As we have said many times on this blog, Detroit is one of the hottest property areas for investors, and today we’ll bring you a story about one US investor who is making hay amongst the Detroit property market.
Michael Alexander is founder and co-owner of his property buying company in Detroit and together with his partner has already purchased 250 homes in Detroit and has a waiting list of buyers; the strategy is that when the Motor City rises again, and workers move back into the area, he can sell his properties for a tidy profit.
Finding the Properties
Alexander’s formula is pretty simple – he drives around nice neighbourhoods in Detroit and purchases any houses for sale in the street in the price range $20,000 – $30,000.
He then spends anywhere between $10,000 – $20,000 refurbishing the properties before either selling or renting the property.
Alexander avoids bad neighbourhoods in inner-city Detroit, as even though the house prices are very low, the houses will be impossible to rent out and hence offer no return.
Renting or Selling
Once the house has been refurbished, then it’s the turn of the property manager to earn his wages. His job is either to sell the property for anything between 20-30% profit, or alternatively to rent the property for a good return.
Success Rate
Of the 70 houses Alexander has refurbished since last winter, 64 have been successfully rented giving an extremely good return and success rate.
Summary
Alexander is executing exactly the strategy offered by UPI; we also source low-cost properties in good areas. Refurbish to a high-standard and then our property manger rents them out to give you a guaranteed 13% minimum return.
For more information and advice about investing in Detroit through UPI, please contact us at info@usapropertynvestor.co.uk or call Ollie direct on +44 (0)7807 520 502 begin_of_the_skype_highlighting +44 (0)7807 520 502 end_of_the_skype_highlighting.
This blog is about property investing in the USA. Our aim is to provide low cost, high cash flow properties to our clients in a time when UK property doesn't offer returns worthy of investment.
Thursday 29 July 2010
Tuesday 27 July 2010
Time To Take A Ride On High-Flying Florida
Press Release (July 27, 2010)
Time To Take A Ride On High-Flying Florida
Figures released last month have indicated that the Sunshine State has become a prime holiday destination once more for both US, and overseas visitors.
Visit Florida, the official tourism arm of the state, announced that in the first quarter of 2010 an estimated 22.7 million holidaymakers descended upon the golden coast – an increase of 2.7 percent on the same period last year.
The breakdown of the figures show that 19.7 million US residents enjoyed Florida’s beaches, and waters, while there was an 8.1 percent increase of overseas visitors arriving at Florida’s airports for their time in the sun.
Ed Fouche, chairman of Visit Florida, was quick to extol the figures as great news for the state, and for its own efforts in promoting vacations in Florida, as well as an upturn in trips across the border by Canadians, which was up by 5.3 percent of the total.
“This clearly demonstrates,” he said, “that well-executed tourism marketing is a smart investment.”
It is a mantra that Ollie Booth, CEO of USA Property Investor, is also keen to echo.
“Florida is hot, in more than ways than one at the moment”, says Ollie, “and we are forecasting a surge in property investment in the next few months. With prices too
good to miss, there has never been a better time to invest in the Sunshine State.”
For instance, in West Palm Beach, Orlando, you can purchase a 2-bedroom, refurbished condo with fantastic onsite amenities at a jaw-dropping 80% reduction from the original sale price. A 10% net yield on this rakes in a profit of $295 a month.
Or take a brand new 3 bed, 3 bathroom Orlando town house currently tenanted at $1,000-$1,100 a month. These are selling at just $99,950. A third phase of new-build will be available later this year – but the prices then will be starting from $155,000 per property.
“These are just some of the amazing investment opportunities that are currently available to investors,” says Ollie, “but the key word here is currently because with the new interest in Florida as a holiday destination, prices won’t stay this competitive for long.”
On current trends, new high-flying Florida could well spawn a new breed of high-flying investor.
ollie@usapropertyinvestor.co.uk
+44 (0)845 438 0634
Time To Take A Ride On High-Flying Florida
Figures released last month have indicated that the Sunshine State has become a prime holiday destination once more for both US, and overseas visitors.
Visit Florida, the official tourism arm of the state, announced that in the first quarter of 2010 an estimated 22.7 million holidaymakers descended upon the golden coast – an increase of 2.7 percent on the same period last year.
The breakdown of the figures show that 19.7 million US residents enjoyed Florida’s beaches, and waters, while there was an 8.1 percent increase of overseas visitors arriving at Florida’s airports for their time in the sun.
Ed Fouche, chairman of Visit Florida, was quick to extol the figures as great news for the state, and for its own efforts in promoting vacations in Florida, as well as an upturn in trips across the border by Canadians, which was up by 5.3 percent of the total.
“This clearly demonstrates,” he said, “that well-executed tourism marketing is a smart investment.”
It is a mantra that Ollie Booth, CEO of USA Property Investor, is also keen to echo.
“Florida is hot, in more than ways than one at the moment”, says Ollie, “and we are forecasting a surge in property investment in the next few months. With prices too
good to miss, there has never been a better time to invest in the Sunshine State.”
For instance, in West Palm Beach, Orlando, you can purchase a 2-bedroom, refurbished condo with fantastic onsite amenities at a jaw-dropping 80% reduction from the original sale price. A 10% net yield on this rakes in a profit of $295 a month.
