My USA Property

Hi All,

Anyone heard of these guys ??? http://www.myusaproperty.com.au/?gclid=CP2H_OKWz6MCFQXObgodHhaAtg.

Recently sat through a seminar which was interesting. They seemed fairly genuine i.e. buyers advocate style service however having someone booking "home " appointments on a mobile and 2 hr presentations rings "hard sell" alarm bells to me...sign up on the night style selling....have written to them with a bunch of buyer beware style questions re. their longevity, licenses, testimonials etc and received nothing. It works in you pay around $300 to become a "member" then around 3.5K when they find you a place...have heard that in some states the buyers and sellers agent actually split the selling commission which would kinda ring "2 tier marketing" alarm bells.

Be interested to hear anyone experience as a client and other more experienced investors views.

Cheers

Kurnster

Any company that wants to charge these sort of membership fees, fees for accessing contact lists etc need to be given some serious thought.I'd stay well away from them.

My 0.02 worth

Dear Kurnster

You've got it all wrong.  There is no two-tier selling whatsoever. Commissions are paid to the selling agent, exactly the same way we do it here.  The only thing that the 'my usa property' agent does is source the property for you, which takes a lot of time, due diligence has to be carefully carried out, contracts arranged etc.  All that takes a lot of time and is costly - that is why clients are charged 3.5k.  The $300+ is a committment fee, to make sure that the client is 'fair dinkum' about continuing with the purchase.  Everything is as it appears.  We have bought this way and couldn't be happier.  So buy away, if that's what you want to do.

Hi Kurnster -

I have just returned from Michigan where I have been investigating the property market.
I am just speaking from my experience only, but after some time of researching the different options available, reading forums, and lots of comparisons of the various buyers agents and tours,  I decided to jump on the 'Cash Flow Gold' tour.  You can google their website.

The reason I went with this was that there was a once off tour fee that you pay and you get access to their network of people already established there.
I was a little bit sceptical at first, but thought the only way I was going to find out was to do the tour and see for myself.  I was also hesitant about what the market in Michigan was going to be like, but again, actually being there put it all in perspective.  Yes, there are definitely some areas to avoid, but being on the ground really put it in perspective. 

I was very pleasantly surprised.  Part of the process is setting up your LLC and bank account and then meeting all the networks (accountant, foreclosure agents, rehab team, property management team etc)...
Then we spent several days looking at different markets and properties (in different areas depending on your focus/interest).  There were even a few properties that I'd researched myself that they went out of their way to show me.

At no time was there any ever pressure on the investors on tour to buy or use any of the services offered - it was purely up to the individuals.  Basically it gives you the tools - and then its left for you to decide whatever you want to do.

For me and what we're looking for, this was a perfect solution.  Yes, they make a small amount of money on the tour fee, but I was more than happy to pay for that as it gave me peace of mind and pretty much the company has done all the leg work for you by accessing their network.  They also have a long distant buyer option available. 

Everything else is totally  transparent - no hidden charges, fees, commissions.

I found out this morning that one offer has been accepted on a property that I put an offer in on, with another 2 offers pending so I'm happy about that after being pipped at the post and missing out on a few initial properties I offered on.

Am happy to answer any questions for you, and I'm sure there are plenty of good options out there, but I am purely just speaking from my experience - which was successful.

Cheers,
Reme

Dear roxy3

Thanks for that information. We have been looking into the USA property for a while and have been having some trouble sorting through various options. Can I ask if the property you have bought through myUSAproperty is tenanted? If so, what kind of return are you getting and where is the property?
Many thanks

Hi Roxy 3

I would also like to know how your property purchase through myusaproperty has been in hindsight. Have you got tenants, where did you buy, did you get finance in the US, how long did it take

Thanks

Hi All,

New to this forum, but my wife and I are currently going through the process of purchasing 3 properties through Tony and My USA Property. So far it seems a good process. Moves along quickly and they use some outsourced companies that I know and trust which instills more confidence.
The properties we have deposits on are in Kansas City M with net returns (prior to any loan repayments) of between 16-21%. All have been "rehabbed" and ready for tennents( one already has tennent in place). So far I have found My USA Properties to be easy to deal with and have answered all our questions.

Hi
I would love to hear how you go. We are going through this process as well. We've just been trying to do some due diligence on the areas that 'my usa property' focus on. Are you buying sight unseen - or have you been over to the USA at all to look at the areas that they buy in?
Many thanks.

Hi Elisa,

Totally sight unseen. We have done this before with Australian property. Done the background work on the area and then moved in it.
The area recommedned to us was Kansas City MO. From information i have read it is a stable city which historically hasnt had huge rises or falls in capital values. Currently low rates of rental vacancies. The 3 properties we have put deposits on are between 40k and 60k, fully rehabbed. 1 has current tennat in place. the monthly rent ranges from$750 a mth to $1025 p/m.
I have seen pictures of the properties but in the end I am not overly concerned with the look of the property as long as the return is there.

