Hi guys,
Before everyone jumps in …i know they are a company that buys rehabbs and onsells property. This will take a lot of potential equity from the property.
I am looking for solid cashflow.
Has anyone had dealings with John at housebuyersUSA.
He has been selling kansas city properties since 04 and they do the property management inhouse as well.
They are based in OZ and USA.Any thoughts
Hey Rick,
How are your 3x purchases going in KC through MyUSAProperty ? Your last post you were nearly over the line with the finance
yes your are correct….lets say my patients are wearing thin after 5 mths of messing about.
Now the financier wants the finance broker to do full street analysis how many rentals, owner occ, vacant foreclosed
before they will reevaluate things again.Now thinking i will buy one or 2 with my own cash. settle in weeks not months/years
From my research and the partners I deal with in the USA STAY AWAY from Kansas City, not a city to invest in.
Jeff
Jeff,
Why do you say that ?
What evidence do you have to support your statement ?
I have looked into KC and their are good and shocking parts (like all cities). The middle of the run areas still provide solid returns.
It is a stable city and UE rates ect are all at are below national averages.
I am happy to read anything you have on KC that may change my thoughtsSo many markets in the US. For every one that someone says is the best, others will tell you it is not. As an investor you have to make a decision somewhere down the line, but where and how long is that blimmin line? A website that may help to give you a place to start is http://www.housingpredictor.com but apart from going to the states and deciding, for whatever set of reasons, this is the area I am going to concentrate on, you are really throwing darts at map and guessing. Good luck.
Ian
http://www.theblockblog.com
Free Property Tools & Resources for Investors with a Sense of Humour.Hi – I'm looking for some advice from those more experienced than me. If you were looking for a balance between cash flow and capital growth with approx 120 – 140K to invest would you buy:
One condo
Two Condos
One house or
One of each
And where would you target. I have looked at Fort Myers, Tampa and Orlando in Florida and could probably swing any of the above deal options. I was wondering what the opinion of the forum is on Florida as an investment centre and the type of property mix which would yield a good blend of returns. I envisage a 5-10 year timeframe.Also what potential pitfalls are there for Australians investing in the US. I intend to travel there and have a look before agreeing to buy.
There are so many options is hard to know where to start. I thought it would be useful to seek out my own independent Lawyer in the US when I'm there. Has anyone else done this?
Thoughts?
Hi Karlred,
I would have a look at http://www.housingpredictor.com this has forecasts on CG for each state.
If you plan to hang on long term grow must eventually return.
I were offered Florida properties and they didnt stack up for what i want which is high cash flow.
At present grow is not a priority for me. in time that should look after itself.
The state of Kansas is one of the few that predicts solid growth in 2011. Most states are still looking at doom
and gloom for the year ahead.
Personelly i am looking at Kansas City MO or the other side of the border Kansas City KS. This appears to be a pretty stable area with good cash flow.
The only hurdle i have hit was finance in the USA they are getting tighter and tighter….tighter than a fish's bum.
If finance isnt needed all should be ok. your lawyer will be able to check for any liens on the property and building inspections are a good idea as well.Good luck
Many thanks mate – I'll have a look and let you know what I think.
Karlred, anything you buy through a Realtor must have a clear title and no liens so there is no need to employ a Lawyer to check this out.
There are reputable Realtors and some not so good. If you need one in the Fort Myers area, I can give the details of the Realtor that I use and have no hesitation in recommending.
RickH wrote:Jeff,Why do you say that ?
What evidence do you have to support your statement ?
I have looked into KC and their are good and shocking parts (like all cities). The middle of the run areas still provide solid returns.
It is a stable city and UE rates ect are all at are below national averages.
I am happy to read anything you have on KC that may change my thoughtsHi Rick,
I have a business partner in the USA who is one of the leading buyers agents in the USA, he has a research company that advises investors on where one should invest and not invest, his assesment of Kansas City which can be backed up by data is that Kansas City on a long term basis is not a city that he would advise his investors to put money into. This company researches over 250 markets and has over 30 years experience in real estate.
Everyone is open to investing in wherever I do invest in the USA and I am getting good returns. Rick H are you investing in Kansas City?
Jeff
karlred wrote:Hi – I'm looking for some advice from those more experienced than me. If you were looking for a balance between cash flow and capital growth with approx 120 – 140K to invest would you buy:
One condo
Two Condos
One house or
One of each
And where would you target. I have looked at Fort Myers, Tampa and Orlando in Florida and could probably swing any of the above deal options. I was wondering what the opinion of the forum is on Florida as an investment centre and the type of property mix which would yield a good blend of returns. I envisage a 5-10 year timeframe.Also what potential pitfalls are there for Australians investing in the US. I intend to travel there and have a look before agreeing to buy.