Or take a brand new 3 bed, 3 bathroom Orlando town house currently tenanted at $1,000-$1,100 a month. These are selling at just $99,950. A third phase of new-build will be available later this year – but the prices then will be starting from $155,000 per property.
“These are just some of the amazing investment opportunities that are currently available to investors,” says Ollie, “but the key word here is currently because with the new interest in Florida as a holiday destination, prices won’t stay this competitive for long.”
On current trends, new high-flying Florida could well spawn a new breed of high-flying investor.
ollie@usapropertyinvestor.co.uk
+44 (0)845 438 0634
Monday 26 July 2010
The Short Sale Phenomenon
Short sales have often been mentioned as a way of getting a really good deal in the current climate, even better than those on offer due to foreclosures.
What defines a Short Sale?
Basically a short sale is where the homeowner cannot afford to make any more mortgage payments, which means they have defaulted on their mortgage. Only once this happens will the lender consider a short sale.
So when a short sale occurs, the lender is prepared to accept an amount for the house which is less than the existing mortgage, hence the “short” element of the sale.
To get a lender to accept a short offer will depend on many factors such as how much you can put down, how much you are borrowing, how quickly you can close and if you will be able to get a mortgage.
Short Sales via Experience
It is vitally important that you work with an agent that has experience of short sales, and knows which houses are on offer for short sale. Many short sales will not be on offer to the public, so you need to know that your partner has connections so you can snap up these bargains.
Who Qualifies for a Short Sale?
It’s not as easy as just asking your lender for a short sale if you cannot pay the mortgage. You have to provide other proof such as a hardship letter, bank statement and other information; many sellers will need to be convinced that you cannot afford to make payments before they agree to a short sale.
How long does it All Take?
A short sale will take much longer than a traditional a sale, sometimes as much as 6 months, so even if the seller has accepted the offer, nothing can be done until the lender accepts.
Choices – Short Sale or Foreclosure?
If possible, it’s best to go for a short sale as this will have less impact on your credit rating than a foreclosure. It is imperative you work with professional and trustworthy people when considering your options between short sale and foreclosure.
What defines a Short Sale?
Basically a short sale is where the homeowner cannot afford to make any more mortgage payments, which means they have defaulted on their mortgage. Only once this happens will the lender consider a short sale.
So when a short sale occurs, the lender is prepared to accept an amount for the house which is less than the existing mortgage, hence the “short” element of the sale.
To get a lender to accept a short offer will depend on many factors such as how much you can put down, how much you are borrowing, how quickly you can close and if you will be able to get a mortgage.
Short Sales via Experience
It is vitally important that you work with an agent that has experience of short sales, and knows which houses are on offer for short sale. Many short sales will not be on offer to the public, so you need to know that your partner has connections so you can snap up these bargains.
Who Qualifies for a Short Sale?
It’s not as easy as just asking your lender for a short sale if you cannot pay the mortgage. You have to provide other proof such as a hardship letter, bank statement and other information; many sellers will need to be convinced that you cannot afford to make payments before they agree to a short sale.
How long does it All Take?
A short sale will take much longer than a traditional a sale, sometimes as much as 6 months, so even if the seller has accepted the offer, nothing can be done until the lender accepts.
Choices – Short Sale or Foreclosure?
If possible, it’s best to go for a short sale as this will have less impact on your credit rating than a foreclosure. It is imperative you work with professional and trustworthy people when considering your options between short sale and foreclosure.
Friday 23 July 2010
USA Property Investor | Driving Force in the Rejuvenation of Detroit
Latest press release on USA Property Investor & the Detroit housing market
UPI creates unique investment opportunities to ensure Detroit renters and families get access to quality homes following the recession
After being hit hard in the recession, Detroit has begun to find its feet again in a big way. This improved economic outlook means serious investment potential for savvy investors. UPI is leading the way in this, applying their investment knowledge to bring together families who have lost everything with those able to help them reclaim home life.
In Detroit, the recession struck particularly hard and escalating unemployment along with business closure has meant that many people who lost their jobs were simply unable to find another. The severity of the recession has left an unprecedented number of people finding themselves without the security of a job and a roof over their head.
As things begin to turn a corner, however, what was looking like a dire situation is now one that is offering a great deal of opportunity for those who want to purchase a property in Detroit at this time. Both investors and those now back in employment can look forward to a brighter future as people return to steady jobs and begin looking for somewhere to live and settle with their family.
UPI is an organisation assisting investors able to purchase and restore properties in this region, helping people to secure much needed homes in the area. In a region where there is a shortage in excess of 30,000 rental properties, UPI is now providing a much needed service.
This real estate organisation is providing a service for investors by taking over the sourcing of quality properties. Those who invest with UPI, can finance the property deals and are able to gain returns without having to take responsibility for the restoration and management of the rental property.
This is a win-win situation in which there is a net increase in the number of rental homes, providing much needed accommodation; plus investors can feel confident that they have secured in-demand, rental property in a location which has strong projections for future appreciation in property values.
