Im interested in gaining exposure to the US property prices that have had the biggest falls (such as florida) but I dont want the hassle of actually buying one. Does anyone know of an exchange traded product or a managed fund that offers exposure to US property?
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Ive had a look at this a few times recently and Im struggling to find anything useful.
Im looking at stocks listed on the nyse now but it's a lengthy process. I might make a couple of phone calls tommorow and see if I can get on to someone who can help.
If you find anything please post.
Cheers.
Is it possible to find REITS which would have different strategies in the real estate investing?
I know that some REITS just buy houses and rent them out, but are there some REITS (or funds) who would be doing Fix-and-Flip strategies (buying, rehabbing, selling) for example? That could be quite interesting!
Your 100% right, if your wanting to do hassle free investing a REIT is going to be the way to go. Just make sure you research the REIT, your fund could be tied up for a very long time. Another option depending on your funds would be to back a US wholesaler, definitely look for some serious references if you decide to go that route.
American Real Estate
- Thread starter TabJockey
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Trembling Hand
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Just google etf US property.
Of course that will get you US listed products which are a pain if you have the standard Oz retail broker
Of course that will get you US listed products which are a pain if you have the standard Oz retail broker
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Yeah was hoping for an aussie product because im pretty sure CommSec are not going to be of any help:
Ive had a look at this a few times recently and Im struggling to find anything useful.
Im looking at stocks listed on the nyse now but it's a lengthy process. I might make a couple of phone calls tommorow and see if I can get on to someone who can help.
If you find anything please post.
Cheers.
You could try REIT stocks (Real Estate Investment Trusts) as a proxy for US real estate. There are different types specializing in different areas. For example Hospitality Properties Trust (HPT) probably specializes in hospitality properties. Most of the REITS offer a pretty good dividend because they are required by law to pay out a large percentage of their profits as dividends to maintain their REIT status. For instance, HPT is indicated as having a dividend of 7.96%.
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Is it possible to find REITS which would have different strategies in the real estate investing?
I know that some REITS just buy houses and rent them out, but are there some REITS (or funds) who would be doing Fix-and-Flip strategies (buying, rehabbing, selling) for example? That could be quite interesting!
Your 100% right, if your wanting to do hassle free investing a REIT is going to be the way to go. Just make sure you research the REIT, your fund could be tied up for a very long time. Another option depending on your funds would be to back a US wholesaler, definitely look for some serious references if you decide to go that route.
Dona Ferentes
Beware of geeks bearing grifts
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from the inbox
"US commercial real estate is one potential problem. The office market is in a particularly difficult position. The post-COVID shift to work-from-home models means businesses no longer need as much space as they used to. As leases expire, companies are moving to smaller quarters in newer buildings, leaving high vacancies in older properties. Worse, some of those older properties are financed with ZIRP-era low-rate loans that are rapidly expiring. Replacing them with new loans at today’s higher rates may bankrupt some owners. The result will likely be a bunch of fire-sale transactions. Wolf Richter recently reported on a 60-year-old San Francisco building that had been bought in 2016 for $141 million. It sold last month for only $44 million, an almost 70% loss.
"That kind of discount seems to be the going rate for older properties. On one hand, that’s good news. It means the market isn’t completely frozen. But it’s exceedingly bad news if you are an overleveraged real estate investor.
"US commercial real estate is one potential problem. The office market is in a particularly difficult position. The post-COVID shift to work-from-home models means businesses no longer need as much space as they used to. As leases expire, companies are moving to smaller quarters in newer buildings, leaving high vacancies in older properties. Worse, some of those older properties are financed with ZIRP-era low-rate loans that are rapidly expiring. Replacing them with new loans at today’s higher rates may bankrupt some owners. The result will likely be a bunch of fire-sale transactions. Wolf Richter recently reported on a 60-year-old San Francisco building that had been bought in 2016 for $141 million. It sold last month for only $44 million, an almost 70% loss.
"That kind of discount seems to be the going rate for older properties. On one hand, that’s good news. It means the market isn’t completely frozen. But it’s exceedingly bad news if you are an overleveraged real estate investor.