Hi Northwind,

Here are a couple of contacts. All the best with it

Michelle Wiens Michelle@candsaccounting.com
Todd Campbell Todd@candsaccounting.com

What about trying to purchase a 50k home with U.S. private money lending at 50% LVR and an 8.5% interest rate?

Eliminates currency risk, bank fees etc. Better interest rate than personal loans in AUS, you can get into a nicer neighbourhood as you wont need to be chasing minimum of 14% Net Return and gives you a little buffer to pay down loan…[Read more]

I love the section 8 program. If your house passes a section 8 inspection, you know you have bought well and the house is in good shape. They are very picky but if your house is rehabbed with certain paint and flooring specifications, vacancy costs can be minimized.

Textured darker colour walls, darker tinted floorboards, dark carpet to name a…[Read more]

I have spoken to various lenders in Atlanta for foreign finance.

They don’t lend in some of the high mortgage belt areas. A fair bit of the western side they are also very picky with. These guys generally like the north and east of Atlanta as a very general rule. Each case is obviously different but it is better to know these general facts to…[Read more]

Be careful, most banks will charge $10 for every incoming rental payment you receive from the property manager.

Also when you are depositing some AUD into your US bank account, most banks charge up to $40 for incoming wire transfers

insurance $450
Property tax $400 (these are on average my numbers I have paid for my houses)
Management $900
Maintenance factored in of $300

= $2,050

Which means the properties around the 50k mark will rent for around $920-950/month

Very achievable in my experience

Havnt factored in vacancy and usually factor in around 10%

Paying off these…[Read more]

Jay,

The key to this is making sure you get your net return a lot higher than your interest rate. So this loan structure works in cities like Kansas city where returns are a little higher, but wouldn’t work as well in Phoenix because as you have pointed out, you would have negative cash-flow. It’s a numbers game and here’s my example below for a…[Read more]

These loans are based on purchase price and all the fees can be blanketed into the loan so there is less down payment required.

Do your own numbers, but these figures suggest you could pay off your debt within around 7 years if your net return is a good distance spread from the interest rate

Here are details of the loans we have completed:

Atlanta, Phoenix, Kansas City, St Louis

50% Loan
9.5% Interest Rate
5 year term

Or

I have been notified of another product and this product is from an institutional lending fund

Phoenix property only

50% loan
5.99% interest rate
7 year term

I understand where you are coming from dj_ajay and I dont mean to knock 888 at all. I just want people to save money where they can. I just went on that website and I have been offered some of those properties to buy through american real estate investments for prices consistently 3-5k lower after 888 add their fees on top. 888 look like they do a…[Read more]

Hi Jay,

Agree with some of your points. The benefit of buying turnkey compared to “pre rehab & pre tenant” property is that running costs are real and active before you purchase. The numbers you cant really forecast are vacancy and maintenance and this always needs to be factored in.

The guys at AmericanRealEstateInvestments advise to allow 10%…[Read more]

Nigel, you didn’t answer my question:

Please elaborate on the fees you charge before a person even gets to see a property available for sale through you?

Biggaz,

I completely empathize about your experience with MY USA. It is not the first bad press I have read about them. And makes me even more sick that MY USA have now rebranded?!??

That is a similar way how I came across americanrealestateinvestments.com

I saw an Australian broker advertise a property in KC and when doing my due diligence I…[Read more]

I have never had to pay letting fees… Check that with your property manager.. Try and negotiate for future deals

I allow 10% per year vacancy. In Kansas City it will generally take now more than 2-4 weeks max to get a new tenant in

I allow around $300 for maintenance.

When you look at the numbers advertised make sure you input it all into…[Read more]

Hi Biggaz,

I apologize about labeling time poor and lazy people in the same category. As you can understand I meant to say time poor or lazy. I am time poor as well but when it comes to improving the bottom line I will try to dedicate as much time as possible.

I think using an agent for the first home if you are either of the above is a great…[Read more]

For all you guys coming on here and promoting why people should still use you as an agent and if you don’t it is very ‘dangerous’ ……

Well I am sure there are some good Australian agents out there, but, being an Australian agent means one thing: you are not going to work for free and your fee will come at a cost.

Now consider the fact that…[Read more]

In general I have bought in pockets between south of 39th and Nth of 80th in Kansas City

Also parts of Ruskin, Raytown, Marlborough to name a few.

If you start going south of 80th you get into more ranch type property, with larger blocks. Can pick up some great cash flow property down that way.

Some nice solid suburbs within 2miles of UMKC also…[Read more]

Hi Rick,

I have quite a few properties in Phoenix and Kansas City. All have cash flowed from day one and I haven’t had one issue and my only annoyance was the title companies aren’t very good at communicating and I had to email through to make sure settlement had occurred on a couple of the properties.

I first entered the market a couple fo…[Read more]

Great info on the ITIN guys!

Bennyblanco – I had a Wells Fargo account set up when I was over in the US a few years ago, and it was in my personal name. All that was required for ID purposes was a passport and a credit/debit card.

I kept a good relationship with the guy who set my account up and once our LLCs had been set up, I then just emailed…[Read more]

DHCP,try this link: http://www.sos.mo.gov/BusinessEntity/BusinessEntitiesOnline/help/mo/notice.aspxFor some reason that Missouri State Government website was down on my computer as wellLet me know if the above link doesn't work