All Topics / Overseas Deals / Us Property

Viewing 20 posts - 1 through 20 (of 23 total)
  • Profile photo of priscillac22priscillac22
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    @priscillac22
    Join Date: 2004
    Post Count: 5

    Im thinking of buying a us property for 10k with looking into the real problems inside of it, I wil be getting a valuer to look at it.

    At the moment the valuations come in at 16.5K and 20K. What can I do with this property to make the most out of it money

    wise. It can be rented out for $600 per month. Equity and leverage?

    Profile photo of BigCubezBigCubez
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    @bigcubez
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    10K? I would be looking into why this property is so cheap. You mention it CAN be rented out for $600 per month. Does this mean it currently doesn't have tenants? It's very possible it is located in a slum, making it near impossible to rent out.

    Profile photo of priscillac22priscillac22
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    @priscillac22
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    No it is in toelldo Ohio, I just havent done all the due diliecence on it as Im just finished renovations on a property in Brisbane.

    Profile photo of Nigel KibelNigel Kibel
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    I would be very careful if I was you. You have heard the saying if it looks to go to be true it probably is

    I have been involved in America since 2005 and I would be amazed if these properties were ok. The very least you should do is go there and see it for yourself otherwise you are wasting your money.

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    Profile photo of TheFinanceShopTheFinanceShop
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    It may be a good idea to align yourself with someone who is actively involved in the market and has the runs on the board.

    Regards

    Shahin

    TheFinanceShop | Elite Property Finance
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    Profile photo of Paul DobsonPaul Dobson
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    Hi priscillac22

    You mentioned that you haven't yet completed your DD.  With all the stories I've seen on this forum regarding problems with buying in the wrong place in the US, I'd strongly suggest you give Nigel a call.

    Cheers,  Paul

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    Profile photo of Richard TaylorRichard Taylor
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    Agree with Paul. Give Nigel a call.

    Proceeding on the off chance is like driving down the Western Freeway with the window open and throwing dollar bills out the window.

    Difference being when they have gone they have gone. With your property you will still be paying the Council Rates etc for many a year to come.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
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    Profile photo of Big JohnBig John
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    I currently have 5 properties in the US and would like to buy another 30 in March.

    Deals like this seem too good to be true. I must admit I've been very tempted. My advice is to get the property address and google it. There is a leading us web site which gives crime stats and rates local schools.

    Also consider how old the property is. It's likely to be very old stock and the chance of large maintenance bills is higher. Also these types of properties usually expect higher vacancy rates and problems with tenants paying.

    If you've got 10-15k, I would buy a turn key property in a better location using other people's money to leverage. There are more than half a dozen companies who offer this service for a fee.

    A lesson I've learned is to make sure the property is tenanted before closing.

    Good luck.

    John

    Profile photo of Nigel KibelNigel Kibel
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    If you buy property around 10-15 thousand dollars then you are asking for trouble. But people are dumb and I am sure they will keep buying third rate properties in slum areas. The days of the bargain basement properties are gone, therefore really cheap properties spell trouble.

    Personal I would buy better quality homes that you can obtain some finance on and better again apartment complexes where you will not only make cash flow but also capital growth.

    Nigel Kibel | Property Know How
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    Profile photo of jmsracheljmsrachel
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    Not that I’m interested in purchasing property in USA, bit when people talk about slum areas how bad are we talking? Is it just bums hanging around the streets or are we talking gangs and thugs?

    Profile photo of Big JohnBig John
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    Can be large tracts of vacant properties. Shootings. Drugs. etc.

    Profile photo of TerrywTerryw
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    See the movie 'end of watch'

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    Profile photo of jmsracheljmsrachel
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    If It’s only drugs and shootings they happen everywhere.

    Profile photo of Nigel KibelNigel Kibel
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    Let me put it this way you will not have seen anything like it in Australia. These are areas you would drive through with your windows up. Thats why I encourage people to travel to the US and inspect the areas for themselves. A lot of people have lost money in America the problem is that most of them do not know it yet.

    Their are great opportunities in the States but you have to be careful

    Nigel Kibel | Property Know How
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    Profile photo of gabbar12690gabbar12690
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    good thought for buying property… you should buy this…

    Profile photo of TWHTWH
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    @twh
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    Just watch were the smart US money is going  and we hope the billion dollar hedge fund guys are smart but they are buying in AZ FLA GA  CA vegas to some extent.. little bit in Indy…. where they are not buying is MI OH.. or Rochester NY… this is where Nigel and I firmly agree….to buy 1 10k house in the US and hope it works well is 50/50 at best,,, If your set on buying that cheap of houses then look north of Indy… Kokomo is a nice little town no crime you can find 10 to 20k houses that will rent OK. I just bought a duplex there for 5k put 15k into it rents are 525 a door… but it took 6 months before I got my first tenant i could sell it for 30ish if I wanted to flip it to  a Califonia cash flow investor. …………………………………………………Jay Hinrichs…………………………….

    Profile photo of TWHTWH
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    Not sure if any one else has the problems I have with this site , and right now I am on the wifes computer which is brand new my computer won't even open the site up………………..Jay Hinrichs                                                                                                                                                                                                     

    Profile photo of TerrywTerryw
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    TWH wrote:
    Not sure if any one else has the problems I have with this site , and right now I am on the wifes computer which is brand new my computer won't even open the site up………………..Jay Hinrichs                                                                                                                                                                                                     

    Yes, heaps of problems. Especially with unresponsive scripts. Somersoft is a professionally run forum without these sorts of problems

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
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    Profile photo of DGHayesDGHayes
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    Hi TWH,

    Interested to hear why yourself & Nigel think Rochester NY is not a good area to invest in?

    Regards

    Dave

    Profile photo of TWHTWH
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    @twh
    Join Date: 2013
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    Rochester,  snow ICE big old houses that are money pits.. No capital growth whatever  constriction of population.  there are many areas of the US where housing will never rebound.. If you want to come here and start a rental business and own a lot of homes and make a business out of it then these towns work.. but for a passive investor looking for turn key and an exit in 3 to 5 years one should be focused on other areas…

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