Yes, the proverbial unknown unknowns.
This stinks.Any recommendation on "Get Rich Through Real Estate" books written for the US market?
US foreclosures - Boholt Seminars - NO
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Yes, the proverbial unknown unknowns.
This stinks.Any recommendation on "Get Rich Through Real Estate" books written for the US market?
Yes, the proverbial unknown unknowns.
Any recommendation on "Get Rich Through Real Estate" books written for the US market?
The same money you'd spend on a book would be much better spent on an international phonecall to a foreign investor (or realtor or broker) who can give you on-the-ground info. This would likely be more accurate and more current.
You nearly need to or have someone on the ground who you trust 100% to do this.
Its nowhere near flying to Sydney/Brisbane/Melbourne for the weekend, as the varying list price, foreclose price, short sale price, pre-forclosure price, auction price, then land taxes, banks approving, S Corps.
Then on top of this finding tradies who are good AND reliable to get work done, and tenants to pay you on time. This is due to many of the places do get either trashed, fumigated etc.
While official stats are around 9.6% of the US are unemployed, in my area in S/Florida I'd put it closer to 15%
Interestingly, if you go there you'll find people still have money to go out and hit the pub.
When I was there we did two offers on properties, they both ended up falling over. I'm near at the conclusion that i'd rather buy some blocks of land for about $15-20k and just sit on it for a few years... no maintenance, no tenants issues, no insurances, just rates.
One thing to note about the E coast as well is the hurricanes make insurance extortionate.
i think Chui has seen a niche to exploit.
Actually, my sister said this too. Especially in the Gulf area, a land has no roof to get blown off.
It isn't that scary! Just buy a young property... Don't go with the 40k ones, go a 70k one from, 2000, rent it out for 900 a month to a retired teacher who is eternally grateful for the rental discount. Not the best yield you could get but no where near as bad as Australia and let them sit there until you wish to sell.....
Or be too scared and think would have, could have, should have but didn't .... Landbanking but with a house on it.. Ha, I worked out I could rent at $200 a month and still beat my Australian yield because of no strata fees and cheaper management!
Or be too scared and think would have, could have, should have but didn't .... Landbanking but with a house on it.. Ha, I worked out I could rent at $200 a month and still beat my Australian yield because of no strata fees and cheaper management!
Hi Emma!
Very very interesting read... (I have read this forum for years, however not joined until now because this is so interesting to me...)
A quick question... I'm self employed, and my wife has only been working for 6 months (full time) and we are currently just managing to pay our own home loan.
Is there any way you can see that we can utilize any of these strategies - seeing as they should 'pay themselves off' if we don't have access to any cash or equity?
I am so determined to 'get ahead', however it seems that you can't get into any of these sort of deals without cash to get going...
Also interested in your response to your brothers' question - are you able to directly help people?
Very very interesting read... (I have read this forum for years, however not joined until now because this is so interesting to me...)
A quick question... I'm self employed, and my wife has only been working for 6 months (full time) and we are currently just managing to pay our own home loan.
Is there any way you can see that we can utilize any of these strategies - seeing as they should 'pay themselves off' if we don't have access to any cash or equity?
I am so determined to 'get ahead', however it seems that you can't get into any of these sort of deals without cash to get going...
Also interested in your response to your brothers' question - are you able to directly help people?
Simple answer is yes and the responsibility isnt the issue... but it is a bit more complicated. Thinking out loud....
I have no problems with helping where possible. I am not a professional and that is a big caveat. I wouldn't at this point consider a fee because it does move quickly, no guarantees and people who i am in partnership with i know and trust. The biggest thing is that although I have introduced a few people I have personally known before to my real estate agent and do have the network, it is the individual who needs to make the choice for themselves. I can sit there and say it is a no brainer etc within parameters given by the buyer and certainly and point out a few properties that meet criteria but this is just one where as a buyer you need to be able to be quick at that point with ducks in a row....so research a few "dummy" properties before that point. For a straight up cash play as an alien it is a no brainer... The purchase and rental side is simple. I can't help with financing..... I am in Vegas within the next 3 weeks and can certainly liaise where time permits. Would need to think more on this. A few people have PM'd ( is that the expression) me and I can see the point on hand holding and have been giving what info I can. Vegas I know like the back of my hand and have probably driven every street but I have no desire rushing around looking at properties for people who ultimately arent going to invest. So research..before contact...
I think if someone is serious, I can help them.
