Forums / Property Investing / Overseas Deals / Flipping/Wholesaling in USA from Australia

Viewing 20 posts - 1 through 20 (of 23 total)
  • Freedom
    Participant
    @lindaq
    Join Date: 2014
    Post Count: 22

    I would love to connect with anybody who is successfully wholesaling or flipping contracts for properties in USA from Australia! Would love to share ideas, inspiration, information.

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    We do this all the time. I am currently in Florida and my partner is based here. We do everything for flipping properties to higher level commercial properties. However to do this yourself you need to live here and understand the market, easier said then down.

    How successful you are with investing is determined by who you are dealing with.

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Freedom
    Participant
    @lindaq
    Join Date: 2014
    Post Count: 22

    Can you please explain why you must live there? There are plenty of people successfully doing this without living in the location.

    Profile photo of PHPPHP
    Participant
    @php
    Join Date: 2014
    Post Count: 111

    I think it will come down to the level of trust that you give or is willing to give to your business partners or employed professionals in the US. Its the same as investing interstate or sight unseen. Maybe the process is a lot quicker and documentations can be handled in a timely manner of you live in the US. Is this correct Nigel?

    PHP | Mortgage Station Pty Ltd
    http://www.mortgagestation.com.au
    Email Me | Phone Me

    Give us a call or send us an email for a free residex report.

    Freedom
    Participant
    @lindaq
    Join Date: 2014
    Post Count: 22

    With flipping though, you do your due diligence in having the property checked before offering it to buyers, so can’t really go wrong there? I think having a trustworthy realtor, or boots on the ground who can find properties and advise would be very handy. It is only those in the area who really know whether a property is in a good location. That is the tough part of trying to do this work from afar not knowing the area really well.

    Profile photo of jayhinrichsjayhinrichs
    Participant
    @jayhinrichs
    Join Date: 2011
    Post Count: 1,177

    Freedom… one must be very careful in this endeavor… there were a few US guys that trolled this site and have since ripped off hard working AU investors for many thousands of dollars you can e mail me for specifics.

    this would only work by aligning your self with a truly reputable US person.

    Here is what you would need at a minimum to check them out.

    1. recent credit report that you order. cost you 50 bucks US

    2. criminal and legal background cost you 75 to 100 bucks US

    3. bank references and copys of last 6 months personal bank accounts showing they have actual money and income.

    4. 2 years tax returns.

    5. References from fellow Aussies that can be verified.. you don’t want to be the guinia pig for some wanna be guy trolling for money on this site.

    when you ask for this stuff from most you will hear crickets because there is so much fraud in the US in this type of investing.. the good players will have this… For my AU and Asian clients this is what I provide..

    This site kind of went dead so I have not posted much in the last year…

    Myself and a fellow Aussie wrote an E book on investing in the US a No BS look at the do’s and don’ts happy to pass that along if you want to ping me personally.

    Profile photo of RedwoodRedwood
    Participant
    @redwood
    Join Date: 2013
    Post Count: 340

    Sound advice Jay and welcome back, great to hear your impartial and expert advice on the topic – I am sure Freedom and other potential investors take this on board.

    I am increasing confused at the ‘trust’ that Australian investors place on the US Promoters, throwing thousands or hundreds of thousands of dollars in the hand of the promoter without even performing a google search on the promoter OR the actual property. Flipping can end in disaster in many ways – from stealing your hard earned cash to poor quality finishing.

    Read Jays book too…

    Cheers, Ivan

    Redwood | REDWOOD | SMSF | PROPERTY | FINANCE
    http://redwoodadvisory.com.au
    Email Me | Phone Me

    SMSF - PROPERTY INVESTMENT - WEALTH CREATION AND FINANCE SOLUTIONS

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    It is good advice because the problem is that on many occasions you are dealing with a so called wholesaler who is not even based in the city where the properties are located.

