Anyone bought Real Estate overseas?

[mb1]

Eastern Eurpope is damn cheap like Australia 1980's prices with ocean views.

Has anyone had experience in buying overseas realestate?

 

[CanOz]

Not yet. But my girlfriend and i are thinking about buying an apartment here in China to rent out. RE prices where i am have not seen the bubble like increases that other cites have so it should be safe. Once we have enough equity we would buy another, and so on. An apartment worth 100k AUD will fetch about $800-900 per month in rent...do the math on that and it starts to look like a quick ROI.

Cheers,

 

[klburrell]

Not yet. But my girlfriend and i are thinking about buying an apartment here in China to rent out. RE prices where i am have not seen the bubble like increases that other cites have so it should be safe. Once we have enough equity we would buy another, and so on. An apartment worth 100k AUD will fetch about $800-900 per month in rent...do the math on that and it starts to look like a quick ROI.

Cheers,

Has anyone put any thought into the US. The market here is seriously low and with the Australian Dollar out weighing the US Dollar it's a perfect storm for purchasing. Looking at what you mentioned above you can pick up newer 3-4 bed homes with 2.5 baths in some cities in the US from the 60's to the 80's pulling the same cash flow and that's in US dollars. I'm not trying to sell anything but I haven't seen those returns on these type of properties in any other country. Just food for thought.

 

[Glen48]

Wait until the market bottoms first then decided, some are available now for 50K

 

[tech/a]

Wait until the market bottoms first then decided, some are available now for 50K

If you dont know the market (as in demographic) for the area of purchase.
Avoid it with passion.
Ask yourself.
There are more millionaires per capita in the US than any other place on the planet.
Which side of the R/E market are they currently?
Why are they not buying these bargains in bucket loads.

I have friends in Vagas
Tampa
and L/A.
All in property.

If you arent up with it youll get landed with a lemon.
Why not go to Spain
Heaps of juicy ripe lemons over there.
Were 300,000 Euro now 90,000 Euro and I'll bet they will accept 50,000 euro.
Rents are amazing only problem is there are 70% vacancies!

Every mans grass is greener.
Until you play on it!

 

[McLovin]

If you dont know the market (as in demographic) for the area of purchase.
Avoid it with passion.
Ask yourself.
There are more millionaires per capita in the US than any other place on the planet.
Which side of the R/E market are they currently?
Why are they not buying these bargains in bucket loads.

I have friends in Vagas
Tampa
and L/A.
All in property.

If you arent up with it youll get landed with a lemon.
Why not go to Spain
Heaps of juicy ripe lemons over there.
Were 300,000 Euro now 90,000 Euro and I'll bet they will accept 50,000 euro.
Rents are amazing only problem is there are 70% vacancies!

Every mans grass is greener.
Until you play on it!

I agree. Most people in Australia don't really understand the American housing market and instead frame it as though it was just an extension of the Australian market. I have a friend who was in residential property development (large scale $15m+) in the US, he ended up moving to Australia because there is no money left in the system over there.

 

[pilots]

I agree. Most people in Australia don't really understand the American housing market and instead frame it as though it was just an extension of the Australian market. I have a friend who was in residential property development (large scale $15m+) in the US, he ended up moving to Australia because there is no money left in the system over there.

What about TAX, you are going to pay USA TAX, as well as Australian TAX, all is well, until you sell up at a profit in the USA, our Australian tax office WON'T give you a ruling on profit TAX in the USA, that tells me they will want some of the cream as well.

 

[Tyler Durden]

How is one supposed to keep an eye on their overseas investment? Pay someone else to do it?

 

[klburrell]

How is one supposed to keep an eye on their overseas investment? Pay someone else to do it?

Unless the property is in your back yard, you will need a very good property management company. Don't go with the 1st one, interview several and ask for references. When your investing some where that is out of your daily reach, the property management is the most important part of your investment. Good property Mgt and your set for success, end up with a bad one and your done.

 

[klburrell]

If you dont know the market (as in demographic) for the area of purchase.
Avoid it with passion.
Ask yourself.
There are more millionaires per capita in the US than any other place on the planet.
Which side of the R/E market are they currently?
Why are they not buying these bargains in bucket loads.

I have friends in Vagas
Tampa
and L/A.
All in property.

If you arent up with it youll get landed with a lemon.
Why not go to Spain
Heaps of juicy ripe lemons over there.
Were 300,000 Euro now 90,000 Euro and I'll bet they will accept 50,000 euro.
Rents are amazing only problem is there are 70% vacancies!

Every mans grass is greener.
Until you play on it!

Your 100% correct, if your investing in any market in any country you need to know as much as you can about the markets. I can't say a lot about other countries but I am here in the US and obviously I do purchase here. The US is a very diversified market, one thing I have noticed about many Australians that have purchased here, they seen the super cheap deals and sucked them up, well let me tell you there is a reason for the super cheap deals, in most cases their straight cash and the seller is looking for a sucker to buy them. If you see a deal for $5,000.00 well guess what, your in a war zone. Here's a little tip, get the area that your looking in and call the local police department, that 5 minute phone call can save you a major hassle, they will tell you all about the neighborhood as far as crime wise. Tip number 2, stay in the southern part of the US, anything above the freeze zone and you will be constantly shelling out money for repairs. Hope this was helpful. Just one more thing, Americans are sucking up properties here also, but there's plenty to go around, white house should be coming available soon.

 

[McLovin]

What about TAX, you are going to pay USA TAX, as well as Australian TAX, all is well, until you sell up at a profit in the USA, our Australian tax office WON'T give you a ruling on profit TAX in the USA, that tells me they will want some of the cream as well.

I don't know the specifics wrt to property but, under the tax treaty between Australia and the US you shouldn't be double taxed.

 

[LifeChoices]

I just got back from holidaying in the US and set up a bank account in order to investigate buying property in San Francisco maybe next spring. From my initial research, the really cheap foreclosed properties are a very risky proposition as these areas the crime rate is high. However, in saying that property in the better areas have come down in price to levels they were 10 years ago. There was also some talk in the media of investors buying property valued at over 250K would be given work visas.

I'm not up with all the taxation in buying US property, but I understand you wont' be double taxed - as US and Australia have an agreement. I was told that Chinese are snapping up a lot of property, but I guess they are doing it here also and there are lots of them.

 

[prawn_86]

If people are looking at purchasing overseas and need to deliver USD over there please contact me and i can help get a preferable exchange rate