Hi
I would like to ask if it is worth considering investing in property that has no expected capital gain in China?
Martin Hsu
hey there,
It might depend on your investing style. I heard that cashflow is more important…
but don’t take it from me, in other words, no one individual’s comment is gospel.
If you can get an adequate postive cashflow from the property then in my book its fine. You basically have to set your own objectives when it comes to investing.
If you consider that term deposits don’t give capital growth just interest (cashflow) it is a simlar senario.…Beware of the dreamtakers…
BTW – I was part of the MAP Program and am more than happy to answer and questions/comments you may have – Happy Investing…
Hi Martin
what sort of returns can you get in China ? Even though i’m a cash flow buyer I would always like to make some capital growth but if the returns are good then i’d settle for pure cash flow. I’ve recently been buying for a 25% returns in the States (but i hope to get some capital gains also).
As far a China goes one added possibility to make China attractive would be the revaluation of the Yuan. The US government has been putting pressure on China to raise the value of the Chinese Currency, as a cheap Yuan hurts the US economy. If the value was raised then you would make money as you would have exposure to the Chinese Currency.
Personally i’d never invest there- because –
1 i can’t speak Chinese,
2 The differences in Laws
3 level of Corruption there.i’d been keen to hear about the deals you are looking at, all the best
regards westan
I live in New Zealand and for a fee find cash positive deals there, email me at [email protected] to join our database
I can’t see the point in investing in property without capital gains. But whether to sell or not would depend on a lot of things. would you have to pay any taxes, how much money is tied up, could you get a better return elsewhere etc.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Click below to email meTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
I agree with Terry, why would you bother if you know there is no CG; seems pretty pointless to me!!! [blush2]
Hi Martin,
Personally I would be shy about doing so. You obviously have to ask yourself “what is in it for me” in terms of return. With no capital gain prospect it would have to have a very rewarding positive cash flow to be remotely considered. Good luck! Mac
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