Wanting to invest in the USA

Discussion in 'North America Real Estate' started by sunny_UK, Apr 9, 2013.

  1. sunny_UK

    sunny_UK New Member

    Hi Guys & Gals,

    I'm a UK citizen and have been a very interested in investing, in the USA, meaning that i love the country very much, that back in 2007 i invested approx $400,000 in a franchise business which was working very well until the global economy went bust and i lost everything i have earned. However, i have turned myself around financially and am still looking to invest.

    I want to start putting my money into property and would like some serious help from people who are looking into the same as me and who have already invested.

    OK, so the questions i am asking are :

    1) Which areas are good to start off with?

    2) I'm looking to invest in my first property, with a cost of the property being upto
    $60,000.

    3) I hear that a government assisted accommodation will help towards monthly rent?
    If so, how is this accomplished and what pitfals are there?

    Last time when i had my business in the USA, i got burned badly and alot of people wanted to help and blah, blah, but in the end extracting money out of me. This time, i'm very cautious and will take advice from all you lovely people out there.

    Thank you very much for your help in advance

    Regards,

    Sunny
     
  2. AlexMiller

    AlexMiller New Member

    Some of the best US cities that are predicted to be great investment locations for 2013 are:

    Orlando, FL
    Miami, FL
    New York
    San Francisco
    Atlanta, Georgia
    Cleveland, Ohio
    Houston, TN

    Chicago, Seattle, Detroit and Tampa are a few of the other good choices.

    Sources: Forbes, MSN and NAR.
     
  3. sunny_UK

    sunny_UK New Member

    Thanks Alex, i read this article as well and took notes, cheers for your help!!:cheers:
     
  4. Billy_

    Billy_ New Member

    To my mind the best cities for investing your money are Los Angeles, New York, Chicago and Houston. Every big city has big potential and there are so many people who are looking for rentals. Today the prices for property are high enough to make a purchase. Sure, real estate investment is always a good deal especially if you rent it to the tenants.No matter whether you are a landlord and have many properties and are going to invest one more in US or this is your first buy to let property, it’s so important for you to make the right investment. This property will bring you money, so it should be very good! Tenants are looking for apartments and flats that have good location and in good condition. You must calculate your would-be income and the costs you need to spend on this property. You should also think about the negative aspects. Anyway, owning property that you can let is always a good deal.
     
  5. reyjohnson

    reyjohnson New Member

    Having financial capacity to invest in real estate isn’t always enough. There are many essential things to consider. I believe you’ve tackled almost everything an investor should know and consider before getting into real estate investing
     
  6. totallyproperty

    totallyproperty Administrator Staff Member

  7. USWP

    USWP New Member

    Hi Sunny,

    Many Cities, are still very good, some such as in Arizona or Texas are still very good, but have had huge price increases in the past year, and much of the inbuilt equity has now gone, where you would have paid around $70-$80,000 a year ago, those are now well over $110,000 upwards. and paying well over $130,00 +, but the rents haven't moved that much, so unless you really have a reason to buy there, then look elsewhere for good cash flow / returns.

    That has also happened in Atlanta, the better areas have also shop up fast and you will also pay the higher prices, the cheaper prices in Atlanta are due to the areas / tenant class, etc, even though they look good and are well priced, you are dealing with mostly lower class areas, for the better ones, the horse has bolted already. Again, also due to the big hedgefunds buying everything in site regardless. sooner or later they have to start offloading, and that could be a problem with the pricing.

    Florida is fairly pricey for good well located properties, still a lot of real rubbish being sold in not so good areas, and still pricey for buying them with rents just average. There are areas such as Port St Lucia, a great place and by all accounts, should get a very good increase over the next year.

    Areas such as Ohio, ( Cleveland, Akron, Columbus ) Missouri / Kansas, ( Kansas City ) are all still very good and haven't had the huge increases, so good bargains can be found together with very good returns. and in some very nice areas, in Ohio, mostly good solid working class areas, no warzones.

    They also haven't been affected by the hedge funds, so as they are starting to increase steadily, you would get that increased value yourself in the form of equity, together with good cash flow.

    There are other good areas, it all depends what your after, and if you are open minded / have a high or low risk tolerance, and your just after a good investment rather than a particular location.

    Then, you have such things as Property Management, which is a deal breaker if you get the wrong one, and how your structure is set up to buy through. the actual purchase is part of the whole package deal.

    Hope that helps a bit.

    I'm based in Melbourne, Australia, and have helped many overseas buyers.

    Thanks.
     
  8. Noreleen

    Noreleen New Member

    Hello Sunny,

    Top 10 US cities to invest:-

    1 Orlando, FL
    2 New York City, NY
    3 Poughkeepsie, NY
    4 San Francisco
    5 Philadelphia, PA
    6 Chicago, IL
    7 Jacksonville, FL
    8 Palm Beach, FL
    9 Indianapolis, IN
    10 El Paso, TX

    As you said that, you are very cautious this time, so it is very important that you should consult to genuine real estate agent.
     
  9. USWP

    USWP New Member

    Best Cities To Invest In

    I get asked this a lot, from both Australian buyers and from overseas including the UK.

    There are many variables to that question, as it really doesn't have a direct answer.

