I will look, thanks for the link but I doubt it. On the surface US banking systems are stupid, but they are technically not. In the case of logging onto Grandpoint it seems if they dont recognise the server as well as the PC’s own ID they treat the log in as suspicious. In otherwords things like peerguardian will self defeat – it has to recognise the numbers and ident to let you in, hiding anything is probably exactly what they are trying to stop. I’ll let you know though, thanks.

I didn’t know the numbers you were dealing with. The property press were bleating like Welsh lambs in Spring about the stamp duty increases. Evening Standard property (wed) edition were along the lines of “kill the recovery’ – ‘ruin our livlehood’ etc etc. Argument being that the larger stuff won’t trade therefore lower priced would rise and will meet the threshold – and inevitably it will, like in Aus it is an abhorrent tax. The Jersey and Channel Is issue (I thought) was more about companies owning UK RE, which I felt could affect Aus purchasers. I don’t own in the UK (would like to – sadly just too damn far away) but having seriously considered it once I keep an eye on it.

UK Stamp Duty was increased substantially in the most recent budget (couple of weeks ago). Not a killer, but be aware of it:)

http://www.homestagingconsultants.co.uk/Stamp_Duty_Rates.htm

I didn’t mean ‘i’ above in ‘I expect’ I meant ‘we’ etc. Apologies. Having been through this type of thing I take it personally.

BTW property insurance on mortgaged freehold is not in any way required by Aus banks. Which is why it seems so strange to Aus resi’s. If it is compulsory, surely the bank would make some effort to ensure the owner had it..

The US banking and RE system is operating in the 1900’s. To expect differently is to take grave risks. You guys in the US just don’t even understand how much better it could be.

Jay – you grew up in Cupertino. Imagine for a second we have iPods in Australia. You (in the US) have 45’s. I can’t think of a better analogy…

Freckle:
Only something like 4% of homes at the worst point in the crisis in the US were in foreclosure. Jay is absolutely spot on with his points above.

Jay – you are correct, Australia basically has no foreclosures. Certainly no foreclosure market. Occasionally you will get a ‘Mortgagee in possession’ sale (REO) but it will be advertised specifically as such for more publicity. In 25 years of actively buying real estate I have never seen a Mortgagee in Possession sale go for anything under market – usually the reverse because of the publicity. We have a very controlled market, very safe and secure – which is why it is very difficult for Aussies to understand the whole risk/reward scenario.

Comparing the WHOLE Australian market to something like New York is probably not unreasonable. Extremely tightly controlled and (amazingly given the size) little development – certainly nothing like you see in the US. The boom/busts are very small, nothing like an S&L, tech wreck or sub prime has ever happened. That is why I think Aussies lean towards the risky stuff, because at home it always works out in the end.

Cheeves,
Great idea. Don’t count on web guys for support, but keep asking. I did this USRE stuff on my own some 15 years ago and it was HARD. The scammers that appeared post subprime I think have (with luck) all but run their race – the only reason I am posting is to hopefully stop the rip off guys that are left getting another victim.

If you are even thinking of USRE then a ‘webinar’ is probably the best way to start. No one who doesn’t know what they are talking about would even think of being a part of it. They would be ripped apart by the good guys if they did.

I got into the USRE market on 8% cap. It is about what I have got ever since. I have killed the returns I have got in Aus, and I never bought a foreclosure. I would hope that people reading this would see the sense in long term buying ‘quality’ US RE from ‘Quality’ facilitators. And if a webinar gets up and goes you will find them on it.

Give it a chance – you have nothing to lose. The US RE market will outlive low USD exchange rates and sub prime crises. Back a long term horse and you will win. I am proof – Ive bought badly and bought well, Nothing spectacular, but overall it works.

BTW:
60% of my US mail takes 6-8 weeks to get to Australia – MINIMUM.

It took me 10 years to work out why.

One day a letter arrived and it was clearly stamped ‘HAMBURG MAIL EXCHANGE’.

Finally it dawned on me that you have to assume that ALL mail from the US to Australia gets sent to Austria first. To do anything else will (as it did to me and as above) put you in foreclosure.

FYI guys in the US. The rest of the world’s postal systems work without UPS/FedEx etc because we have (so far) THINKING people who do not believe you get eaten by serpents and dragons if you step outside the lower 48….

AND….
NSW-CA mail – 4 days to deliver.
Ca – NSW mail – 56 days to deliver.

Count on anything less and you WILL get caught….

Mark,
contact me immediately. I will send you a PM

Citi were worse than useless for me. BofA are my ‘main’ bank, but mindless fools when you you actually need some banking assistance. Wells set me up an account and were helpful, but it became too hard for me to ‘reset’ all my loan payments – I closed the account. I now have a private bank who I am slowly making the change to, but they also have their own set of problems – like won’t let me sign in on computer (or a country!) that their system doesn’t recognise!! Same laptop, different country – sign in (in my very best Thai) CANNOT!

My advice (and I think even though you probably won’t understand why and might think I am being silly) is to set up an account with someone at a bank you yourself walk into and meet someone you feel comfortable with. You need _someone_ who knows _you_ personally.To do anything else will create ‘problems’ when you need something slightly outside the box – and when dealing with the US banking system I can promise you that almost anything you expect will (or should) happen almost certainly won’t. There are now US banks who deal with aliens quite well, but please find a person you like – the bank itself is less concerning, the people in it make the difference. In general US banking is like entering a 1960’s time warp:)

Post 9/11 do not even THINK about setting up an account without being there and having your passport.

I am not having a go at you, but it is all about the luxury of space.

No one in MEL wanted to live near an airport. So Tullamarine was built. In the middle of nowhere. Now it is surrounded by houses – because it was ‘relatively’ cheap property compared to what was nearby when they were buying. Nowadays Tullamarine on Gearth looks like an extension of MEL itself. The same thing that happened to MEL 50 years ago is happening at AVL.

Upmarket areas of LA where I buy (and the more you learn about US RE the more you like upmarket) include sewage farms, airports, earthquake areas, beside the 405, moving cliff faces, beachside tidal zones etc etc – just as long as it is away from the hard hitting’ pipe swingin’ – Im sure you know the rest of the movie quote:)

However – I do agree, in a really good buying market, why take a risk? Just remember the market you are buying in – it is very different to ours in Australia.