In the current climate there is an overwhelming demand for property that is not being met. That means right now is the ideal time for investors to get involved. Putting money into rejuvenating properties will give the city a boost, and there is no doubt that this will in turn bring in positive cash flow for those investors who grab hold of this opportunity at this time.
When discussing how this investment system would play a part in rejuvenating Detroit, UPI owner Ollie Booth described what the boom in Detroit property means at this time. 'Right now the city is changing and this means really great opportunities for investors who are ready to take advantage of that outstanding opportunity'.
UPI is an investment company based in the UK that is involved in ensuring that investors secure properties which will generate positive cash flow, while also playing a part in rejuvenating the city and renovating much needed rental properties.
If you'd like to know more about investing in this exciting market, get in touch.
t: +44 (0)845 438 0634
e: ollie@usapropertyinvestor.co.uk
UPI creates unique investment opportunities to ensure Detroit renters and families get access to quality homes following the recession
After being hit hard in the recession, Detroit has begun to find its feet again in a big way. This improved economic outlook means serious investment potential for savvy investors. UPI is leading the way in this, applying their investment knowledge to bring together families who have lost everything with those able to help them reclaim home life.
In Detroit, the recession struck particularly hard and escalating unemployment along with business closure has meant that many people who lost their jobs were simply unable to find another. The severity of the recession has left an unprecedented number of people finding themselves without the security of a job and a roof over their head.
As things begin to turn a corner, however, what was looking like a dire situation is now one that is offering a great deal of opportunity for those who want to purchase a property in Detroit at this time. Both investors and those now back in employment can look forward to a brighter future as people return to steady jobs and begin looking for somewhere to live and settle with their family.
UPI is an organisation assisting investors able to purchase and restore properties in this region, helping people to secure much needed homes in the area. In a region where there is a shortage in excess of 30,000 rental properties, UPI is now providing a much needed service.
This real estate organisation is providing a service for investors by taking over the sourcing of quality properties. Those who invest with UPI, can finance the property deals and are able to gain returns without having to take responsibility for the restoration and management of the rental property.
This is a win-win situation in which there is a net increase in the number of rental homes, providing much needed accommodation; plus investors can feel confident that they have secured in-demand, rental property in a location which has strong projections for future appreciation in property values.
In the current climate there is an overwhelming demand for property that is not being met. That means right now is the ideal time for investors to get involved. Putting money into rejuvenating properties will give the city a boost, and there is no doubt that this will in turn bring in positive cash flow for those investors who grab hold of this opportunity at this time.
When discussing how this investment system would play a part in rejuvenating Detroit, UPI owner Ollie Booth described what the boom in Detroit property means at this time. 'Right now the city is changing and this means really great opportunities for investors who are ready to take advantage of that outstanding opportunity'.
UPI is an investment company based in the UK that is involved in ensuring that investors secure properties which will generate positive cash flow, while also playing a part in rejuvenating the city and renovating much needed rental properties.
If you'd like to know more about investing in this exciting market, get in touch.
t: +44 (0)845 438 0634
e: ollie@usapropertyinvestor.co.uk
Wednesday 21 July 2010
"ReFresh" Detroit Success Has Bearing On Real Estate Market
When once there were automobiles, now there are businesses. Two weeks ago Detroit’s Mayoral Office announced it had selected five new neighborhood commercial corridors in the district as part of its on-going drive to encourage re-investment in the city.
Since the projects inception just over a year ago, the Office of Neighborhood Commercial Revitalization has overseen the birth of 211 new businesses, 700 new jobs, and delivered technical assistance, and start-up loans to a total of 2,000 firms seeking advice on business growth, and expansion. As a direct result of the ONCR influence, over $100 million of private investment has been pumped into the Detroit economy.
It’s good news for Detroit, and possibly the catalyst for a surge in domestic property investment as now has never been a better time to acquire a foothold in the market. Prices have been rising steadily since the turn of the year, and Ollie Booth of USA Property Investor (UPI) is quick to point out that those prices will keep on rising now in light of the recent upturn in fortunes for Detroit’s business community:
“While it’s good news for the city’s businesses, it won’t be good news for those looking to get a foot on the property ladder,” Ollie says earnestly. “Prices have continued to climb in the housing market, and really now is the best time for all those looking to invest in single homes for families, or multi units of two, three, or four apartments, or even commercial properties.”
And that’s where real estate firms such as UPI come in, bringing all their experience and know-how to make such investments easy, and stress-free. Detroit has been hot for a while, and UPI has been busy spreading the word that Detroit has been the place to make serious financial stakes for some time.
“Our aim,” says Ollie, “is to recycle low cost housing, turning foreclosed and uninhabitable houses in Detroit into refurbished, clean, safe homes for low income and often homeless families. These families are homeless, in many instances due to landlord foreclosures.
We provide a much-required service to a region struggling with a shortage of 30,000 rental homes. We are offering all our investors the benefit of a ‘hands free’ or 'armchair' investment. In return our investors will receive solid, passive income every month and a property that is poised to appreciate in value in the coming years. We refurbish all our investors’ properties at outset, within one all encompassing cost.
Our investors receive excellent yields with the additional benefit of knowing that they are helping to solve a housing crisis, assisting low income families in US, often not as fortunate as themselves, with the security of the Section 8 HCV Program backed by the US Government. This ensures that your rents are paid on time every month with no exceptions.”
