Forum Replies Created
Hi Osty
if after rental info try http://www.dbh.govt.nz/housing/tenancy/
or better still contact local property managers and ask whats renting well and what isn’t. They will be a great resource for you.
also look at http://www.propertytalk.co.nz its a great site for those investing in NZ
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]Hi Kingdavid
what Nigel has said is correct you must get the loan from a NZ bank, even ANZ will not want to assist you with properties in NZ.
where abouts in NZ are you looking to buy ? Maybe get on minimoguls database for NZ properties.
I’m not sourcing properties in NZ anymore (we basically stopped about 12 months ago). The NZ property market has some major hurdles ahead of it, I’ve written about these for months (and cope a lot of flack over it for others in the forum). I notice that this months BRW is picking up some of the issue i’ve mentioned in the past.
I sourced over 100 properties in NZ in 2004 i’m now encouraging those same people to consider selling (at a healthy profit) if they don’t want to be long term holders of NZ property. I’ve personally sold 24 (all but one) of my IP’s in NZ.You may find NZ is an attractive market to buy again in a few more years.
Regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]HI Chad
It sounds like you’ve gone a lot of research, and you obviously feel comfortable with the investment.
This is actually a very low risk investment with very high returns, not trying to talk you out of it just giving you a few “poterntial problems” that have arisen for others.
If the buyers defaults and you end up with the property back -it does happen, the other day i was talking to a guy you ended up with all 8 properties back within 8 months ! Given that you didn’t get the loan payments in (from the buyer), then have to re-present the property for resale (all the refurb costs). You could end up with low income and high expenses !! So just be careful if you think its
VERY LOW RISK. All investments carry some risk, this doesn’t sound like “very low risk”. It may well prove to be a sensational investment for you. Just check what sort of default rates your partners are experiencing.
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]HI Guys
i agree with those who say its better to rent. As long as you start to build a property portfolio. I’m very boring and believe in delayed gratification. Build your own wealth first then out of that add the nice things of life like your own home. Nice cars, big homes etc can wait till you have real wealth. We did it hard for many years, while we owned our home (Mortgaged) we always had cheap cars. a few years ago my car was a 1983 Commodore and my wife a 86 Ford. I planned to become a millionaire before i upgraded, sadly the car died a few months early. Yet it amazes me how many young people (i’m not that old 41) would be driving around in new cars (bought with debt).
So if you can rent till you’ve created wealth. By renting you will actually have more money to invest. This is especially true while the market is flat.
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]Hi Chad
while you doing owner finance you still hold title. I believe there is a high “fail rate” with these type of homes. The home foreclosure rate is high already in the US be prepared to become the owner of these again. I’ve seen the way “owners” leave homes when they foreclose on them , they are often worse than Tenants. So just be careful, remember there are reasons why the banks want lend to these type of people who need owner finance !!!
With your strategy i gather you are supplying the money side of the deal ?
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]Hi All
Steve your comments about NZ are interesting given you wrote them in early 2005, but over the past 12 months the market has changed. This is the way i see it –
I’ve lived in NZ for the past 2 year and invested there also, However over the past 12 months i’ve sold about 25 properties, i still have 1 which is for sale, i’ve just had it painted.
You rightly mention that interest rates have risen- this is true and impact should not be underestimated, rates are now 9.5% (variable fixed are less) and may go higher. This is significantly higher than 12 months ago. This has a huge impact on cash flow and 10% returns aren’t enough today (to put cash in your pocket).
Secondly the outlook for the NZ economy isn’t as strong as it was 12 months ago.
thirdly the market has peaked and I feel now is a good time to sell, especially while there are still buyers around. I believe the NZ market will follow the aussie market (well it has been over the past few years) and soon the buyer interest will disappear. So if you own be prepared to hold for the long term or get out now.
I might be wrong (obviously i don’t have a crystal ball) all i’m sharing is my take on what i’ve seen in the 3 years i’ve been investing in NZ.
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]Hi Mapleleaf
i was in Canada in Ju8ne (on holiday but i still check out the property market)
I found it difficult for myself to get finnace, it was near impossible for me an Aussie to get finnace through Scottia Bank (didn’t try any others)
Toronto seamed expensive but there were cheaper properties around (depends what your strategy is)
One city i think it was London had a large University and had some cheaper home (looked attractive).
Let me know if there are specific cities you are after and i’ll go through my files.
the listing site for Canada is http://www.mls.ca
all the best
regards westan
Over 100 deals done in the USA in 2005
Buy in the USA email me at [email protected]Hi Guys
firstly the tour by AHA- these guys are excellent , some of you might consider the charges high, but if you what to stay at quality accomodation (as they are) and offer a quality tour it comes at a price. Their fees are a lot less than what some offer.
Chad, just be careful with the ongoing tenant issue with Mobile homes, i’ve spoken to numerous people in the mobile home game and you have to be aware that you are dealing with the lowest quality of tenants. Quality management is essential. I find that even with homes the quality of property management in the USA is below what i expect.
