From New Zealand seeking cheap foreclosure type home.what are pros and cons buying this cheap & owning in USA?

Asked by Shane Petersen, Auckland,New Zealand Mon Aug 4, 2008

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9
Steve, Both Buyer And Seller, Detroit, MI
Tue Aug 12, 2008
Check us out at http://www.rockhomesllc.com - we have many great investment properties at lower-than-market rate prices. We also lend hard money on our own properties http://(www.detroithardmoney.com)

Thanks,

Steve
Office Mgr
Web Reference:  http://www.rockhomesllc.com
1 vote
Dallas Texas, Agent, Dallas, TN
Mon Aug 4, 2008
I am assuming you are a non US resident if you going to obtain a loan requires additional requirements from the lender. Pros of foreclosures GREAT allows you purchase property with equity. You need to determine your short/long term goals. If you are going to purchase hold with tenant, or purchase then flip. Cons if you locate a property recommend in move in condition than requiring improvements due to distance working with contractors. Here in Dallas we do have great opportunities real estate investor.
Web Reference:  http://www.lynn911.com
1 vote
Kathryn, Home Buyer, Palo Alto, CA
Thu Oct 16, 2008
If you already own and manage properties remotely in NZ, then you understand most of the problems. This would be a recommended first step. Adding another country into the mix definitely makes it more complicated... tougher (more expensive) to understand the micromarket (IMHO the worst case is much worse...think of your worst suburb and multiply by 10 for crime), tougher to find a property manager, accountant and lawyer... and much, much, much tougher to find a lender for someone without a social security number. Optimized tax structure - two tax returns and currency exchange risk are also extra delights. A couple of other warnings would be (1) property taxes are an annual event in U.S. and need to be understood as they cover more than rates; (2) Cheap property and cheap rent may give nice % return... but since low absolute $, the % return will be more sensitive to absolute $ outgoing eg maintenance.

However, the big pro is the higher possiblity of a cashflow positive property.

Good luck... could be worthwhile as you obviously understand... but requires quite a bit of extra understanding and management compared to a local investment.
0 votes
Kevin, Both Buyer And Seller, Los Angeles, CA
Fri Sep 5, 2008
I have some foreclosed properties for sale. Please let me know what you're interested in (price range wise) and whether you will be paying cash. I have 3+bedroom/ 1 bath homes from $14,000 to $50,000. Seller financing is also available (bad credit okay). Hope to hear from you soon,

Sincerely,

Kevin Doran
k.f.doran@gmail.com
0 votes
Bill Eckler, Agent, Venice, FL
Thu Sep 4, 2008
Shane,

On the pro sid, there is nothing wrong with buying cheap. As a matter of fact it makes good sense. There are many wonderful locations in our vast country that attract people from every where in the world.

Can't think of any negative fearture,,,,,,,,,,,,,,,,,,

Would love to hear about the area of the US that has attracted your attention.

Good luck,
The "EcklerTeam"
0 votes
Team Kelley , , 49660
Thu Sep 4, 2008
Hi Shane -

If you are looking for great buys, you really should look in Manistee, MI. We have some wonderful deals here. We are a coastal community (right on the shores of Lake Michigan). We are two hours away from Grand Rapids which is the medical mecca in the United States. Forecasters are stating that Grand Rapids will be one of the most booming towns within the next 10 years. Therefore, as they grow and flourish, many people will be flocking to northern Michigan for their get-a-way homes/cottages.

If you are interested in Manistee, please call me at 231-723-5555. Thanks, Kelly Kelley, Broker/Owner Team Kelley Realty
0 votes
Jeff Helmins…, Both Buyer And Seller, Detroit, MI
Wed Sep 3, 2008
Shane - Our company purchases foreclosured houses directly from banks, rehabs the houses, leases them to qualified market rate or (preferably) Section 8 tenants and then sells them, at a fraction of their current appraised value, as cashflowing, turn-key assets to investors. We can also arrange management services given you are a distance investor. If you are still interested in looking at investment opportunities in the Detroit area, please contact me. I am happy to share our perspective on the market, its risks and potential returns (currency adjusted of course). Jeff 248-763-8370.
0 votes
Gordon Hawki…, Agent, Detroit, MI
Tue Aug 12, 2008
I work with investors outside the country and lately the homes are at very good prices where they are using there cash. Gordon Hawkins owner of Hawkins Realty Group
0 votes
Sj209, Both Buyer And Seller, California
Tue Aug 12, 2008
Ask around. Most people will tell you don't buy Detroit real estate.
0 votes
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