So with the Mayor of Detroit giving the city 'Refresh', perhaps, says Ollie, it is time for private investors to Refresh their stakes in the city too.
If you're looking to invest in this exciting market, please call us on
+44 (0)845 438 0634
Or email me direct at ollie@usapropertyinvestor.co.uk
Since the projects inception just over a year ago, the Office of Neighborhood Commercial Revitalization has overseen the birth of 211 new businesses, 700 new jobs, and delivered technical assistance, and start-up loans to a total of 2,000 firms seeking advice on business growth, and expansion. As a direct result of the ONCR influence, over $100 million of private investment has been pumped into the Detroit economy.
It’s good news for Detroit, and possibly the catalyst for a surge in domestic property investment as now has never been a better time to acquire a foothold in the market. Prices have been rising steadily since the turn of the year, and Ollie Booth of USA Property Investor (UPI) is quick to point out that those prices will keep on rising now in light of the recent upturn in fortunes for Detroit’s business community:
“While it’s good news for the city’s businesses, it won’t be good news for those looking to get a foot on the property ladder,” Ollie says earnestly. “Prices have continued to climb in the housing market, and really now is the best time for all those looking to invest in single homes for families, or multi units of two, three, or four apartments, or even commercial properties.”
And that’s where real estate firms such as UPI come in, bringing all their experience and know-how to make such investments easy, and stress-free. Detroit has been hot for a while, and UPI has been busy spreading the word that Detroit has been the place to make serious financial stakes for some time.
“Our aim,” says Ollie, “is to recycle low cost housing, turning foreclosed and uninhabitable houses in Detroit into refurbished, clean, safe homes for low income and often homeless families. These families are homeless, in many instances due to landlord foreclosures.
We provide a much-required service to a region struggling with a shortage of 30,000 rental homes. We are offering all our investors the benefit of a ‘hands free’ or 'armchair' investment. In return our investors will receive solid, passive income every month and a property that is poised to appreciate in value in the coming years. We refurbish all our investors’ properties at outset, within one all encompassing cost.
Our investors receive excellent yields with the additional benefit of knowing that they are helping to solve a housing crisis, assisting low income families in US, often not as fortunate as themselves, with the security of the Section 8 HCV Program backed by the US Government. This ensures that your rents are paid on time every month with no exceptions.”
So with the Mayor of Detroit giving the city 'Refresh', perhaps, says Ollie, it is time for private investors to Refresh their stakes in the city too.
If you're looking to invest in this exciting market, please call us on
+44 (0)845 438 0634
Or email me direct at ollie@usapropertyinvestor.co.uk
Tuesday 20 July 2010
Property Investment Checklist - Part 2
Continuing on from yesterday’s post, here is part 2 of our property investment checklist.
Condition of the Property
This sounds obvious, but believe it or not is often overlooked.
A few years ago an investor from the UK went to New York to invest. He was bullish in his approach and he asked realtors (see above re. Realtors) to find all properties under x value and he bought them all.
Low and behold he then found that all of his properties needed extensive repair (he was buying through Realtors remember!) In the US, local government can mandate that a property has to be maintained in a good state and must not be perceived as being a hazard or ‘unsightly’.
If the owner fails to bring the property up to ‘code’, the state authority has powers of enforcement. In this instance, the investor could not afford to do the repairs mandated by the property code. Consequently his properties were seized and a warrant put out for his arrest. He left the US empty-handed!
It is imperative you have a trusted Property Management company to manage your investment from the outset. We at USA Property Investments make sure all purchases are run through our property managers.
Section 8
‘Section 8’ is the UK equivalent of housing benefits. This means that the tenant has a portion of their rent paid by the state based on their financial circumstances. Buying property that is ‘section 8 approved’ with or without a tenant is a good sign that the property is up to ‘code.’
Every few year an assessment is made on the property and a section 8 is extended providing it is in good working order and meets the criteria as set out by the state. If you’re buying a property that is section 8 approved make sure it is up to code. In the event that it isn’t then at the next annual assessment, benefits to the tenant will be held until the property is brought up to code and your rent will go unpaid.
Rental Profits
Like all out of town investors, you will be using a trusted Property Manager to manage your property day to day. Your agent will collect the rents and pay you your rental profits. A UK-US dual tax treaty makes this financially advantageous for us.
However, you must obtain an ITIN (International Tax ID) number before you can receive rental profits. Your Property Manager has a duty to hold onto all rental profits until this is in place. Make sure you apply for this as soon as you can.
Getting an ITIN
1. First off you will need a foreign notary to certify your passport (you can use any notary in your home town);
2. Once received, this will be sent to the Hague for approval.
3. Once approval is received from the Hague, you can apply for an ITIN.
The whole process takes approximately 8 weeks.
Avoid these pitfalls and it’ll make your investment run smooth as silk. Just remember, use a good property finder to source your investments; we at USA Property Investors already work with good, reliable property finders and will take the risk out of your investment.
So if you would like to talk to us about sourcing a good property for you, then contact us using the form below, or call Ollie on 07807 520 502 or Email Ollie.
