Interesting Article – investing in the US

I find all of this very interesting.
Formerly from Sydney, I'm married and living in New York for the forseeable future. Given the opportunities here, I feel I am better placed to represent my fellow countrymen than many others. I work in a medium size Manhattan real estate office, and am currently building a team of lenders and legal professionals, both here and in Australia, to make the process of investing in and purchasing real estate as transparent as possible, to minimise exposure to tax, both here and abroad, and to take advantage of the current low interest rates.
The market here is unlike the rest of the country – or anywhere else for that matter! You will not find properties for less than 100k returning $12,000pa. What you will find is a market where the demand is constant and values ready to rise. It appears we have suffered a lot less than the rest of the country due in part to the prevalence of coops. These are apartment buildings where owners buy shares in the building and effectively have a proprietary lease on their apartment. It all sounds complicated, but by regulating the comings and goings of owners, coop boards have managed to stop the downward spiral of the New York market.
If you have been investigating options to purchase real estate here in the US and, you are quite possibly impressed by the concept of $10,000 homes in Michigan or down in Florida, allegedly making positive returns. I cannot speak for them.
I feel strongly that NY real estate represents good value and that signs of a rebound are promising. Compound this with the potential for the $US to adjust, with some believing it to be as much as 10% undervalued relative to its long-term value, and the potential gains for an Australian investor are substantial.
 
http://www.ft.com/cms/s/0/957781d4-df90-11df-bed9-00144feabdc0.html?ftcamp=rss
 
According to the Real Estate Board of NY (REBNY), New York City has seen the average price of a home rise 7% over last year. Others firms specialising in specific parts of the city put the figure at 14%. The Upper East Side recorded the largest 3rd quarter sales volume, while SoHo achieved a 27% rise in median sales prices over the same period last year.
 
"New York City real estate appeals to a much broader segment than the rest of the country, attracting foreign and local money alike," says Michael Slattery, senior vice president of the real-estate board. "Manhattan is the dominant force here but the strength of the market is spread throughout the boroughs."
 
http://online.wsj.com/article/SB10001424052748703440004575548461232667490.html?mod=wsj_share_facebook
 
Homes are selling more quickly, and supply of homes for sale has grown much tighter, down about 25% from March 2009. Indicators suggest the market is stabilising more than strengthening.
 
http://money.cnn.com/2010/10/01/real_estate/manhattan_home_prices/index.htm
 
When measuring vacancy, the (New York) market easily outperformed the national 7.2% rate. Manhattan had just 0.99% of units available in the third quarter, up a hair from the second quarter, but down from 1.71% a year ago, according to a separate market report by Citi Habitats.
 
http://online.wsj.com/article/SB10001424052748703735804575536300915079366.html?mod=wsj_share_facebook
 
The Real Estate Group publishes a comprehensive and detailed Manhattan Market Report each month. It will give you an indication of median rental  prices throughout the city.
http://www.tregny.com/manhattan_rental_market_report

I think you need to work out a budget, arrange financing and plan your strategy. NY doesn't offer some crazy return. It will be steady and reliable – in as much as it can be in this economy.  As there is a constant demand for apartments due to the steady influx of residents and the relative lack of housing stock, you can rest assured that it will not remain vacant for a long period.
Feel free to give me a yell if you have any thought, comments or queries.
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