I strongly suggest you actually get to the states and see for yourself whats on offer.
regards westan
Buy in the USA – [email protected]
Hi Nigel
Can you please clarify for me about what your offering
1.You were charging $250 + for info seminars on investing i the USA. You haven’t bought anything yourself yet. But you have been there last week. So you do have some level of experience.
2. You have been going on for the past weeks about the importance of a team, quite rightly i should add. Your much tauted team in the US is untested, you haven’t bought through them yet? But you have confidence for us to use them because you have met them ?
3. You attack me becuase i’ve bought in buffalo, Yet you haven’t been to Buffalo yet? And while i never promote Buffalo as a growth area, You publically state that i do ? But refuse to retract these comments even when you know they aren’t true. And yes Buffalo does have some issues as you have rightly mentioned, i believe this market is much more attractive than OZ or NZ at the moment. As i’ve said before i’m selling NZ to finanace buying in USA mainly Texas.
4. Even though Buffalo has had 10% capital growth over the past 12 months – a fact that You know because i’ve told you and is available to everyone, you say there will never be Capital growth there. (even though it has had growth i’m not promoting it as a growth market- Unlike Texas which we think has all the indications of Growth- But we still can’t guarantee it)
5. You Critize me for investing in the US even though you have followed me to exactly the market i’ve been working for the past 12 month – San Antonio in Texas. It was even my research information that i provided to your partners that got you stated in Texas !
Brisbane 04 and Qld 007 the way i see it Nigels the only one on this thread who doesn’t own property in the USA ! (sorry Don may not either) Brisbane 04 if you don’t mind me saying this – you own property in two states including texas and youhave a great knowldge of investing in the USA, you should start charging $400.
Now i’m off on holiday for 3 weeks then home to OZ so i will not be able to comment any more, have fun guys.
regards westan
Bye for a while, i’m moving back to Australia
Buy in the USA [email protected]Hi Kiwifella
i think the best people in Invercargill, (sorry don’t have numbers as i’ve sent all my stuff back to Australia)
Selling agent – Carl Wilson from Harcourts
Best manager – is also harcourts, although none of them in inveracrgill are wonderful.
Solicitors – use anyone you already know in NZ, one of the cheapest is the “home transfer centre” in Dunedin.
Property inspections- Hmmm, they all have few little irregularities, but i like John Mouat, Be prepared to get a bad report (thats his job), but talk to him on the phone about issues and don’t use him to do the work as you can get it done cheaper from others. But his reports are thorough.
Valuations – depends what the purpose is, none i know will give above market but i know some that always give under market, Quotable valuations are fine, market valuations.hope that helps,
As others have said Don and Liz are the Invercargill experts they live there, I haven’t bought for 12 months in Inverccargill so i’m a little out of the loop.
regards westan
Bye for a while, i’m moving back to Australia
Buy in the USA [email protected]Hi Guys
if people are looking at getting into this market then a safer way of investing is in the Pre -foreclosure markets, this way you don’t have to bid at auctions but can do all your Due diligence checks needed. One of the problems with foreclosures is if you want a property , You invest a lot of time and money getting an inspection, check title etc and then someone out bids you. It maybe better to pursue the Pre-foreclosure market.
Having a good team is so important, I’m sure Bardon (who has a lot of USA exerience) would agree. A good team takes time and money to establish. Sometime you have to do deals with people to find out if they can deliver what they say. We (bardon and myself) have both used people that we wouldn’t want to again. Apologoies to our American friends for what i’m about to say but (as i’ve said before) Americans are great at talking the talk but ones who deliver are harder to find.Those wanting to get into this market (unless they use someone elses tested team) are best to invest the time and money in getting on the ground in the US and seeing for yourself. Don’t just take peoples words on the phone.
regards westan
Bye for a while, i’m moving back to Australia
Buy in the USA [email protected]Hi Again
shouldn’t be reading this forum (my furniutre goes in 2 days and its 12.20 at night)!
Ok Don
great reply, this is what the forum should be about, people putting forward their well ythought oout opinions. (so are your Rikky and Mini i just don’t have time to respond now)Firstly i really don’t mean to be warning people about NZ so they sell and reinvest in the USA through us. Although i wouldn’t advise against it and i’d suggest Texas, where i started investing in the USA. I know it appeal that because i have business sourcing properties i may look like i am promoting myself through posts, i really try to avoid that. I rarely start a thread about the USA. Maybe never !
I try to do what i have always done on the forum and called markets like i see them. and in the process assist others.I know it may appear like i am slamming NZ, but really i’m the only one who says anything negative about NZ (although castledreamer an experienced NZ investor and NZ resident backed me up), but this is to give the forum balance. Often poeple in Oz don’t know whats really happeningover here so i’m giving my opinion.
I am not saying people should be deserting NZ at all costs, but make up their mind, are you in or out. Because i beleive the market is turning, while there are still buyers if your not in for the long haul (like you are) then now may be the best time to get out.
