Where is the soundest state/county to invest in America?

Latest opinion from Paul Clitoroe (money magazine)… Stay away from US properties as aussie investors have NOT
been given full pictures of investment condition @ USA. There are bargains out there… no doubt.. but if through broker via broker via broker.. obviously… a dud investment.

Aussie investors might think like investing in Australia….but it is completely different game..

All of my research was based in Georgia/Tennessee. The south was not as badly affected as a lot of other areas in the US. Unemployment levels are stable, new business is moving in, houses are gaining 6%/annum and home sales (at the non-foreclosure end of the market) are increasing every month.
I bought my first foreclosure there and have now got it ready for sale. I have a great team over there and am totally committed to invest time and money into the area to gain solid returns.
Just my experience.

I have a lot of relatives in Ohio & LA.  I'm trying to find out as much as I possibly can about the location and planning to visit them around next school holiday.  I will also try to have all my finance ready before I go.  My cousin seem to like the idea of me investing property there and he is quite willing to do business with me.

I don't quite like the idea of doing business with relative but if I have no other choice may be.

Anyone know much about Ohio and LA,  any suggestion or any specific location I should look into if I am there.

I find Texas to be one of the best and safest markets to invest in America
Lets look at why
If Texas were a separate country it would have the 10th largest economy in the world
It is the highest export state in America
Despite the debt in America, Texas has no state debt
It is the fastest growing state, with over 1000 people per day moving there.
The state unemployment is way lower than the rest of the country
70% of jobs created in the United States in the last 12 months we created in Texas

To me where ever you buy must be based on the long term viability of the area. Does the city have growth what is the potential for the area to expand. You need to ask the same questions as if your were investing here.

To may people buy in the United States because it is cheap. It is true that you will get great deals there. However the real cheap properties being sold by the banks have 2 problems firstly if they are so good why will the banks not finance them and secondly they are often in dying or at least declining cities.
What I like about Texas is that you have cities with many industries not like some cities that have not kept up with the time and are now paying the price.
Finally as my business partner often tells me you can be in the best market anywhere however if you are dealing with an idiot it is still a problem.
Do you research carefully, if you are going to use an buyers advocate then make sure they have been involved for a time and not the last 5 minutes. I first got involved in Texas in 2005. I then ran a real estate firm in 2006. I do not claim to now everything but I think I have some idea about that market
Happy research and investing.

Hi ALL,

I am different again. I have deposits down on 3 houses in Kansas City MO. From what I have read this is a stable City not a boom / bust type of place with lower than average unemployment and steady population. All houses are offering 15 – 20%
returns.
It looks like everyone has different ideas on what are good places to invest. Each to their own as long as you are doing something that you believe suits your goals then go for it.

RickH – who did you go through to purchase the properties? How much "other costs" do you have to factor in above the purchase price?

Realise some folks are buying properties outright with cash, but can one still claim the interest part of the loan as deductions as we do in Australia? Does that still apply?

Have just been looking thru http://www.myusaproperty.com.au – anyone had experience with them?

Kim

Hi Kimbopumpkin,

There are more fees involved up to $3000 to purchase a property, from what I understand once you pay an entry fee you get access to further info.

I can give you you 2 accountants that can advise you one charges $170 per hour, the other $330 per hour, the difference being is that the $330 per hour fellow has over 17 years experience with Price Waterhouse Cooper doing US Tax.

My email is [email protected]

The tax advise gives you the way to structure your purchase, if it is for one purchase then you will be given advise for that.
My strategy is to purchase a number of properties for positive cashflow so I can supplement my income.
You need to think about what your objectives are capital gain or positive cash flow.

Jeff

Hi Kimbopumpkin,

I am going through MyUSAproperty.com.au for the 3 houses we are purchasing. All is going well and we should be closing soon.
The houses we bought have been fully rehabbed(with photos) and are currently occupied.

The $500 is an itial fee. Prior to paying a cent you can have either face to face or telephone discussion with then where they outline everything and it is all clear what you have to pay for what services. They can assist with finance here and USA, setting up american bank accounts, setting up LLC and liasing with closing agents, yourself and attorney to make sure all the i's are dotted and t's crossed.

To be honest there is alot of paperwork to go through, but the properties look good and the information given on the areas have matched with my own research.

I feel confident with my first stap into US property market. I have owned investments in Australia and they were money pits.

I am looking for cashflow and long term 5 to 10 yrs some capital growth to perhaps fund more purchases …who knows.

Kimbopumpkin contact tony at my usa properties on [email protected] to get more info.

kansas city missouri has proven to be a great investment.
lower than usual unemployment.
current population growth.
future job growth outlook strong.
diverse economy with large blue collar work force.
rehabbed homes in GOOD neighborhoods in the $30k-$40k range that rent for $700-$900 per month.

To nIgel and Jason – <moderator: delete flame> Why don't you both write constructive comments that help people and have your little tiff via your emails or something. If you are promoting your individual businesses then do it in an objective fashion – add your biz tag line make a decent comment and be done with it or just go away.

Here's an interesting take on the US market from a guy who has been there and done that for years. Note, he is trying to get you to invest in his strategy in Australia, but that being said, what he has to say about the US and the 'mindset' is right on the money from my experiences in the US since 2008. You won't hear this from the Nigels, Jasons, Michaels and Vinces to name a few etc on this forum. Every newbie investor should know this information before they start their O/S investing journey. It is information that you need to be aware of and to plan for should you wish to invest in the US

Hope it helps.

http://www.rickotton.com/the-truth-about-buying-property-in-the-united-states/