Hi I have just purchased a single family home in Port Charlotte Florida for $42500. I am hoping to hear from fellow USA property investors so we can share information as I am a rookie at overseas property investment. I travelled to Florida myself to select a home as I would never buy anything sight unseen however good a photo looks. Trust me this is so true as I had a list of 10 or so houses that i researched before I left. Not 1 of these houses made it to my short list. The house I have ended up purchasing is on a main road in Port Charlotte close to a Hospital and also close to shops, beach etc. The asking price of the house was $49500 and the vendor was willing to do the deal for $42500 as i was a cash buyer. The house is a Qtr Acre with full Irrigation system, fully fenced ( rare in the states ) 1600 Square foot house built in 1963 but refurbished in the early 2000s with new bathrooms kitchen, roof etc. 3 bedrooms 2 bathrooms. I have had rental estimations anywhere from $650 to $950 a month. So I figure somewhere inbetween would be about right. Another important aspect of the house I purchased is that it is on town water and town sewer. Alot of the cheaper houses in SW Florida are on Septic and well. Which can turn expensive not only maintance but also if the county decides to connect to town services you could be up to $15000 out of pocket. Anyway something to look out for. I am in the process of choosing a property manager and as I had expected costs are higher than in OZ. Anywhere from 10 to 15% plus extra costs for lease writing and collecting rent etc. I believe this to be the most crucial part of this investments success as the property manager will be my eyes in the states. Does anyone have any recomendations?
Whilst I was in the States I opened a Banck Acc with Suntrust with full internet access etc. But now I have returned to OZ I have realized I cant make any External transfers as I am a foriegner. Which makes this account useless. I can open a HSBC account in OZ but I have to be a customer with them for 3 months also high fees attached. Can anybody help?
I am happy to talk to anybody about tax implications I have come across but I guess everybodies circumstances are different.
I also had the property inspected as there is drywall issues in Florida that could make your purchase worthless, Also termites, poor elctrical and plumbing issues, the list goes on so a property inspection is crucial.
Insurance also isnt cheap about $900 a year but when you consider Port Charlotte is in a Hurricane area prob reasonable value.
Anyway looking forward to hearing from anyone intersted in sharing ideas.
SteveHey mate,
Congratulatios on your buy. I will let the US boys answer if they think its a good deal. Make sure you deligate a great property manager as they will be the key to make or brake your investment.
Thanks.
EngeloRumora | Ohio Cashflow
http://ohiocashflow.com/
Email Me | Phone MeF@#$ THE REST WORK WITH OHIO CASHFLOW TO INVEST
If I wasn't looking for water front property, i would have loved a deal like that.
Port Charlotte was a town i used to pass through to get to my favorite fishing spot on Boca Grande. That's a place i would love a house, Boca's an island with world champion size tarpon. Couldn't get on the Atlanta bandwagon when Florida stayed looking sexy to me.
Mind sharing the address? Insurance isn't to bad for a town that got hit by a hurricane not to long ago. I wanna say 2004. Had a bunch in 2006, got hit by Wilma when i lived in Cape Coral. It's more for flood than for hurricane. Almost better to have found property management while you were there. Should be able to get 800 in rents and 11 months paying, property management will eat one month for finding a renter usually. Some pictures and an idea of the area and u might have just bought a real steal for your first property in the States.
I bet Cheeves will be able to help you, he is out of Lee county.
TERRIBLE INVESTMENT!! Everything investors buy in Florida is terrible unless you use me as your wholesale source!!!
Kidding Kidding..In 2003-2004 I was the marketing arm for a contractor where we built almost 100 homes in South Gulf Cove and Rotunda, located in Pt. Charlotte. Good thing you are by the hospital! Lots of old people in FL! Port Charlotte experienced the same decline as Cape Coral did. The homes we built in Port Charlotte, we sold for about $250,000 in South Gulf Cove and $180,000 in Rotunda. Those homes are now $120k and $100k or so.
Yes, city water and sewer is a huge plus. However well and septic is a way of life in much of Florida. Septics last years and years with maintenance. The biggest problem with septics is tenant occupancy number according to health department recommendations, and tenant education. We have all of our tenants watch a 15 minute video of "how to care for your septic". It works like a charm and our average pump out is 1.3 years. But good for you in buying city water and sewer.
Would love to have the address, but you say you are on a main road? Why would you do that? Traffic? I hope you meant OFF a main road. Based on your square footage, I would guess your rental will be $800 to $850. If your home was built in the 1960's, you have no drywall issues. Drywall issues were in 2005-2007 new construction.
Kyler: See you in Boca Grande Pass for the Tarpon Tournament this year. I have a mako that I take out with a couple buddies every year… I had a 5 footer last year only to get nailed by 2 hammerhead sharks about 10 feet below the boat. Although disappointed because I fought the tarpon for 90 minutes, it was an awesome sight watching 2 mammoth sharks eat this tarpon in 30 seconds. Talk about an adrenaline rush!!
CheevesFinancial | Cushman & Wakefield - Commercial Property SW FL
http://www.CommercialRealEstateVoice.com
Email Me | Phone MeAh man, the dreaded Chinese drywall, goes to show you how much they care about people really. The drywall was so toxic it ate water pipes and would affect peoples health. Really makes me mad that they would give there corrosive waste in the drywall.
I saw a video on youtube on the Chinese drywall. That stuff looks mean.
EngeloRumora | Ohio Cashflow
http://ohiocashflow.com/
Email Me | Phone MeF@#$ THE REST WORK WITH OHIO CASHFLOW TO INVEST
@ Cheeves
I wish i could come, but somebody has to be here making sure houses get rehabbed. Spring is my busiest time of year, was able to come in November and catch the last day of Gag season. Hoping i can come early April and hook into some nice Kings.
It made people real sick bro. Back when you could get stuff in Cape Coral, Florida, you could get a house just built a couple years ago for 35,000 full of it.
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