Condition of the Property
This sounds obvious, but believe it or not is often overlooked.
A few years ago an investor from the UK went to New York to invest. He was bullish in his approach and he asked realtors (see above re. Realtors) to find all properties under x value and he bought them all.
Low and behold he then found that all of his properties needed extensive repair (he was buying through Realtors remember!) In the US, local government can mandate that a property has to be maintained in a good state and must not be perceived as being a hazard or ‘unsightly’.
If the owner fails to bring the property up to ‘code’, the state authority has powers of enforcement. In this instance, the investor could not afford to do the repairs mandated by the property code. Consequently his properties were seized and a warrant put out for his arrest. He left the US empty-handed!
It is imperative you have a trusted Property Management company to manage your investment from the outset. We at USA Property Investments make sure all purchases are run through our property managers.
Section 8
‘Section 8’ is the UK equivalent of housing benefits. This means that the tenant has a portion of their rent paid by the state based on their financial circumstances. Buying property that is ‘section 8 approved’ with or without a tenant is a good sign that the property is up to ‘code.’
Every few year an assessment is made on the property and a section 8 is extended providing it is in good working order and meets the criteria as set out by the state. If you’re buying a property that is section 8 approved make sure it is up to code. In the event that it isn’t then at the next annual assessment, benefits to the tenant will be held until the property is brought up to code and your rent will go unpaid.
Rental Profits
Like all out of town investors, you will be using a trusted Property Manager to manage your property day to day. Your agent will collect the rents and pay you your rental profits. A UK-US dual tax treaty makes this financially advantageous for us.
However, you must obtain an ITIN (International Tax ID) number before you can receive rental profits. Your Property Manager has a duty to hold onto all rental profits until this is in place. Make sure you apply for this as soon as you can.
Getting an ITIN
1. First off you will need a foreign notary to certify your passport (you can use any notary in your home town);
2. Once received, this will be sent to the Hague for approval.
3. Once approval is received from the Hague, you can apply for an ITIN.
The whole process takes approximately 8 weeks.
Avoid these pitfalls and it’ll make your investment run smooth as silk. Just remember, use a good property finder to source your investments; we at USA Property Investors already work with good, reliable property finders and will take the risk out of your investment.
So if you would like to talk to us about sourcing a good property for you, then contact us using the form below, or call Ollie on 07807 520 502 or Email Ollie.
Monday 19 July 2010
Property Investment Checklist - Part 1
Here is a checklist of things to consider when making an assessment of what makes a good investment. These are the things I’ve seen a lot of investors fall foul of and with a little care and attention, you can avoid these pitfalls.
Water Bills
The law in New York State mandates that the landlord is responsible for paying the water bills, regardless of who is living in the property. The authorities can repossess the property if the water bills remain unpaid, so definitely do not rely on the tenant to make this payment.
The best thing to do is to factor the extra cost of the water bills into your rent and just pay it yourself – no exceptions, its not worth the hassle or worry.
City Taxes
City taxes are similar to UK council taxes, and are used to pay for emergency services such as rubbish removal, upkeep of amenities etc etc. Each property has a semi-regular assessment which indicates what the property is worth and what taxes are applicable; quite often, this assessment is totally incorrect.
You see, if you want low taxes then you want it to be assessed low, but if you’re selling you want it assessed high. Be careful, use good property finders (not Realtors!) who know the true market values and whether it’s been assessed in your favour.
Realtors (Estate Agents)
Having had plenty of dealings in the US, the same comment I always get is that ‘Realtors would scratch your eyes out to make a sale.’
But we need to be clear on the point here; the Realtor has a duty to the seller so for them, every property is a good property regardless of its condition or location.
If you’re looking for investment properties, you need to use a professional property finder to source your properties. These guys know where to invest, and more importantly where to avoid. Only a property investor knows the true mechanics of what makes a good investment and what doesn’t.
So if you would like to talk to us about sourcing a good property for you, then contact us using the form below, or call Ollie on 07925 420108 or Email Ollie.
Tomorrow we’ll cover part 2 of the checklist.
Water Bills
The law in New York State mandates that the landlord is responsible for paying the water bills, regardless of who is living in the property. The authorities can repossess the property if the water bills remain unpaid, so definitely do not rely on the tenant to make this payment.
The best thing to do is to factor the extra cost of the water bills into your rent and just pay it yourself – no exceptions, its not worth the hassle or worry.
City Taxes
City taxes are similar to UK council taxes, and are used to pay for emergency services such as rubbish removal, upkeep of amenities etc etc. Each property has a semi-regular assessment which indicates what the property is worth and what taxes are applicable; quite often, this assessment is totally incorrect.
You see, if you want low taxes then you want it to be assessed low, but if you’re selling you want it assessed high. Be careful, use good property finders (not Realtors!) who know the true market values and whether it’s been assessed in your favour.
Realtors (Estate Agents)
Having had plenty of dealings in the US, the same comment I always get is that ‘Realtors would scratch your eyes out to make a sale.’
But we need to be clear on the point here; the Realtor has a duty to the seller so for them, every property is a good property regardless of its condition or location.