I was telling people to sell out of Oz back in 2003 and i know more than one person who thought they were a long term investors and then discovered how he could use the cash better and now can’t sell his home (in Austrlia) its been on the market for 12 months and they have dropped the price but still can’t sell. its possible NZ will turn that way ???regards westan
Bye for a while, i’m moving back to Australia
Buy in the USA [email protected]hi guys i need to read everyone emails later
just a had a quick look at yours Rikky
sorry i didn’t mean to say you were attacking me. Sorry its another poster who does this, You have been able to behave with dignity.
I got started on my second point when i wrote that, but i know it appears like i was talking to you. Not intended. Sorry if i’ve portrayed you as someone who attacks the man not the arguement.
Re – NZ at the end of the day – you wouldn’t invest in NZ, Neither would i for all the reasons i mentioned. i don’t have a crystal ball, but i also know prices don’t move up forever. Look everyone knows there are still deals in all markets i’m talking generally. i know Mini is still finding deals but she knows what she is doing, and is akiwi originally and has been active in the market for years.
regards westanBye for a while, i’m moving back to Australia
Buy in the USA [email protected]Hi Guys
Rikky thanks for the kind thoughts.
Rob_W i’ll take your advise.
Ozhan, thanks for the great link, i don’t think i will get a chance to comment. Have to keep packing and getting ready to move.
regards westan
Bye for a while, i’m moving back to Australia
Buy in the USA [email protected]Hi guys
Rickky
the problem with the arguement that if you buy at the top of the market and wait as you are recommending has been covered on another thread that you contributed to. I’ll quickly recap.
This is why i don’t like negative gearing in a soft market.1. you have years of money out of pocket to cover costs.
2. You can’t write off losses agains Aussie income
3. How could you have used that money over the 5 years or so that its now going up. For instance if you buy in agrowth market who knows it could double in 5 years.
4. You need 4% growth even to keep up with inflation
5. The Governor of the NZ reserve bank says the dollar is set for a fall. (so you loose on the foreign exchange)
6. What if the market drops, as it sometimes does, NZ has been following the OZ market, whats happening around you ?
7. How much growth to you need before you are at a profit ? Maybe 8-10 years before you are at break even.
8. Use your money now elsewhere (even fixed interest ?) and invest in NZ before the next cycle begins.Does this make sense ? Is it possible that i could be right ? Try to attack my arguement not me,
On a another point , Nigel one you’ve changed your question to me, i am sorry i can’t play your ganes with you anymore. want to talk investing and R/E then i am glad to. I know you guys get upset when i say negative things about NZ. I’m sorry but i was one of the biggest promoters of NZ 2 years ago. Many people belived what i said then and bought in NZ. The market isn’t the same now. I have sold/selling out of NZ. I’m only saying what i’m doing with my own money. I might be wrong NZ might double again (anything is possible) but even you guys who are telling others to buy in nz agree that prices are generally not going up. Can i ask you Nigel are you buying in NZ for yourself and if so tell us one of your deals recently ?
regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
Hi Don
i think the issue of immigration is a very important one for all Kiwi investors to be aware of.
The Government needs to rethink its whole aproach to migration and increase the number coming to the country. Watch for population movement it could well dictate the direction of the NZ market.
It was interesting that when Bush won the last election the number of hits on the NZ migration web site was 4 times as high as usual. If things turn real nasty in the world there isn’t a better place to be than NZ. i could imagine lots of people wanting to move there/here. Plus there are about 1 million Kiwi’s living around the world , get 1 in 10 wanting to come home and that will be a huge then for NZ property.
There you go i said something positive about NZ real estate. Don’t get the wrong idea of what i’m thinking if people want to hold long term as i know is your strategy then you will do ok in NZ (not fantastic but ok).
regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
Hi Guys
i tried to avoid Nigels continuing little snipes but decided that his comment need to be dealt with because he gives the impression that i’m saying thing i’m not, so i need to defend myself. My apologies to all that the forum sinks to this level.
Once again your comments which are aimed to destroy my credibility, why you try to do this is confusing.Nigel give me evidence that i’ve ever claimed Buffalo has had strong capital growth. You can’t because i haven’t said that.
In fact the 250 or so people that attended our “intro to the USA nights” in Australia back in April will give evidence that we portrayed Buffalo the way it is. Warts and all. We weren’t presenting the City in any glorified way and many have said to me that the city is way better than they were expecting.
At that night i also mentioned to everyone about the fantastic oportunities in San Antonio Texas. But i didn’t hype it up. Thats not my style. i call things the way i see it. I might be wrong sometimes and when i am i’ll say i was wrong. but don’t imply that i say things i don’t.
Thankyou brisbane 04 for your support in putting the record straight.
Can i ask why do you turn a thread that was about NZ into an attack on me ? You’ve been running doing this for quite a while. Your behaviour is a bit disturbing.regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
Aussielad 2000 is a very small reduction in the cashflow your deal will be producing
all the best
regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
Auzzielad
you beauty, what a deal [biggrin]
will the tenant pay outgoings ?
regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
Hi Guys
what happened to this topic ??
i think i’ll start it again
regards westan
Properties in the USA 15-25% returns- email to join our database [email protected]