I have no problems with helping where possible. I am not a professional and that is a big caveat. I wouldn't at this point consider a fee because it does move quickly, no guarantees and people who i am in partnership with i know and trust. The biggest thing is that although I have introduced a few people I have personally known before to my real estate agent and do have the network, it is the individual who needs to make the choice for themselves. I can sit there and say it is a no brainer etc within parameters given by the buyer and certainly and point out a few properties that meet criteria but this is just one where as a buyer you need to be able to be quick at that point with ducks in a row....so research a few "dummy" properties before that point. For a straight up cash play as an alien it is a no brainer... The purchase and rental side is simple. I can't help with financing..... I am in Vegas within the next 3 weeks and can certainly liaise where time permits. Would need to think more on this. A few people have PM'd ( is that the expression) me and I can see the point on hand holding and have been giving what info I can. Vegas I know like the back of my hand and have probably driven every street but I have no desire rushing around looking at properties for people who ultimately arent going to invest. So research..before contact...
I think if someone is serious, I can help them.
Investing overseas is very risky, and should only be made with money you are prepared to lose. Sometimes, if the conditions aren't quite right for you, you should sit out and pass on the opportunity. Cycles come every 10 years or so. So it's not like you are going to miss out forever.
Having said that, as you can see, there are a lot of Australians who need trusted people on ground in the US. If or your wife are capable, then may be that's an option for building up some savings.
I understand that it is very risky, but I am only 24 - isn't that the best time in life to be risky? We are planning on having children sometime soon, and I figured, best to be risky now - rather than when we have a family to support.
I guess the conundrum is that I have all this passion and ambition to do something; however it really does seem like the age old saying... 'you need to have money to make money'.
I have tried thinking outside of the box with partnerships, family borrowings, etc but I just can't seem to get someone willing to take the risk with me - no banks, friends or even family...
We've all been there....
Can you rent out a garage? repaint your house or fix the garden and get a higher val? New Kitchen? Move out and rent another property - claim the repairs on your current one against your tax (then an IP) and THEN get a better val to give you cash?
No secret handshake without involving fraud will help really. I do the same things 20 years after buying my 1st ip. Buy, rent, fix (for the 1st one) reval, then buy-fix-rent. Two goals above all. Increase rents (add a room/garage?) and then you use the increased value as best you can.
Be thankful you didnt have the bank knocking on your door saying 'Your house is now worth 70% less than it was in November last year' - which is what has completely buggered the US...
Can you rent out a garage? repaint your house or fix the garden and get a higher val? New Kitchen? Move out and rent another property - claim the repairs on your current one against your tax (then an IP) and THEN get a better val to give you cash?
No secret handshake without involving fraud will help really. I do the same things 20 years after buying my 1st ip. Buy, rent, fix (for the 1st one) reval, then buy-fix-rent. Two goals above all. Increase rents (add a room/garage?) and then you use the increased value as best you can.
Be thankful you didnt have the bank knocking on your door saying 'Your house is now worth 70% less than it was in November last year' - which is what has completely buggered the US...
Thanks lawsjs for the suggestions, however, we bought this place (brand new) almost 24 months ago - so no improvements will increase it's value - it's a gorgeous house and already have gardens/lawns/all possible (reasonable) improvements...
The only thing I can think of is to try and find something with the 10k cash we do have saved up... I just saw this:
http://www.realtor.com/realestatean...rt_Las-Vegas_NV_89141_M29949-19003?source=web
Am I missing something here - that this place is only worth $1200?
The only thing I can think of is to try and find something with the 10k cash we do have saved up... I just saw this:
http://www.realtor.com/realestatean...rt_Las-Vegas_NV_89141_M29949-19003?source=web
Am I missing something here - that this place is only worth $1200?
Probably not. But 10k will disappear in airfares alone pretty quickly if you do get it wrong... Then again the US wont screw up your credit rating here if you really screw up!
Which is probably why Emma recommends spending 80-90k...
Remember there are the odd americans who have already thought of buying foreclosed properties for the bargain of a lifetime. Moving closer to home - why hasn't Emma already bought it???
Sadly - there are NO shortcuts.... And you have hit the nail on the head as to why I cant ever recall having bought a new property... (There is nothing you can really do to get instant equity...)
Which is probably why Emma recommends spending 80-90k...
Remember there are the odd americans who have already thought of buying foreclosed properties for the bargain of a lifetime. Moving closer to home - why hasn't Emma already bought it???
Sadly - there are NO shortcuts.... And you have hit the nail on the head as to why I cant ever recall having bought a new property... (There is nothing you can really do to get instant equity...)
Being an Australian... I can't comprehend buying a property for $1200... I almost think at that price it's worth grabbing one just for the learning experience...
