Forum Replies Created
- Found a lender – for Memphis. But here is what they offer!
Thank you very much for your inquiry, I would appreciate knowing how you found us as in most cases it is wholesalers or larger buyer groups that we work with directly.
We do provide the type of financing you are looking for. We lend to foreign nationals who desire to purchase US based investment property in their name or the name of their LLC. We also recieve request to lend against Aussie Self-Directed Super Fund accounts and can better discuss this with you as conversations move along if needed.Our biggest concern, is that the investment is made into a quality property and manged by an experienced, established property mangement firm. Our firm does not purchase, rehab or manage properties and we will be happy to introduce you to trusted relationships we have in place that we are comfortable should be able to manage the property for you and find a quality investment that should prove to work.We realize that it will be difficult for us to build a successful lending business if you as an investor are not buying successful properties with quality mangement a thus we find it in both our best interest to underwrite all properties thru an owners eye.As far as our lending terms, we make a 50% loan based on purchase price and offer a fully amortizing loan for periods ranging from 5 -10 years. Our loans have carry a 12% interest rate. Please note here we will not lend for 10-years on all properties and the majority of our properties are 5-7 years. The investor that tends to take advantage of our product is one that is looking for a cashflow break evenish situation for the next few years in exchange for the equity build up and greater cash flow down the road. Our loans carry no pre-payment penalty if paid off early. Most investors that fund thru us are attracted by the leverage we offer them those that tend to not use us decide to pay cash for there properties.Good luck Cheryl !! Let us know how you go.
Jayman,
Where abouts is the talk? Australia is a big place!!Jayman,are we able to access your tax agent? Or is this only for those who use your services?
Luke86
post on forum or PM me also. 32k for 60m2, on stumps sounds good to me….please advise where (area) and details….I'd like to know where you have seen kit homes / pre-built homes for 15-20k. Please either PM me or post details on forum…
Cheers Peter.question is why are there lots and lots of houses for sale in cleveland? What is the job forecast there?
– How did you determine that there is an excellent rental market? (website – vacancy by zip code?)lots and lots of houses should mean good bargains now – but wont be much capital gain anywhere for a few years at least, so may not be a huge minus
Biggaz,interesting post. Could you let us know the
5 reasons why good and the 5 reasons why bad for Cleveland._ Interested to know what you think makes it good and what bad.
I am still trying to finalise an area to go. I have mixed feelings about whether i high foreclosure rate means a good place to buy (ie California and Florida) or a bad place to buy.
I had been thinking to go to Texas, Houston or Dallas – due to job drift in that direction. But seem to be low foreclosure rates, and hard to snap up a bargain. Meaning lower cash flow, and hopefully lower risk.
We always want to leverage. And as this is an NZ investment we will have 20% in, and 80% from local finance. Ideally if we can buy at 20% below market value then after 12 months we can refinance and pull out the Aust dollars. After that if the dollar returns to 1.20 then we will be getting more A$ in our hands. So we will think the investment is giving us a better return!
Certainly while your Aust capital is still in the deal you are exposed to currency fluctuations. Your returns stay more or less the same – your investment capital on the other hand is exposed as Scotty suggests.
Hamilton and Dunedin are certainly worth a look.
Unless you have a good handle on Christchurch i would give it a miss. There are undoubtably some cheap buys to be had there at the moment – and some tenant demand. I think near the Uni was largely unaffected by the quake. But you would need good local advice or an understanding of ChCh before buying there.
I dont think you will find an Aust company willing to lend on a security held in NZ. You will need to get an NZ bank to fund.
– NZ interest rates are better anyway. This is half of the attraction.
Bit mixed on Whanganui. I would try and find out census figures – to try and figure out if it is growing or shrinking. and if it is growing is it growing at a rate above or below the national average. Also try and find a website giving job prospects for the region. Is the town growing/shrinking or stagnant?If you are genuinely going to buy, and never ever sell then it may be ok….what are rental vacancy rates like in the area? Wont be a good investment if you cant get a tenant!
1) Auckland
2) Wellington
3) HamiltonIn that order. If investing in regions then need to know new jobs are about to be created there.
For retirement havens,
1) Nelson
2) Tauranga
3) Bay of IslandsActually on reflection my comment may over simplify. For the sort of rents you are talking about Granny may be able to afford it. So perhaps another question may be – OR is it a retirement destination
Where in NZ were you looking to buy.
Tend to generally agree. But need to check,
1) Can you sell it when the time comes ok
2) Can you rent it in the meantime.Both of which come back to jobs. Check area you are considering for job prospects (future growth and now)
I'd suggest sticking to Auckland or Wellington. Unless you know the regional areas well, and more importantly the future job prospects in the regional towns, then that is a risk i think better avoided. Of those two Auckland is less of an earthquake risk.
There is a gradual population drift north, so Auckland is always a good bet.
Great question..hopefully some who have invested can answer
Wow, great read. Thanks to BB – and others who contributed…to think it only took about a month to read through the entire thread.
At 35% occupancy and $100 pw per unit
= 0.35 * 52 * 384 * 100 = 698880So divide by 5M. Gives a return of 13.97% Pays for itself!! and only 531 people have viewed the oppurtunity…..
Does kind of beg the question – why did the occupancy really drop from 85% to 35% in one year…surely there is another facor in play than the stated —owner is nearing retirement.
"85% occuppied last year. Only 35% now due to time constraints on management (retiring).
Near Beltway 8. Renovations done. Partner who runs the building now is retiring"
Is it a case of no-one wants to live there, unless the owner hounds tenants, and gives them such a good deal – why in another year with this sort of management the place would be empty….
_If you could fill it then you would get your money back very quickly !!
My partner is English – but not a property investor.
Her immediate comment in regards to UK property is NO. She advises that tenants seem to have more rights than landlords, "Squatters Rights".
I haven't looked into it, but she describes it as someone who lives in your property, pays no rent, trashes it. In addition although you can eventually remove them, it sounds long, slow and painful.If getting serious about the UK then i would want to understand fully the ins and outs of tenants vs landlords rights, and property management.
Good luck
Question for Aran/Steve
Property Management. I have heard that tenants can trash the place without much comeback (except loss of bond).
1) Do property managers actually inspect the property (as they do here)? How regularly?
2) Is it your experience that rentals tend to get trashed, and this is a cost that may have to be factored in?
Cheers Peter.
QLD – YES.
Allianz as stated do free cover until settlement (If you purchase through Ray White, allianz may call you with this offer !!).Can anyone advise the purpose of a final inspection. Usually done within the last 24 hours prior to inspection? If i was to inspect a house that had burnt to the ground (r flooded) before settlement could i not say that it was substantially NOT the same as the house i agreed to buy!! Could i then on this basis (final inspection) be within my rights NOT to proceed with settlement, without penalty.?
