us finance

Just thought I would clarify a couple of things since my last posting on this topic. I have had lots of questions from posters asking me about the foreign national finance we have for our Dallas & Houston investment homes.

The rate is 5.50% if you want a 3 year ARM. This rate is the floor and is linked to the Wall Street Journal Prime Rate. Conditions built into the loan approval are that the rate can't go up by more then 2% each 3 year reset

For a 5 year ARM the rate is 5.75%….same loan conditions apply.

If the loan amount is over $100K then the loan is amortized over 20 years….less then $100K the loan is amortized over 15 years instead.

We like to get a loan pre-approval in place before you purchase a property. The bank takes around 48 hours to give this and have a pretty simple list of requirements. Contact me if you have any questions or require more information.

We have just secured a couple of new finance lines with US lenders and maximum lvr is 65%.

Due to the demand we wanted to close a couple of deals and now that we have done this we can slowly open it up publically.

In FL we can still do 70% but in the main it requires 35% deposit.

Cheers

Yours in Finance

Agree with Mic's philosophy 100% – viewing an investment property (unless you're a building inspector, electrician, plumber & town planner all rolled into one) is a purely emotional exercise. With a good team, correct and reliable numbers, and a bit of research about the area, there's absolutely no need to – it can even be counter-productive – you start making owner-occupier decisions unconsciously because you "like the place" or don't. The places I like best (investment wise) look their best and worst in spreadsheets, in my humble opinion.

Additionally, when you're rolling large amounts of properties for customers, you better darn well trust and rely on your team, because if you plan to physically accompany every sale in person, onsite, you'd have to clone yourself, I found personally.

To turn key or not turn key that is the question…..

Shoot its a tough go when your doing it on your own from across the globe…

Of course the price of these homes if you lose all your money its no big deal right.

I really think the inner city US properties can only be successfuly run by those that live and work it.

No way it can work trying to build a so called "team"  but prove me wrong.

At the end of the day we ( the United States of Amercia) love all this cash influx into our HOODS… Lord knows the US investor will not set foot.

JLH

The way you keep referring to these properties as "hoods" and "war zones" makes me feel all warm and fuzzy inside with the most "difficult" of our Japanese tenants. ))

Just applied for a property that comes with the same tenant, single woman, 37 (my age!) who's been in there since 1992 and has no plan to move anywhere. Came to the big city at 18, got a good job (I guess, although if she can't upgrade from this unit she's not going anywhere there), and never thought to change.

Nice suburb though. In our 'bad' hoods (shift workers, industrial) they don't stick around for longer than 4-6 years usually, unless it's the elderly or government housed – they also stay forever.

If it matters just wanted to validate that area. If you are anywhere near the Truman House, your in good shape. Very nice area and can bring some really nice rents..

John