Hi Rick
Many thanks for that. It is reassuring to know other people are doing the same thing. We have never bought sight unseen before and are used to controlling some of the variables so this is very new (and daunting) for us. I'll be ken to hear how it goes for you. I will post how we get on as well.
Cheers
Elisa

Update:

We spoke with the independant accounts last night. It was good to hear about the different ownership structures and methods of personel asset protection. If not borrowing at all in Australia (Cash deposit) then the general idea was Pty/Ltd Company and family trust (depending on income souces 1 or 2 wages kids ect) or if using equity from Oz property then LLC was the preferred set up. All set up and going costs were explained and iformation to be mailed to us. So far everyone has contacted us when they said they would and things are progressing fine.
Will report as more develops

Rick

Hi Rick,

would you be able to give me your My USA Property contacts name? My dad is in Kansas City Missouri and has a property management/reno/acquisitions company and is looking for Australian representation to sell some of his own stock. Would like to talk to some one in My USA Property and see who takes care of stock/acquisitions. Do you know? Returns sound about the same and i think my dad is even concidering partial seller finance which might sway my US Prop....

Thanks in advance!

"If you don't like the answers you are receiving, change your questions"

~Modern Philosopher~

Hi MP,

The person I am dealing with is Tony. His email is tony@myusaproperty.com.au
I am sure he knows who would look after that side of things within their company.

Also you have knowledge of Kansas City MO. Like to know your thoughts on the area in general.

Thanks

I am a real estate investment broker in Kansas City, Missouri.  My USA property and I have been in contact and they seem to have a pretty good idea of the market.  The Kansas City market is one of the most stable in the U.S.  Unemployment rates are 2% below the national average.  It has also according to the US census bureau grown at a rate of over 9% over the past 9 years.  The city is headquarters for 10 fortune 500 companies and has alot of new infrastructure going on at this time.  There are  other U.S. cities that have similiar returns, but  their cities are in declining markets where capital gains may never exist.  I am very pleased with my investments and see many properties on a daily basis,  hopefully this helps.  I have used www.bigpropertiesllc.com to purchase some unbelievable deals.

Have any Australian's here had long term dealing with property in the US? As the market condition allows for it now, probably for the first time ever, I wonder - how much does anyone know?

I am keen to buy a property in the US if it will work out. But I am concerned that after making the purchase, there will be little incentive for the US agent to maintain the property.

Also curious to know how much one would spend in tax and fees before seeing any cashflow? If only buying one property for $20-$50K, would the returns be worth it?

Any insight/advice would be much appreciated.

Hi MJ,

I went to the link you had up and had to laugh. I saw a familiar property advertised. It is one I put a deposit on through My USA Property last week. IF 2 companies are promoting it it must be goos huh ??

Hi Rick

Will you be able to forward the contact details of the accountant? Are friend of my is looking for information in LLC/asset protection and borrowing if they do decide to buy a property in the states.

Thanks

Hi Rick,

I am very pleased with the properties I have obtained using that site. 

MJ

My cousin has recently purchased 2 properties through My USA property. There were some teething problems with the first purchase (in Florida) but the second one (in Kansas City) was a lot smoother. He recommends them and I will be registering with them shortly.

Hi RickH and everyone,

Thank you for the contact, i will contact Tony shortly and have a chat with him regarding possibilities.

It's great to see so many people investing in Kansas City first of all. The city i believe is a truly stable economy, it's stability is due to a few different circumstances.
1. It is home to as mjcantrall said to a few of the fortune 500 companies and also Hallmark (which is not seen as a F500 cause it is privately owned by the Hallmark family)
2. The city is a family friendly city, focusing on lifestyle and entertainment having just spent i believe over 4 billion dollars in city upgrades of which a large chunk went into the entertainment district. Funnily enough it's also known as the BBQ capital of America(how very Australian) and it also has second only to Rome, more working fountains than any other city in the world.
3. It is often seen as the logistics hub of America, one reason that KC is such a stable economy is that not only does it have it's own business and economy but it caters as a logistical center for transport from East to West, North to South shipping product all over the country and is being upgraded with a new highway to introduce more flow through business from Texas. This and the so called Super Corridor system from Canada to Mexico is being built right through KC so over the years KC is only going to grow larger and larger due to this. check out http://www.kcsmartport.com/and have a look at their video on KC and it's future.

There is a great rental demand in Kansas City due to the fact that no one can borrow money and banks especially don't write loans for under 100k cause they don't see it as financially worthwhile whilst KC properties are often under $60k making nearly half the population there a renter by default unless they have cashed up.

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Ok back onto Kansas City Missouri. From an investors point of view Kansas city prices are fantastic because they are widely under marketed at the moment for the size of the city. Living costs in KC at this point in time are 20% below the US average giving them room to grow where as many other places where very overpriced such as Florida and Nevada in my eyes and so i doubt will reach the highs they had a few years back for many years. Where as prices in Kansas City are from my point of view more inclined to experience a steady rise year after year because of the cities growth and the stable local economy.

As mentioned, Kansas City is not the boom/bust type of market, it is a trading business central which gives it slow but steady annual growth bursting with real value, not empty ballooning prices like in other areas of the US.

"If you don't like the answers you are receiving, change your questions"

~Modern Philosopher~

Hi Brennan,

The accountants we are going through are McHenry Partners Melbourne/Geelong Victoria.
I live in Geelong area so I were happy to see them accosiated with My USA Properties as I know this company and they
are well respected in this area.
I have received follow up email with the paperwork needed to open LLC or an Australian Ply Ltd company and family trust.
LLC will be my choise i think