What has your experience been like and where did you buy? I am seriously considering it (Vegas or Scottsdale) but not to make a quick buck. I would like a nice place to go whenever I need a quick and easy getaway for some sunshine. If I was able to get some rental income from it that would be a bonus.
Has anyone bought real estate in the US as an investment in the last year or so?
- Thread starter Elmore
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Elmore - have several friends who have just completed a similar transaction (Scottsdale area) and I have been doing some homework as well. Alinburnaby is spot on in that you want to ensure proper counsel in this regard and given that I'm an avid golfer, Scottsdale would be my personal preference with some great values. Good luck with this!
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Thanks for the input so far. I can't say that I am interested at all in foreclosures. I disagree that most of the "well priced real estate are foreclosures or tax sales". When the average cost in some cities like Vegas, and Scottsdale has dropped 40%, I would say that it is generally well priced though I guess an argument can be made that before 2007 it was just overpriced. I think many experts expert a further small drop in 2012 but beyond that things should stay pretty stagnant.
I know little if anything about this topic but I thought I heard or read somewhere that the IRS either had or was going to make some significant changes to taxes paid by foreigners owning US properties. I guess many US lawmakers and politicians in states like Arizona are becomming very concerned about the amount of foreign ownership of homes in their states. The new rules will make the tax on profits or capital gains so high it would discourage foreign ownership.
Anyone know if there is any truth to this?
Anyone know if there is any truth to this?
OK guys I am talking about possibly even buying new construction. I realize the whole foreclosure game can be a real dog and pony show.
I am not sure if there is any truth to those comments about foreign investors. Someone needs to buy real estate in the US and right now it isn't Americans
I am not sure if there is any truth to those comments about foreign investors. Someone needs to buy real estate in the US and right now it isn't Americans
so the grass is not greener on the other side of the fence..
If you want cheap house you can find them in Canada also.. all across Canada ..
If you want cheap house you can find them in Canada also.. all across Canada ..
Actually the grass is brown on the other side of the fence...because the weather is great for 9 or 10 months out of the year
That is why I am looking in the desert and not the Pacific Northwest in the US.
I agree. If someone is willing to buy the property and allow atleast some of the debt to be repaid they should be very welcoming.
That's the problem with the Americans though. They are all for it, if the foreign investment favors them or if it is Americans aquiring foreign assets. As soon as people from other countries start buying up American soil they retreat to their protectionist ideologies. Just look at trade with the US. They're all for trade, as long as it favors Americans and American companies but as soon as the pendulum swings away from them, they start imposing all kinds of obstacles.
I have heard that the foreclosures are far from over as the slightly better than sub-prime mortgages (Alt-A mortgages) are still coming up for renewal. Plus the next logical step to increase tax revenue is to amend their tax laws to take a bigger bite out of foreign investors. So unless you are buying for the very long term or for your own use, I would hold your horses for the time being.
I bought a property in Florida about 3 years ago and don't really have too many complaints. It's gone down a bit but man is it nice, right on the gulf of Mexico nothing between us and the beach. I also have clients who have bought in the US for various reasons, and personally i think if you do your homework it's a pretty good investment. Focus on the cap rate (net rent/purchase price) and location and you'll likely do fine over the long term. Regardless of where the market is today, the demographics still aren't going to change and if own a property in a very desirable area in an upscale location you should do okay. One person I know bought herself a condo for under 70K a few years ago and she's been happy with it. I'd probably avoid forclosures and shortsales are a hassle, but since they influence the market there's no particular reason why you can't get something at a similar price without the hassle or worry.
Financing can be a bitch but I think things are improving. I've gone through hoops several times once to purchase and once to try and acquire a LOC and it's a lot of hoop jumping, us being US Alien's and all. I did qualifity for one loan but I turned it down cause I could get financing cheaper here than in the US.
Financing can be a bitch but I think things are improving. I've gone through hoops several times once to purchase and once to try and acquire a LOC and it's a lot of hoop jumping, us being US Alien's and all. I did qualifity for one loan but I turned it down cause I could get financing cheaper here than in the US.
Elmore - I know several colleagues who have bought in Arizona recently and have a good understanding about finance, tax & law. Shoot me an e-mail and I'll pass on the name of a couple of law firms that specialize in this type of transaction and book yourself a consult so you get the facts as it relates to ownership. Scottsdale area seems very interesting to me so I'll be going the same. I have to agree with Horse99 in that this should be viewed as a long term personal asset and not a flip scenario --- my .002 -- Cheers!
Real estate opportunities south of the border is freakin' tempting. Just by observing Sonoma County during my brief stay there last Christmas and real estate prices there have gone back almost 20 years. Quite surprised to discover that the new owner of the vineyard surrounding the place my sisters rented will be planting hazelnuts and will letting go of the merlo.
Investment-wise, I started capitalizing on the existing and prospected oil & gas boomtowns in the US last year. Started out in Minot, North Dakota last fall. Its like booming Fort Mac with oil workers living in the parking lot of Walmart in their trucks or trailers. For 2012, focus will be in Belmont County in Eastern Ohio. Another Fort Mac in the making because of the Utica Shale Oil & Gas Boom. Gotta go where the puck is going. :nod:
Investment-wise, I started capitalizing on the existing and prospected oil & gas boomtowns in the US last year. Started out in Minot, North Dakota last fall. Its like booming Fort Mac with oil workers living in the parking lot of Walmart in their trucks or trailers. For 2012, focus will be in Belmont County in Eastern Ohio. Another Fort Mac in the making because of the Utica Shale Oil & Gas Boom. Gotta go where the puck is going. :nod:
