Forums / Property Investing / Overseas Deals / Japan (and its Real-Estate market) Rides Again

Viewing 8 posts - 241 through 248 (of 248 total)
  • Profile photo of Ziv Nakajima-MagenZiv Nakajima-Magen
    Participant
    @zmagen
    Join Date: 2012
    Post Count: 520

    Thanks, Richard. Interesting – our Aussie clients seem to be happy with 7-8% net pre-tax rental yields on their direct property investments, which present them with a far more hands-on experience and hassle – I would assume to get 5-6% with zero involvement would be attractive – still higher than term deposits and typical Australian property cashflow, not to mention far more affordable?

    It is true that USA, Europe, Singapore based investors etc are happier with even lower returns though…

    Ziv Nakajima-Magen | Nippon Tradings International (NTI)
    http://www.nippontradings.com
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    Ziv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 11,992

    Hi Zac

    Thru our Australian AFSL our Retail investors get between 6.25% – 9.09% per annum paid monthly without any involvement and that appears to be about the expected norm. Minimum investment is $20K AUS.

    From what I have seen Singapore investors expect a lot more than this.

    We are launching a USD Fund in 2019 which our Chinese office will market and that will pay between 5-6% per annum. We cover the hedging cost and they get a monthly return.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
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    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of Ziv Nakajima-MagenZiv Nakajima-Magen
    Participant
    @zmagen
    Join Date: 2012
    Post Count: 520

    Yes, agreed that’s doable overseas – I was referring to local, lower risk investments – purchasing and managing a property in your country of residence, or loaning money to someone in your country of residence, or investing in a business in your country of residence etc, provides you with easier and cheaper recourse and securities in case anything goes wrong – and as far as Australian property or property related investments go (as well as Singapore, HK and other well established and stable economies), these returns are quite rare.

    Ziv Nakajima-Magen | Nippon Tradings International (NTI)
    http://www.nippontradings.com
    Email Me | Phone Me

    Ziv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property

    Profile photo of LanarosLanaros
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    @samsyko
    Join Date: 2018
    Post Count: 1

    I read https://tranio.com/articles/top_5_countries_with_the_lowest_mortgage_rates_5108/ that Japan is one 5 countries with the lowest mortgage rates. Does anyone here know anything about it? Is it true?

    Profile photo of Ziv Nakajima-MagenZiv Nakajima-Magen
    Participant
    @zmagen
    Join Date: 2012
    Post Count: 520

    Very true, as part of the insane QE measures announced here over 5 years ago to try and kick start growth again (which has been successful to some degree), official negative interest rates have been installed – which translate into 1.5-2.5% mortgages.

    Unfortunately that’s still not available to anyone who’s a non resident, with some rare exceptions (Bank of China might lend to you if you’re fluent in Japanese or Chinese, and can live with a minimum of about 340,000 AUD per single property, at 50% LTV…)

    Ziv Nakajima-Magen | Nippon Tradings International (NTI)
    http://www.nippontradings.com
    Email Me | Phone Me

    Ziv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property

    Profile photo of Ziv Nakajima-MagenZiv Nakajima-Magen
    Participant
    @zmagen
    Join Date: 2012
    Post Count: 520

    Summary/projections for 2018-2019 (collated from ULI/PWC/Mitsui/Nomura/CBRE and others) – Japan real estate property – 2018 summary/2019 projections

    Also, big news – finally, Australian lenders agree to lend for Japan investment properties, using borrower’s Australian assets as securities (plus income test of course). This was a long time coming :)

    Belated happy new year!

    Ziv Nakajima-Magen | Nippon Tradings International (NTI)
    http://www.nippontradings.com
    Email Me | Phone Me

    Ziv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property

    Profile photo of fxdaemonfxdaemon
    Participant
    @fxdaemon
    Join Date: 2013
    Post Count: 113

    Hi Ziv,

    Not sure if u r still active over here …. but which Aussie lenders lend for Japan properties?
    What are the Aust asset securities for? The equity/deposit part or the entire purchase costs of
    the property in Japan? What is the max LVR?

    Any possibility yet for using Aust equities/cash as deposit and borrow in Japan to buy properties
    there? What is max LVR?

    Thanks,
    FXD

    Profile photo of Ziv Nakajima-MagenZiv Nakajima-Magen
    Participant
    @zmagen
    Join Date: 2012
    Post Count: 520

    Hey mate, yup, still here.

    The Aussie loans available are not really mortgages, just equity pulling for whatever purpose, at whatever rates your bank provides, secured against whatever property you may have cleared in Aus.

    We’re now in touch with a Singapore broker who can facilitate loans from Japanese lenders, at around 3-3.5%, 60-70% LTV, secured against the Japanese property. The minimum for those are 20 mil JPY (around 250k AUD or so), if you’re interested – they’re called GMG Asia, if you msg me with your email address I’ll put you in touch with their rep in charge of Japan. You’ll have to incorporate in Japan though, which is a few thousand bucks, they charge 1,500 USD setup if the loan can be granted, and the lender another 2% of the loan amount.

    Ziv Nakajima-Magen | Nippon Tradings International (NTI)
    http://www.nippontradings.com
    Email Me | Phone Me

    Ziv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property

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