Engelo –

Trust all is well.

Thanks for posting – You know we had a discussion before you left for Ohio, however help us out, why is it so cheap, according to Zillow the average house price in Toledo is $54k which a predicted decrease of 0.5%. We all know it proximity to the world renowned dump in Detroit. Not being a twat, just more to ensure we are not blinded by the price.

So whats the area like? perhaps an indication of the murder rate :) The price is dirt cheap – why is it cheaper than its neighbours?

I have done quite a few set up for SMSF investors purchasing US property (let me make it clear – I donot promote or recommend property), however I wrote this piece on what an investor should consider before making the investment in the states.
http://redwoodadvisory.com.au/investing-overseas-property-smsf/

Happy to receive feedback (Jay Heinrichs had a brief review when I was drafting it)

Happy to write another piece with your input Mr Trump! :D

Cheers, Ivan

• This reply was modified 10 years, 5 months ago by  Redwood.

Hi Nigel, where was the commercial again – I know everyone of your posts promote US property however I can’t recall was it florida?

Engelo has now moved to Ohio Cash Flow turnkey in Toledo from memory

I’ll give my update next week (working on something over the weekend)
Cheers, Ivan

Hi Fatpig….

A guy with one post providing a weblink would usually raise eyebrows, however its steves so all good.

We have 5 clients this week sign up for rushed smsf’s set ups to meet the May application.

I wander what Nigel’s view of the fund is given he promotes US purchases (commercial) in every post.

I have no view on the fund, however just sharing that clients are interested….and using smsf’s to purchase.

Cheers, Ivan

Melb Invester wrote:

H All,

What do you do if this situation?

MI

MI, You couldn’t disagree with Jamie here. It depends….more info would assist.

Cheers, Ivan

Obviously there are a heap of considerations including the slope of the block and what type of bricks you are using – a high footing will waste a lot of bricks.

Generally stumps are cheaper however, we usually go slab. Remember there are height regulations for the stump to floor level.

Cheers, Ivan

jayhinrichs wrote:

@redwood…. Is it just as dead on the other Aussie site sommer something? that site was even more user unfriendly than this site.

the average investor is just not signing in and conversing anymore. Just those in the bizz…

G’day Jay, trust all is well mate! Writing to you I think or beuatiful Oregon, nothing better than great craft beer and great waves.

I am on the other forum and yes it is quiet, no shortage of hearing how great commercial property is with 60% finance though :)

In the SMSF, I donot promote US property, however, the volume of SMSF purchasing US property is lower through the doors of Redwood and I checked with another administrator who does 1000 plus funds and he has said the same.

I am aware of busloads of chinese heading back to the US next month through a guy I know who promoted Atlanta at the Bejing property expo, he quoted one Chienese guy saying “I can buy 50”. Given the Chinese come to Melbourne and buy 10 apartments in Melbourne “Cash” I believe him

Not sure what that means, but, I can tell you Australians are continuing to use SMSF to purchase Australian property.

Perhaps education from people such as yourself is helping
Cheers, Ivan

Hello John,

Welcome to the site and I look forward to hearing your contribution.

I note that from your signature you are from ‘propertyknowhow’, your partner Nigel Kibel is a significant contributor to this forum, not being smart, however, Nigel will point you in the right direction.

Also, review the overseas property thread, read Freckles and Jay’s comments.

Hope that helps

Cheers, Ivan

Hi Amy, using a borrowing, its a strong NO.

Cheers, Ivan

Sandtrackers wrote:

Hi there, am glad this post has resurfaced, as I was also looking at BH for my next investment. I am from WA so it is my 1st time looking interstate. Can I get your thoughts people, on the following. i am considering and comparing investing here to perhaps that of a wa mining town – Karratha and surrounds? Any thoughts? It would also be a buy without viewing if it is BH. i need low risk and money in my pocket each week. I can’t afford for potentially high vacancy rates, due to cf. Also, I have approximately 90,000 in Super, and wanted to consider smsf? I believe it is costly to set up, but can someone advise on how it works. Ie as it is a Superfund doing the investing, would I still have access to the +ve CF? or would i need to let it build up again and use as a deposit for another IP? I also have my ppor valued at say 490,000 and one IP valued at say 400,ooo, with loans of 635,000. Equity therefore of 255,000. Is it better therefore to use my equity here or go the smsf? We have a household income of around 100,000 PA so would hope serviceability isn’t an issue… thanks for your help anyone and everyone :)

Hi there,

I can cover the SMSF side. With your super balance you will most likely borrow to invest. Cost of set up of SMSF and and Bare Trust will be around $2500. Yes, its the SMSF doing the investing, if you purchase a residential property, you cannot live in it and will need to rent it out. For BH, you will need to consider whether your property will be able to be rented in the long term and importantly, the maintenance required, particularly if its an old property.

Hope that helps

Ivan

Hi there,

Ian Ross & assoc in Mount Waverley are awesome, give Ashley the MD a call and let him know Redwood sent you. Cheers, Ivan