There are so many options is hard to know where to start. I thought it would be useful to seek out my own independent Lawyer in the US when I'm there. Has anyone else done this?
Thoughts?
Karired,
My advise is to keep away from Condo’s, they are fraught with danger eventhough they may look good on paper, you have HOA fees that can eat into your ROI, in some cases the HOA’s are broke and have NO money to fix anything that may break down.
Single family homes are OK, if you can invest in duplex’s or triplex’s better ROI.
I would NOT invest in Florida some of the worst vacancy rates in the USA, there is a glut of property. I know that many investors are keen to go to Florida, the number do not add up.
You should try and speak with a local accountant that has knowledge of US tax laws, how to set up the proper structure to suit your personal needs. Do you intend to purchase many property’s or just the one.
If you want some advise you can email me
Jeff
Jeff, I disagree with you on investing in Florida. To say Florida has some of the worst vacancy rates does not tie in with what I am finding. If you price your rental according to demand you have no problems securing a tenant. There is a glut of available houses and where are those previous home owners now….renting. Florida has been vey good to me financially.
Jeff,
From what i read and seeing your website you are working in NY state ?
How is that part treating you. I read alot of people are turned of that area and in particular Buffolo .
Is this your area of specialty or do you have a wider market ?
RickH wrote:Jeff,From what i read and seeing your website you are working in NY state ?
How is that part treating you. I read alot of people are turned of that area and in particular Buffolo .
Is this your area of specialty or do you have a wider market ?
Hi RickH,
Not touching Buffalo because my partners there do not invest there, I am getting very good returns dealing with like minded investors who have a turnkey operation, every property is rehabed and comes with a tenant in place.
Some property’s are section 8 and some not.
Returns up to 25% nett……. good intro market. Vacancy rates are below US average. good rental mangement in place. All my partners are experienced investors themselves who decided not to invest in the “sunshine states”I have No problem recomending this area, despite the fact that years ago some people have been burnt……
I do have other area’s that are available that are a little of the radar bringing in good returns.
I would be happy to give you those you can email me [email protected]
jeff
ActToday wrote:Jeff, I disagree with you on investing in Florida. To say Florida has some of the worst vacancy rates does not tie in with what I am finding. If you price your rental according to demand you have no problems securing a tenant. There is a glut of available houses and where are those previous home owners now….renting. Florida has been vey good to me financially.Hi Act Today,
You are entitled to your opinion and that is fine, I have a very experienced partner in the USA over 30 years experience in the US market, has a company that advises on over 250 markets, were to invest and why, his thoughts on Florida is backed up by solid data.
I have NO problem with anyone wanting to invest anywere….however it is the long term that one needs to think about will you have a tenant in place 2-5 years down the track…..I think that in a few years we will read of some horror stories coming out of Florida.
I am happy to email you off the forum on why Florida is very risky….if you are interested.
Jeff
Thanks for the offer Jeff but I also have over 30 years experience and have learnt through the school of hard knocks how to protect myself. I have long, medium and short term plans and I am very happy with the investments currently in place. I am watching the market closely and believe a lot of the current renters will be buyers again and that is when I’ll be ready to sell part of my portfolio. Some of my properties are for the long haul. There will always be renters and I believe if you have the right tenant in place at the right price you have a long term investment. Relying on tenants isn’t the only arm to my investment strategy. I have found ways to expand on services and these are providing a nice little bonus. We have been taught for years to not put all our eggs in one basket and I hope the investors here remember that.
ActToday,
You have had 30 years experience in investing in the US market? or 30 years investing in property?
Jeff32 in Australia and 6 in the US, not only in Florida. I am not saying II’m an expert I said I have been successful. I’ve also had the benefit of knowledge from posters on this forum since January 2003 and try to impart knowledge to others when possible.
I think to blanketly rule in or rule out entire states is ludicrous. You have to look at markets within those states. Florida has a number of major cities and regions and each one has and will be affected in different ways and will have different opportunities moving forward,
For example, miami beach has not been impacted anywhere near as badly as other parts of Miami and indeed Florida. You then need to look at the factors which underpin that, including high per capita income, strong tourist and overseas interest and investment and most importantly SCARCITY. Beachfront or waterfront property is a scarce commodity in large cities like Miami……..you can't make any more waterfront land once it has been developed. Scarcity creates and underpins value, even in a depressed market and the attributes that have contributed to Miami's growth up until now will still be there once the U.S economy and confidence improves.
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