    Firstly, what is the investor / buyer after? what are their goals they would like to achieve? are they just after the one property or trying to develop a long term portfolio, are they after just cash flow or capital gain, or both? Do they intend holding for long term Buy and Hold, or for a short term and possible flip?

    And then again, many cities are good in their own way, every city has good and bad areas.

    What it also boils down to, is not just the property, that's only part of the puzzle, what sort of support team is on the ground to help you, are they local neighborhood experts, not just a realtor trying to make a quick commission? What support as a back up team, to help with repairs, rehabs, to look after your interests after purchasing is in place?

    Are you looking to buy retails or wholesale? And what initial price point are you starting with, and is that all cash?

    So just stating what is a good city to buy in is only just the very start.

    I have a great on the ground support team in different places, and properties at all different prices and types.

    A buyer has to know and have confidence in who they buy from or through.

    Any wrong steps with the above points, can lead to many problems.

    So do your research, ask many many but RELEVANT questions before you sign anything.

    And there are also some other considerations, but I think I've outlined some of the major ones.

    Bottom Line, don't buy from anyone promising you quick riches and never from anyone telling you you will never have any repairs or problems with tenants etc, these are all inherent when buying property.

    It can be a very smooth ride if done properly, but a very bumpy one if not.

    Jeff
     
    Last edited by a moderator: May 8, 2014
  10. As I know the best places for a great investment are Miami and Orlando.
     
  11. alexanderatpatroon

    alexanderatpatroon New Member

    USA has a good potential property market especially in the area around NYC, Albany, Orlando and Boston. You can contact some good company which can guide with your investment.
     
  12. Nick_Stephens

    Nick_Stephens New Member

    Investing in Property is a very expensive process. I'm not referring to costs. I'm referring to time. You can truly find it rewarding to have income generating properties. Here are some tips for investing in properties. If you come across a property. Do research on the surrounding area. Have the seller take pictures of the house next door and across the street. Sometimes depending on the area it may be distress. ALWAYS check what the average TAX and USER Fee avg per YEAR. CHECK the local Insurance Rates and Compare. Last and Not Least. Do a FollowUP WalkThrough of you property via WEBCAM or video in Real TIME. You can do it in SKYPE. Our company does this to show that there are nothing wrong with our turnkey properties.
     
  13. jackgara

    jackgara New Member

    I live in Canada and invest in Atlanta. I was blessed to meet an investor/ broker who has her own property managment company. She does EVERYTHING for me. There are houses starting from 40k and up. She has one for about 56k and is rented for 895.00 , don't know if still available. If you need I can give your her contact info.
    Thanks Jackie
     
  14. Noreleen

    Noreleen New Member

    San Francisco is also a great place for investment.
     
  15. adamlulinski

    adamlulinski New Member

    Hi, can any one tell me please the appreciation % per year and which is the best place to invest in US.
     
  16. pursuccia

    pursuccia New Member

    I have attended the seminar of (moderated) group for foreign property. I looks decent and reliable.. they offer 40 - 70K USD for a landed property in US. And they also manages everything from there. if your interested browse thru their website or google it.
     
    Last edited by a moderator: May 26, 2014
  17. FWL

    FWL Member

    How do overseas investors stand when looking to buy property in the US - are there any restrictions?
     
  18. wealthbuildingrealestate

    wealthbuildingrealestate New Member Forum Partner

    Hi Sunny,
    You received some very good replies regarding your inquiry of "Wanting to invest in the USA". In regards to two of your inquiries:
    "1) Which areas are good to start off with?" This depends on what your primary focus is....buying to flip vs. buy to hold for long term wealth. There are some markets that are more conducive for buying to flip. Jeff had a very good reply when he mentioned: "Areas such as Ohio, ( Cleveland, Akron, Columbus ) Missouri / Kansas, ( Kansas City ) are all still very good and haven't had the huge increases, so good bargains can be found together with very good returns. and in some very nice areas, in Ohio, mostly good solid working class areas, no warzones."
    The only good thing that came of the 2008 mortgage crisis in the U.S. was that it created an excellent opportunity to invest in buy, and hold properties....especially in the Midwest states (Ohio, Michigan, Indiana, etc.).
    "3) I hear that a government assisted accommodation will help towards monthly rent?
    If so, how is this accomplished and what pitfals are there?" This program that you're referring to is called the Section 8 program. There are some positives, and negatives to this program. We have never preferred to delve into working with this program, but there are some investors who do like it.
    Hi FWL,
    In regards to your inquiry of:
    "How do overseas investors stand when looking to buy property in the US - are there any restrictions?” The only restriction for overseas investors whom are looking to buy property in the U.S. would be a small handful of countries in which all banks, title companies, etc. cannot accept wired funds transferred from these countries....as per the Patriot Act. Other than that, no, there aren't any specific restrictions for overseas investor to buy property in the U.S.
     
  19. diyhelp

    diyhelp Active Member

    I know that this post was started some time ago but it might be worth mentioning the currency. The £ has collapsed against the $ in light of Brexit - when we are talking of falls in excess of 20% this is a big problem for UK investors looking overseas. In effect a US property is 20% more expensive to a UK investor without the price even moving!
     
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