Unfortunately, in relation to buying a new property... these are the sort of things you don't get taught in school. And being 21/22 seeing a brand new property of your dreams... you don't think of needing equity for future investments - you just see a shiny, new, comfortable house. (Sadly that's also the end of the story for most younguns... they pay them off for the next 30 years)
I guess it comes back to the point that I WANT to try - risks are okay at this point in life - however whatever I look into seems to be about as effective as hitting my head against a brick wall
Unfortunately, in relation to buying a new property... these are the sort of things you don't get taught in school. And being 21/22 seeing a brand new property of your dreams... you don't think of needing equity for future investments - you just see a shiny, new, comfortable house. (Sadly that's also the end of the story for most younguns... they pay them off for the next 30 years)
I guess it comes back to the point that I WANT to try - risks are okay at this point in life - however whatever I look into seems to be about as effective as hitting my head against a brick wall
No, realtor is probably trying to get people to bite.
If you have a look at recent sale prices on Zillow, they are going for 100k.-120k
My guess is that is a monthly rental cost. Realtor.com seems to mix rentals and sales in the same search results.
By the way, fantastic thread and am really enjoying reading it, great info Emma. i have been spending hours drooling over US prices recently and have US$30K in cash and more available i dont want to bring back here at parity, so it is doing my head in atm.
Great thread, and many thanks to Emma for her contributions. And don't worry Tracey, I'm watching you too...
Would be interested in any of our US experts' opinions on the linked mob below. They seem alright at first glance and provide a complete service. Might be good for those wanting to get into the market but can't afford the time and energy to investigate it and do all the required due diligence.
http://www.housebuyersusa.com/index
Quite a few testimonials from Aussies who used them.
Cheers,
Michael
Would be interested in any of our US experts' opinions on the linked mob below. They seem alright at first glance and provide a complete service. Might be good for those wanting to get into the market but can't afford the time and energy to investigate it and do all the required due diligence.
http://www.housebuyersusa.com/index
Quite a few testimonials from Aussies who used them.
Cheers,
Michael
Financing... A few people I know have gone the SMSF (self managed super fund route) for funds. I do have a friend who sets them up but you just have to calculate your own risk... Same with everything and look at your own variables.
Use common sense
The higher the house value you invest in, in general, within the same city variables, the less you need to do to it to rent it. The lower the rent asked, the choosier you can be on tenant and the less changeover you will have. The less tield as will. Simple supply and demand. There are zero big secrets and the same rules apply.
A $1200 house probably has mold, is unsafe and in a crack alley. If it sounds too good etc. Google earth it for starters... Ha, I have walked into some where every pipe has been removed, every window gone, every piece of drywall and they were asking 60k....! I still want to do a coffee table book on foreclosed property photos...
My "skills" are hardly secretive... I know what will rent, why it will rent, what it will rent for, where to look and how much things cost to fix up. I also do my own marketing and rent selection...from craigslist, section 8 etc... I create flyers, I walk the streets and put them up outs ode schools and apartments... I use the same principles in every market I buy in. Other than knowing how to do all the repairs and having become a bit of a walking encyclopedia of costs of materials and parts, the rest are just landlord 101. I also know Vegas now incredibly well.... It isn't rocket science and it isn't that different from here. If I couldn't see myself living in it, I don't buy it.
Use common sense
The higher the house value you invest in, in general, within the same city variables, the less you need to do to it to rent it. The lower the rent asked, the choosier you can be on tenant and the less changeover you will have. The less tield as will. Simple supply and demand. There are zero big secrets and the same rules apply.
A $1200 house probably has mold, is unsafe and in a crack alley. If it sounds too good etc. Google earth it for starters... Ha, I have walked into some where every pipe has been removed, every window gone, every piece of drywall and they were asking 60k....! I still want to do a coffee table book on foreclosed property photos...
My "skills" are hardly secretive... I know what will rent, why it will rent, what it will rent for, where to look and how much things cost to fix up. I also do my own marketing and rent selection...from craigslist, section 8 etc... I create flyers, I walk the streets and put them up outs ode schools and apartments... I use the same principles in every market I buy in. Other than knowing how to do all the repairs and having become a bit of a walking encyclopedia of costs of materials and parts, the rest are just landlord 101. I also know Vegas now incredibly well.... It isn't rocket science and it isn't that different from here. If I couldn't see myself living in it, I don't buy it.
Its your drive to excell thats impressive.
Well done. If a stareyed person came to Vegas with say 100-200K cash... What kind of opportunities could they expect if they had the same ideas(returns/quality of areas) as yourself.
I use to live in Pymble near Hornsby so i can relate. Would love to touch base when i fly in june next year. Then again i maybe too late by then
Things do happen fast in the wild west