If you’re looking for investment properties, you need to use a professional property finder to source your properties. These guys know where to invest, and more importantly where to avoid. Only a property investor knows the true mechanics of what makes a good investment and what doesn’t.
So if you would like to talk to us about sourcing a good property for you, then contact us using the form below, or call Ollie on 07925 420108 or Email Ollie.
Tomorrow we’ll cover part 2 of the checklist.
Thursday 15 July 2010
Land Contract Investments | High yield investment strategy | Join our FREE webinar, Wednesday 21st July @7pm GMT.
Land Contracts
what are they & how do you profit from them?
what are they & how do you profit from them?
Join our FREE webinar. Listen, ask questions, or join in....
Learn about:
* What is a Land Contract
* Why you should invest in Land Contracts
* What the benefits are
* What your ROI will be
* A real working example
* Land Contracts vs. Owning rental property
* How to invest with UPI Ltd
* Special promotion on the day for those attending!
Register for our FREE online webinar here "Land Contracts - What are they
& how do you profit from them"
Program at a glance:
Low cost investment
Massive annual ROI
High monthly cash flow
No maintenance
No property taxes to pay
Built in exit strategy
And more.....
Takes place Wednesday 21st July at 7pm GMT.
To register, click on the link below. You'll be sent access details and a reminder on the day. If you have a microphone you will have an opportunity to take part also.
"Land Contracts - What are they & how do you profit from them"
Wednesday 21st July at 7pm GMT, click below to join in,
"Land Contracts - What are they & how do you profit from them"
We only have 20 places available so please be quick.
If you didn't read our 3 part mini reads on Land Contracts, you can view them
by clicking on the links below:
Land Contracts - part 1
Land Contracts - part 2
Land Contracts - part 3
Ollie Booth
ollie@usapropertyinvestor.co.uk
+44 (0)845 438 0634 begin_of_the_skype_highlighting +44 (0)845 438 0634 end_of_the_skype_highlighting
Wednesday 14 July 2010
My model for financial freedom
What does it take to have financial freedom? An interesting question, I guess if you asked 100 people, you’d probably get 100 different answers. One man’s idea of financial freedom wouldn’t necessarily satisfy another’s, so we all have our own definition of would make us financially free.
How much does it take to be financially free? The answer is of course personal to your own circumstances, which of course change from year to. Children, marriage, work, etc these will all affect your personal wealth and impact on your lifestyle.
The great thing about working towards this goal is that you have total control over everything you do and your decisions are entirely yours to make. Imagine working 1 hour at home for yourself. It’s the equivalent of working 8 hours for your boss! That’s how it feels to me.
My own goals are pretty modest in the scheme of things…..I want to be a property millionaire within 5 years. That is to say I want equity within my portfolio to exceed £1M. As for monthly cash flow, I figured that for every property I buy I can cash in £150 per month net profit from the rent. Now if I own 100 properties, that’s an income of £15,000 per month. Of course I will have to keep an eye on my investments and I may sell some from time to time, but I will have full control over all my investments.
I’ve always tried to do things by following a simple model: for every additional expense I have, whether a car loan or house move, I motivate myself to off set that extra debt with new investments. It helps me focus and keeps a consistent balance of cash flow and investments.
My advice to you is to ask yourself what you want personally. Maybe you want to build a portfolio; maybe you just want one or two properties to leave to the kids. Whatever you want, write it down. Open up Excel and start by putting down all your outgoings. If that’s the figure you need to live the lifestyle you want, and then work out how many investments you need to get there. Last of all put a timescale on it….before you know it, you’ll be well on your way to financial freedom.
PS: One last thought, most people fail to realise their goals or ambitions because of one thing…they fail to take action. Those people that do overcome the hurdle of inaction mostly tend to succeed. So take the first step and take action!
How much does it take to be financially free? The answer is of course personal to your own circumstances, which of course change from year to. Children, marriage, work, etc these will all affect your personal wealth and impact on your lifestyle.
The great thing about working towards this goal is that you have total control over everything you do and your decisions are entirely yours to make. Imagine working 1 hour at home for yourself. It’s the equivalent of working 8 hours for your boss! That’s how it feels to me.
My own goals are pretty modest in the scheme of things…..I want to be a property millionaire within 5 years. That is to say I want equity within my portfolio to exceed £1M. As for monthly cash flow, I figured that for every property I buy I can cash in £150 per month net profit from the rent. Now if I own 100 properties, that’s an income of £15,000 per month. Of course I will have to keep an eye on my investments and I may sell some from time to time, but I will have full control over all my investments.
I’ve always tried to do things by following a simple model: for every additional expense I have, whether a car loan or house move, I motivate myself to off set that extra debt with new investments. It helps me focus and keeps a consistent balance of cash flow and investments.
My advice to you is to ask yourself what you want personally. Maybe you want to build a portfolio; maybe you just want one or two properties to leave to the kids. Whatever you want, write it down. Open up Excel and start by putting down all your outgoings. If that’s the figure you need to live the lifestyle you want, and then work out how many investments you need to get there. Last of all put a timescale on it….before you know it, you’ll be well on your way to financial freedom.
PS: One last thought, most people fail to realise their goals or ambitions because of one thing…they fail to take action. Those people that do overcome the hurdle of inaction mostly tend to succeed. So take the first step and take action!
