Yes, stay away from Detroit. No matter how inexpensive the properties may be. The same can be said of anywhere in the “rust belt.” The rust belt starts in Michigan and makes a “U” pattern down through the east side of Illinois, the top of Indiana, Michigan, the top of Ohio, and up through western Pennsylvania and western New York state.

The companies you have to watch out for are the companies that try to “sanitize” real estate. “We will make real estate easy for you.” They say things such as, “We have rehabbed this property with manager and tenant in place. You can pay us cash for the property, or we will act as your bank.” The problem with this is that they property is in a…[Read more]

The companies you have to watch out for are the companies that try to “sanitize” real estate. “We will make real estate easy for you.” They say things such as, “We have rehabbed this property with manager and tenant in place. You can pay us cash for the property, or we will act as your bank.” The problem with this is that they property is in a…[Read more]

This is a very good article about the oft-made mistakes of Aussie investors investing in the US.
10 Rental Property Red Flags

This is a great idea Peter. I’ve seen too many Australians invest in bad US markets because of shady promoters. The sad part is that there are many US markets and sub markets where properties keep hold their values, vacancies are low, tenants pay on time, and cash flow is easily found.

Go to: http://www.bestplaces.net/city/michigan/detroit
1. On the Detroit overview, look at the -23.8% loss in population. The population of Detroit is pouring south into Ohio.
2. Under the Economy link on the left column, the unemployment rate of Detriot is 14.5%. The US average is 6.3%.
3. Under the Housing link on the left column, the…[Read more]

Run, run away from Detroit! I can show you three different reasons why investing in Detroit is a bad idea.

Turn Key

I hate the phrase turn key. When I hear the phrase, it is like listening to the screeching of fingernails on a chalkboard. I believe that there has probably been as many investors hurt by in investing in “turn key” properties than were hurt investing with Bernie Madoff.
What does the phrase “turn key” mean? It doesn’t mean anyt…[Read more]

I would be happy to talk with you and share Internet tools I use when identifying and understanding US markets. We can find a time that works best to Skype. Feel free to send me a private message.