    I have just gotten back from my third trip to Florida in 4 months. I have a full time partner on the ground. This is what we do with flips

    We drive past look around the property if it has the things we are looking for and that is houses that will be in demand from an end user we make an offer and then wait for a response. We normally put a time limit of 3 days but banks will sometimes take longer. If they accept the offer it is subject to a 15 day due diligence process. During that time we take a builder and a roofing specialist to go through the property plus we check the title. On average about 30% of properties fall over because there are problems with the titles or issues with the structures.

    If the properties check out we close them and then move onto the renovation and put the property up for sale on the market

    If you want to be successful then this is what you need to do. If this is not being done you are gambling with your money

    • This reply was modified 4 years, 9 months ago by Profile photo of Nigel Kibel Nigel Kibel.

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Freedom
    Participant
    @lindaq
    Join Date: 2014
    Post Count: 22

    Thank you and much appreciated. Tell me, is there any way that from Australia, without travelling over, we could find a good boots on the ground to work with over there? How so?

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    You success is determined by who you are dealing with. To try and do it from Australia is difficult because you don know how genuine people are.

    I spent 15 months working on our business before we did a deal. <moderator – delete advertising>

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Profile photo of jayhinrichsjayhinrichs
    Participant
    @jayhinrichs
    Join Date: 2011
    Post Count: 1,177

    freedom,

    AS Nigel states if your going to want to flip in the US you cannot do it from your arm chair in AU.. you MUST find a partner that is beyond reproach with their personal business credentials.. Capacity IE do they even have any money or is it all yours.. Etc etc.

    I personally started one company 5 years ago that most know about on this site I bought almost 400 homes in that model and I sold out last year in Oct. to my partner… Land lording just became too much for me.. The last 30 months I have rolled back into what I did very successfully prior to the GFC and that was very short term lending and or fix and flip.. Along with I build new construction now and have been for 3 years as well. All of these 3 endeavors are much more profitable than buy and hold by a factor of double to 5 to 10 times on an annual APR rate that most AU investors like to set as the bar.

    Its not impossible to find a good company or person to invest with in the US but it really is rolling the dice… especially if your just thinking you can do it on the internet and Skype.. There was a very prolific poster on this site that since has gone away and he went away with a lot of investors moneys or butchered the JObs so bad that the investors lost money and not only AU invetors but US investors as well.

    Then it depends on how much capital you have to work with.. That will dictate what part of the country you work in and the quality of the asset remember one home in Orlando that sells for 125k will sell for 300k in Portland were I live and will sell for 1.5 million in San Francisco… So its a big and vast market.. to use AU as an example take the interior of your country instead of vast open space we have towns ever 30 miles in every direction plus big towns its called the mid west.. And there are all sorts of TK companies and operators looking for capital in those markets.. Its just over load on where and how to invest.. But it comes down to WHO you play with.

    Profile photo of jayhinrichsjayhinrichs
    Participant
    @jayhinrichs
    Join Date: 2011
    Post Count: 1,177

    Freedeom as a follow up as Nigel states he spent 15 months here figuring it out.. I have 40 years in the business. I am a Licensed Mortgage Banker.. This allows my lending activities.. I am a licensed Real Estate broker in 3 states and have been since 1975.

    Along with doing business in almost half the us states over the last 40 years I have a pretty unique set of skills that are not easily replicated.. for instance in the last 2 months I did over 90 fix and flips in Orlando Alone… and that is just one market I play in.

    Profile photo of jayhinrichsjayhinrichs
    Participant
    @jayhinrichs
    Join Date: 2011
    Post Count: 1,177

    Freedom that was last 24 months in Orlando not 2 months I am good but not that good :)

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    Lol Jay I was going to ask your secret.

    I took 15 months because whether I am investing my own money or a clients I need to know that who I am working with are who they say they are. By that I was approached often by American promoters and was quite gun shy of these people. However after dealing with Rob Keeler fr more than 15 months he turned at to be a smart intelligent guy who really knows his stuff and is motivated more by how good the deal is rather than how much he would make. He had personally done over 60 fix and flips in the last few years just for himself and was a property developer before the GFC and also understands commercial real estate. I am proud of what we are doing. However from what I hear Jay also has an excellent reputation. What matters is that you understand the process and have confidence on who you are dealing with.

