Distressed US ppties-anyone can share experience?

[Cook1234]

we often read in the papers how good the yield it is to buy US properties. ppties going for below the contruction costs and yielding 8-12%pa in tenancy returns.

 

is it really true?

 

anyone can share?

 

with bank interest going lower and lower, this might be an area we can look into to place our money.

[Yewheng]

  On 10/7/2011 at 5:11 AM, Cook1234 said:

we often read in the papers how good the yield it is to buy US properties. ppties going for below the contruction costs and yielding 8-12%pa in tenancy returns.

 

is it really true?

 

anyone can share?

 

with bank interest going lower and lower, this might be an area we can look into to place our money.

 

USA is in deep s--t and you still want to invest in US properties? [knife]

 

[Ladykillerz]

  On 10/7/2011 at 5:14 AM, Yewheng said:

USA is in deep s--t and you still want to invest in US properties? [knife]

 

[Voodooman]

Looked at it a few months ago and decide to defer the investment. Yield is good if you buy in the better cities, for stability you can imvest in properties in university towns. You need someone to look after and maintain the properties, if you lease it to a management company, their cut can be significant and you can end up with much lower yield, insufficient in my opinion to cover forex risks. I can forward you my contacts if you are imterested.

 

Anyway, I think US property market will stay depressed for a while, maybe another year or so, so no hurry to jump in now although people are jumping off the roof due to the collapse. It fits my criteria of selling when everyone is buying (COE prices can be a good gauge) and buying when foreclosure is rampant. But there are other macroeconomic factors at play as well. Example, Some says USD will collapse but recent strenghtening of USD when market risks rose have proven otherwise.

 

 

 

 

[Voodooman]

But why buy US properties which will take a while to stabilise when bluechip stock with decent yields are so cheap now!