash funders) using smsf and getting an on going return
all of these don’t current come into your plan but they should as they are all a bit more profitable
as for the bad area problem investing in that area is over come if you use cashflow from the major asset
so you buy in first and use cashflow to buy into the higher risk area
yes it reduces profit if a problem occurs but capital is preserved and cash flow losses are part of doing business
the aim is to spread risk and set up purchases in capital secure areas
and this is why you need to be in either a group spread the eyes or direct invest and be there
for me being there is just not worth it
I would rarther margin off a local
but each to their own
be very carefull with regards to people telling you this area is better then that
thruth is no area is better then the other
why its all to do with value
the value of a 2br in cleveland is very different to the value in miami or in vegas or fort worth
or even detriot
thats does not mean you will not make money what you need to work out is what is the value of the asset and are you buying under value
then look at what the are is going to do
and from there why do you want to buy it and there are lots of reasons why
is vegas better then fort worth
is it better the cleveland
or south carolina
new york
la
there are a few states in the USA
can you know or understand them all
good luck
so for me I dont try to
I leave the locals to tell me about their area and why I should invest with them
and if they make a good case as a few have
then I put a group together to invest
now is that to hard to understand.
you do not need to be a rocket scientist to invest money
you need to know the following
is my money safe
1st mortgage security
will I get a good return
running at 15 to 20% so they say so thats a good return in my book
can I hold title
I do
is the rental secure and if not will someone else rent it so I get my return
if the boxes get a tick what more do you wanthi all has anyone got an email from martha putting this together
I check my gross email address and nothing anyone any idea
I think its a good idea but need to know where its uptohi martha
email me the details and a contact number
are you in aust or the USA
I am very interested in where you are upto with this grouphi marthamel
can you send me the attorneys details to [email protected] thankshi speedy
I have an accountant that does both us and aust accounting and has many years experience but he does charge for his assistance and I don’t put these people on free to air boards
I am interested in the following places and the people here to give me their views
miami
ohio
la
new york
vegas
and tampa
I am researching these areas at the moment for a group purchasing power
we are not buying the properties we are funding us investors to buy the property as a form of jv
I will have a look at a couple of the links and happy hunting allhi zac email me at [email protected] and I will send thru to the accountant tahts doing not only our us but others
they are in bankstown sydney and have many years experiencesend the email to the [email protected]
[Deleted because of advertising.]
hi matt
as I have not been here for some time and was just pasting thru.
you have got a couple aof little problems.
1 asic don't like you to advertise(unlike in america) so you have to keep well with in the 2 20 rule and also try to stay away from the managed investment scheme rule also but having said that there are ways that you can get investors to join in to do a development but they have to be sophisticated investors and there are a few hoops to jump thru.
you can always get friends or others to invest with you and there are site that do this co invest is one that comes to mind and the equity market is another.
I can't tell you how to get this system in operation as it would be seen as giving advice and it couple throw me over the 2/20 rule.
I piece of advice I can give you is that all that glitters is not always gold and because a deal does look good unless it has a 21% margin its not going to get any lender excited and even at 21% currently they are not jumping over everyone to get to you.
so its not as easy as you may think but that just my view.
hope it all goes wellhi all
I must admit I don't like the new look,i too have to log in each time and cant find my wayaround as well.
I do think that steve needs a caveat emptor page as well.
I am a bit busy so have not been here for a while but have been having a read any change does take time to re adjust I
I flick out very quickly and gloss over alot of the posts, as I am trying to read posts that I have not gone thru before.
I try to find the posts that are not just I am looking for a posi property can anyone point me in the rigt direction.
hope you all are well.
my .002hi foundation
you are not alone with this loan
I to believe that not only will you be worse off
but in the figure that say you make money take away the sellers margin or the banks refinance fee and stampduty on the sale or refinance and your 7% goes to about 1.5%.
for those that are recommending this product and a couple of posts on here and in the other tread are have a really good look at this product.
tell me a person that this loan will bennefit.
amandbs
dreams are just that
dreams
the trouble is that dreams sometimes become nightmares
and rushing into a loan for me is not the way to go
you do need to check the detail of the loan and what you can and can’t do within it.
and this product for me has alot of questions that need to be answered and the website does not answer half of them.anyone interested in this type of loan, caveat emptor is my advice and get it checked by some one, then another, then another and if then you want to proceed fine you understand what this loan is and what the restriction are within it.
my advice is tread very slow and read every line.
my .002here to help
contact me [email protected]hi salacious
you can open an account with the bank of china here if need be and you can then open the account with the bank of china in most large cities, not sure why you need the account as I would not recommend direct investing in china. you can even use a link cirus card there.
I have organised not only accounts but am currently organising direct equity lending with the bank of china from here in sydney if need be send me an email to [email protected] and will give you some good contacts if need be.
investing in china is not for the faint hearted
and is tread very carefully
you are about to go swiming with sharks so make sure you can
swim very well or swim near the ladder
thatsmy advice
I don’t go in the water and use equity to scoop up the money without getting wet.here to help
contact me [email protected]hi salacious
you can open an account with the bank of china here if need be and you can then open the account with the bank of china in most large cities, not sure why you need the account as I would not recommend direct investing in china. you can even use a link cirus card there.
I have organised not only accounts but am currently organising direct equity lending with the bank of china from here in sydney if need be send me an email to [email protected] and will give you some good contacts if need be.
investing in china is not for the faint hearted
and is tread very carefully
you are about to go swiming with sharks so make sure you can
swim very well or swim near the ladder
thatsmy advice
I don’t go in the water and use equity to scoop up the money without getting wet.here to help
contact me [email protected]hi mark
my advice is to organise an exit plan
I would look at what the value of the asset is at the moment
and then take that equity and throw it into a secure income producing asset
I would do direct investing,
but your mum may want to look at some one like mac bank( even thou I don’t recommend them as they are a major bank and they take most of my deals away from me).
I would look at equity lending off the base at this stage not reinvesting on new properties
after 50 you need secure growing assetts with income not more debt.
buying or leveraging is good to go to retirement
but once there you need to do the opposite and that is secure your position and make that position last as long as possible not grow( if you can its better), as you will be slowly eating it away, as slow as possible
that why you need a structure that will both feed you and grow( hopefully faster then you eat it) at the same time,
but the rub is that these structures need to be in place for some time and it does not sound like your mum has done this.
so you need to consolidate your position and work out a plan for your mums retirement and adjust the structure to suit.
there are a few accountants here that can do that. but a 55 It would be a brave person that would be aiming on being a property guru.
my time line is 50.
I hope you do well
I am not a financial planner nor do I do broking, so you can ask a few here who are to help you out.here to help
contact me [email protected]