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Profile photo of David HallDavid Hall
    Participant
    @wiggles2
    Join Date: 2014
    Post Count: 65

    Can I suggest that you go to this web site http://www.biggerpockets.com/renewsblog/category/podcast/ and listen to some of the pod casts. You from this you will see just how hard it is and how may unethical operators operate out there. You will then be in a better position to make a more educated decision.

    Bigger pockets also has a good set of resources that are USA specific, that you will find useful if you do decide to go ahead.

    David Hall | Momentum Wealth
    http://www.momentumwealth.com.au/
    Email Me | Phone Me

    Buyers Agent

    Profile photo of jayhinrichsjayhinrichs
    Participant
    @jayhinrichs
    Join Date: 2011
    Post Count: 1,177

    David,,, I will be doing a pod cast after the 1st of the year… and I also wrote an e book with a fellow Aussie on the do’s and don’ts of buying USA property.. I have 40 years experience in the US markets being a RE broker in California Oregon and Mississipi as well as a Nationwide mortgage Banker.. I have personally funded deals in 21 states. and am very active today.

    Be happy to help any AU investor through the mind fields of US investing. As many unethical US operators and there are many that are out and out felon’s for sure.. there are just as Many AU marketing guys that are not much better and sometimes worse.. I know I have been approached by many who wanted me to source properties for them.. and these AU marketers wanted outrageous marketing fees.

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    What Jay says is correct. I was approached by one of the large companies that wanted us to source commercial properties for them. However they wanted to add a 30% markup. Naturally we have not done business with them. When I decided to stay involved in the US market I decided that i would only stay involved for 2 reasons firstly that i owned half the company and secondly that we could provide all the back end services. My business partner Rob Keeler is also a registered builder in 28 states. Now currently we are focusing on Florida but we have the ability to go further afield.

    If you are going to deal in the US make sure that you are dealing with someone that knows what they are doing

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Profile photo of EngeloRumoraEngeloRumora
    Participant
    @engelorumora
    Join Date: 2010
    Post Count: 618

    Can I suggest that you go to this web site http://www.biggerpockets.com/renewsblog/category/podcast/ and listen to some of the pod casts. You from this you will see just how hard it is and how may unethical operators operate out there. You will then be in a better position to make a more educated decision.

    Bigger pockets also has a good set of resources that are USA specific, that you will find useful if you do decide to go ahead.

    This is an awesome post David.

    The last 3 times I posted anything about BP, it was removed by the moderator.

    Highly recommend to anyone interested in US property to sign up to the forum.

    Jay has established himself as one of the main guys there and my reputation is quite decent also. We never sell and only share our opinions, perceptions and experiences.

    The members have seemed to in brace this quite a bit.

    Well done Jay.

    Shout out to Engelo when they interview you hehe :)

    Thanks and have a great day.

    EngeloRumora | Ohio Cashflow
    http://ohiocashflow.com/
    Email Me | Phone Me

    "Make a PASSION an OBSESSION and you'll never work a day in your life"

    Profile photo of MikeBMikeB
    Participant
    @jkumala
    Join Date: 2014
    Post Count: 1

    I was a builder and a house flipper in the Seattle,Wa and Portland,Or area for 20+ years but now retired and live here in Australia. If you are interested in those areas let me know. I can help or at least direct you. One thing to remember, people in America will rip you off while you are looking at them, nevertheless living here while doing business there. Good luck.

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    HI Mike

    Overall I agree with your comments however I have a full time partner based in Orlando and I have also been there 3 times during the last 5 months so yes I am still based in Australia but I am hands on in the United States and have a very experienced partner on the ground.

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

Viewing 20 posts - 1 through 20 (of 23 total)

You must be logged in to reply to this topic.