Bakken Oil fields Dakota

[speakup]

Hi Guys, i am new to this site and was wondering if anyone had any experience with the Bakken oild fields and new property in the surrounding areas???

A company is pushing 2 bed appartments brand new with a 35% ROI... They say they have a deal with the mining companies to house the workers???? I know from a quick you tube search, the town of Willisiton is becoming over populated and people ar sleeping intheir cars.

Do you think it is a good idea to invest???

Thanks

Wayne
Aussie Investor

 

[bporeo]

I know there is a lot of activity in North Dakota, I work in the appraisal industry and the appraisers in that area can't keep up with the demand. I really don't know if ANY company can guarantee you anything, especially 35% ROI. What happens once the oil is gone? That area of the country was uninhabited for a reason: it's extremely remote, and bitter cold in the winter.

As with all opportunities, be sure you do your due diligence and have as much information as possible in front of you to make an informed decision.

"How are they going to get you this 35%?" Is it just an assumption on what the home prices will do? In that case, it's pure speculation based on appreciation.

What's the property actually worth? If it's worth $100,000 and you pay $125,000 to get your 35% return, that won't work. An appraisal and property inspection would be wise.

What will the property rent for? If you're planning on renting it out, which I assume you are. If the 35% is based on this, make sure you get real numbers, not inflated numbers some investor wants you to see.

I am not a negative person but I've seen my share of shady characters in this industry and I would always make sure all my i's are dotted and t's are crossed.

-Rob

 

[speedy gonzales]

Wayne,

I know most likely which company your talking about. I would suggest to tread with caution. From what I have researched you don't actually have sole ownership....your going to be in it with probably 35 other investors they dupe into the scheme so you have 35 other opinions and investor minds to deal with. As with any mining investment even in Australia there is a higher risk for investors to deal with. The old saying the higher the return the higher the risk so if this company is suggesting 35% then equate that to a risk level you take on.
Is it just the returns that you find attractive ??

 

[AlbertL]

It is really new for me and with your post I got one more thing about real estate facts and this forum is really helpful in this.