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To answer this question
Gordie1080 wrote:IS it really safe to invest outside of Aussie? Info pleasethe answer is Absolutely,BUT you have to do your homework and due diligence. Here in the US t right now you can become wealthy acquiring investment properties or at least be comfortable. On the other side of the spectrum you can lose your shirt. There are key factors that determine your success. Location,the asset , and property management. Very important to have a good power team .You are thousands of miles away ,so having a competent and trust worthy property manager is absolutely vital.Check the demographics of the area to make sure that there’s enough job stability and growth to support good tenants. So to be very short and answer your question, the answer is YES!
Demetrius Mathis
[email protected]I am a wholesaler here in a few markets in the US. It boils down to a couple things in my opinion. That is area and property management. Some areas are actually seeing a surge in rental rates due to the absorption from previous homeowners who have foreclosed. Also it depends on your property management. Some property managers are more aggressive than others. But you dont want to “over rent” it either. That could cause a strain on the tenant resulting in high turnover. But the drop that you see is very unusual unless it is in a lower end area. But even then, you should still get market rents via Section 8 (or HUD) rentals.You could have been over promised on the proforma . I dont know. We generally place tenants prior to acquisition so you know exactly what you are getting off the bat.Always buy on actuals not proforma especially if you are a remote buyer. Thanks for letting me share
Demetrius Mathis
[email protected]Right now there is a huge opportunity here in the US market. Distressed assets coupled with decline in US Dollar compared to the Aussie Dollar is a prime ingredient for success. But just because properties are cheap doesn’t mean they are a good deal. It really boils down to location.I am in Jackson,Mississippi.Here we have properties that I can pick up for 10k or less. But , the demographics are wrong in some of those areas for a sound investment. This is true for any market.There are some good areas here still, but you are going to pay more.
Also here in the US we have a high rental demand. Due to the high foreclosures, those same previous home owners are being absorbed by the rental market. Also it is harder to qualify for a mortgage now. That being the case, puts a bigger demand for rental housing. I am working with partners Jackson, Atlanta, and Florida. We have rental guarantees in place. Not really a risk to us, since tenant placement is very quick Yes the price points are higher with 10% to 14% ROI, but they are more stable for the investor.Fact is the market here is distressed for now, so this is the time to jump in.Take advantage of the acquisition costs now and profit when the market rebounds. I dont know when that will be. But history shows that it will reboundDemetrius Mathis
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