Tuesday 13 July 2010
Am I allowed to buy property in the USA?
One of the most common questions we get in this business is: are foreigners allowed to buy properties in the US? This is partly due to well-publicized restrictions in certain countries and partly due to a lack of information on the subject.
Well the simple answer is YES, foreign nationals are perfectly able and legally permitted to purchase property in the US.
As it has always been US government policy to encourage inwards investment, the US authorities have not placed any restrictions on UK (or any other nationality) investors buying property. Whether through cash or financing, there are no restrictions.
But buying a property in the US does not entitle you to US citizenship or a green card, but it may help if this is your ultimate goal. You should obtain an International Tax ID (ITIN,) and this is very straightforward.
Travelling to the US is also pretty easy for nationals of EU countries with an online Visa waiver procedure applied which normally results in a visa being granted within seconds.
As UK and European property markets have crashed due to the global downturn, the US is becoming more and more attractive for potential property investments with high yields.
Well the simple answer is YES, foreign nationals are perfectly able and legally permitted to purchase property in the US.
As it has always been US government policy to encourage inwards investment, the US authorities have not placed any restrictions on UK (or any other nationality) investors buying property. Whether through cash or financing, there are no restrictions.
But buying a property in the US does not entitle you to US citizenship or a green card, but it may help if this is your ultimate goal. You should obtain an International Tax ID (ITIN,) and this is very straightforward.
Travelling to the US is also pretty easy for nationals of EU countries with an online Visa waiver procedure applied which normally results in a visa being granted within seconds.
As UK and European property markets have crashed due to the global downturn, the US is becoming more and more attractive for potential property investments with high yields.
Monday 12 July 2010
Credit cards or your home? – which would you prefer to hold on to?
I was reading a very interesting statistic the other day about borrowers in the US that use credit cards in every day life – that’s a lot of people.
The column went on to say that in a recent survey , since 2008, Americans would rather hold on to their plastic then their home.
“Since 2008 credit card delinquencies have been lower than mortgage payment delinquencies and that this “flip” is representative of the change in the conventional wisdom around the payment heirarchy.”
Basically, since the recession took hold, average Americans are devaluaing their own home in favour of their credit cards just to stay afloat. There is definately a shift in the way people think about repossessions and the stigma surrounding that. It seems that Americans are no longer afraid of being tarnished with the foreclosure brush.
Does this give us investors any advantage?
Well, if Americans want to walk away from their homes in favour of plastic it means there are a lot more foreclosures on the bank’s books, this much we already know. And as the banks are so desperate to release cash from these empty assets, it means bargain properties are available to us investors!
So long as we can keep renting these houses back to those defaulted owners – which we can as they will be seeking housing benefits to pay their rent, then we have a very unique situation.
Bargain basement prices & a market flooded with tenants looking for quality homes under the governments’ rental assistance scheme is a perfect scenario for investors.
Will house prices rise?
Of course they will. I can’t say exactly when but the signs are there. Obama’s 8k homebuyers credit is taking affect now, and more lenders are dipping there toes back into the markets.
The situation is like this:
• Owner defaults on their mortgage in favour of credit card payments and loses home.
• Investor buys home at bargain price as the banks are desperate to release funds.
• Defaulter seeks rental assistance from government.
• Rents rise in value as demand soars.
• Investor takes on tenant from a huge pool of available tenants.
• Obama’s 8k credit assistance goes into overdrive.
• More lenders move back into the market.
• As more people start to buy property again prices start to rise and a sellers market returns!
Investor has a high yield, tenanted property, increasing in value and with a solid exit strategy should they decide to sell.
A very unique cycle. And as they say “Only in America!”
The column went on to say that in a recent survey , since 2008, Americans would rather hold on to their plastic then their home.
“Since 2008 credit card delinquencies have been lower than mortgage payment delinquencies and that this “flip” is representative of the change in the conventional wisdom around the payment heirarchy.”
Basically, since the recession took hold, average Americans are devaluaing their own home in favour of their credit cards just to stay afloat. There is definately a shift in the way people think about repossessions and the stigma surrounding that. It seems that Americans are no longer afraid of being tarnished with the foreclosure brush.
Does this give us investors any advantage?
Well, if Americans want to walk away from their homes in favour of plastic it means there are a lot more foreclosures on the bank’s books, this much we already know. And as the banks are so desperate to release cash from these empty assets, it means bargain properties are available to us investors!
So long as we can keep renting these houses back to those defaulted owners – which we can as they will be seeking housing benefits to pay their rent, then we have a very unique situation.
Bargain basement prices & a market flooded with tenants looking for quality homes under the governments’ rental assistance scheme is a perfect scenario for investors.
Will house prices rise?
Of course they will. I can’t say exactly when but the signs are there. Obama’s 8k homebuyers credit is taking affect now, and more lenders are dipping there toes back into the markets.
The situation is like this:
• Owner defaults on their mortgage in favour of credit card payments and loses home.
• Investor buys home at bargain price as the banks are desperate to release funds.
• Defaulter seeks rental assistance from government.
• Rents rise in value as demand soars.
• Investor takes on tenant from a huge pool of available tenants.
• Obama’s 8k credit assistance goes into overdrive.
• More lenders move back into the market.
• As more people start to buy property again prices start to rise and a sellers market returns!
Investor has a high yield, tenanted property, increasing in value and with a solid exit strategy should they decide to sell.
A very unique cycle. And as they say “Only in America!”
Saturday 10 July 2010
The madness of king Ollie (or not)
I get asked the question why I am recommending to people to invest in the US; well there are two main reasons for this:
1. The state of the UK property market
2. The state of the US property market
Let me explain further so you can see there is a method to my madness.
The UK Property Market
The UK property market, previously always thought of as quite reliable, is actually not reliable any more. Property investing in the UK has become an over-saturated breeding ground for would-be investors looking to build a ‘nest-egg’ or simply buy a couple of properties to get a bit more income each month. This is, and always will be a great thing to do – after all, passive income is the key to becoming financially free.
When I started investing in property some 5 years ago, it was nearing the end of a cycle. The good times were now just ‘OK’ but I could still make a respectable living doing it, and since the hours I kept were less than two days work a week it was a great lifestyle.
Over the last 2 years or so, we’ve all watched as the property market has weakened, prices have fallen, mortgage companies are squeezing and although interest rates are low finance is still generally very difficult to get. In a nutshell the whole market has lost its confidence. I have personally witnessed investors like myself dropping like flies.
The US Property Market
There’s been a media circus surrounding the state of the US economy of late, but the undeniable truth is that there is a lot of sorting out to do. The Obama administration has its work cut out to fix the economy, put Americans back to work, reduce the number of foreclosures and put money in pockets.
The US property market got my attention as there’s been a lot of commotion around foreclosed properties. If you’re unsure what that means, basically we’re talking about repossessed homes.
It seems that home owners no longer feel the stigma associated with losing their home or bankruptcy and walking away from your debt is the easy thing to do. Bad for the lenders, great for investors!
My Conclusion
I’ve been in the thick of property investing for a good while now with a decent amount of success. Investing in the USA offers some of the best opportunities around; where else in the western world can you buy a refurbished property, tenanted and managed with a net yield in excess of 13% for £25grand! And that can only mean one thing, property prices WILL rise.
The UK market has got some ‘correcting’ to do, and I’ll definitely be keeping a close eye on it. But for now I’ll be converting my pounds to dollars.
For more information and advice, you can call or email me,
t: +44 (0)845 438 0634
m: +44 (0)7807 520 502
e: ollie@usapropertyinvestor.co.uk
1. The state of the UK property market
2. The state of the US property market
Let me explain further so you can see there is a method to my madness.
The UK Property Market
The UK property market, previously always thought of as quite reliable, is actually not reliable any more. Property investing in the UK has become an over-saturated breeding ground for would-be investors looking to build a ‘nest-egg’ or simply buy a couple of properties to get a bit more income each month. This is, and always will be a great thing to do – after all, passive income is the key to becoming financially free.
When I started investing in property some 5 years ago, it was nearing the end of a cycle. The good times were now just ‘OK’ but I could still make a respectable living doing it, and since the hours I kept were less than two days work a week it was a great lifestyle.
Over the last 2 years or so, we’ve all watched as the property market has weakened, prices have fallen, mortgage companies are squeezing and although interest rates are low finance is still generally very difficult to get. In a nutshell the whole market has lost its confidence. I have personally witnessed investors like myself dropping like flies.
The US Property Market
There’s been a media circus surrounding the state of the US economy of late, but the undeniable truth is that there is a lot of sorting out to do. The Obama administration has its work cut out to fix the economy, put Americans back to work, reduce the number of foreclosures and put money in pockets.
The US property market got my attention as there’s been a lot of commotion around foreclosed properties. If you’re unsure what that means, basically we’re talking about repossessed homes.
It seems that home owners no longer feel the stigma associated with losing their home or bankruptcy and walking away from your debt is the easy thing to do. Bad for the lenders, great for investors!
My Conclusion
I’ve been in the thick of property investing for a good while now with a decent amount of success. Investing in the USA offers some of the best opportunities around; where else in the western world can you buy a refurbished property, tenanted and managed with a net yield in excess of 13% for £25grand! And that can only mean one thing, property prices WILL rise.
The UK market has got some ‘correcting’ to do, and I’ll definitely be keeping a close eye on it. But for now I’ll be converting my pounds to dollars.
For more information and advice, you can call or email me,
t: +44 (0)845 438 0634
m: +44 (0)7807 520 502
e: ollie@usapropertyinvestor.co.uk
Friday 9 July 2010
It's been so long, but I am alive and back
I've rediscovered my blog here on blogger. For a while I had been publishing my ramblings on a different site I thought at the time was better than blogger. It wasn't and so I'm back - humbled....
I have lots of blogging to do to catch up with current times. So I'm gonna do just that. Hopefully, I haven't lost everyone for good and maybe I'll pick up some new followers along the way.
Happy days!
I have lots of blogging to do to catch up with current times. So I'm gonna do just that. Hopefully, I haven't lost everyone for good and maybe I'll pick up some new followers along the way.
Happy days!
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