hi ,im intressting of investing in miami .i would like to buy 3 units and want to find out how much would be

Asked by Hans Juergen, Switzerland, FL Mon Feb 18, 2008

the return on rent ?taxes \?and mortgage possibilities .
are there restrictions for foreigners ?(swiss)
are the prices likly to drop more?
what areas are you recomending?

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10
Madeleine Ro…, Agent, Miami Beach, FL
Tue Feb 19, 2008
Hallo Hans

Meine Eltern hatten eine Wohnung in Crans Montana und ich verstehe wenn Du sagst "restrictions". Es ist nicht wie in der Schweitz, jeder kann hier Immobilien kaufen und Foreign Nationals koennen auch eine Hypotek bekommen nur mann hat weniger Banken die Hypoteken halten fuer "foreigners" imMoment und die Banken moechten mehr Gelt jetzt sehen, vieleicht minimum 30% Deposit. Ich berate das mann auch etwas plant fuer die beste Tax Struktur. Also zurueck zu English.

Wenn buying investment properties in the US, you typically have to put at least 25% down to get any sort of return on your investment i.e. positive cash flow . Depending on your financial strength, the banks may require a higher down payment for a foreign investor and if you have a relationship with a Swiss bank that has offices here, this could be advantageous.

As far as Miami investing goes, yes we are not sure when the market will be at the lowest point, if it has reached the lowest point etc etc but you make your money on an investment property when you BUY it. So, depending if you are looking into single family houses, multi family ( 2 units or more in the same building) or condos, each deal has to be analyzed and, as we have so much inventory, I suggest making offers until you get the right property at the right price with the rental covering all expenses and giving you at least a 5% return. Of course the returns can be much higher.

Typically property taxes are approximately 2% of the purchase price. As far as areas go, the best investment returns are definitely not on the beaches but you do have to figure out your objectives, Typically, a lower income area can you give higher returns but can be more demanding management and maintenance wise. A more expensive area is typically less lucrative in the return but more stable as far as values and appreciation. I invest myself and I find condos not a great way to have a steady income from your capital as there are too many unknows i.e. bad management, special assessements for repairs.

Many Europeans and northerners are checking out investment opportunities in Miami now as there is still value and potential in our city and the perception is the time is right to pick up some well priced properties.
1 vote
Oscar Hecht, , Miami, FL
Thu May 22, 2008
Hi Sir, My company specializes in properties reposes by the bank, we also give you the correct way to invest were your return should be between 8 to 9 % we also have other areas to invest to bring good returns and lots of cash flow if you are interested i can send you a power point presentation email me at universaloh@bellsouth.net for more info
0 votes
Ulla Rupp- C…, Agent, Winter Park, FL
Thu May 22, 2008
Hallo Herr Juergen,

sind Sie noch immer interessiert an einem Florida Kauf? - Schauen Sie bitte mal nach auf http://www.Orlando-Immobilien.com oder http://www.Orlando-Immobilien.de

Wenn Sie Fragen haben, bin ich gerne bereit Ihnen weiterzuhelfen. - Ich habe auch gute Verbindungen in Miami.

Gruss,
Ulla Rupp-Crofton
Certified International Property Specialist
0 votes
Ulla Rupp- C…, Agent, Winter Park, FL
Sat May 10, 2008
Warum nicht in der Orlando Gegend? Orlando hat nicht nur Disney World, sondern "downtown Orlando" und Radwege und Naturschutz, 1 Stunde zum Atlantik or Golf von Mexiko. Immobilien sind meist billiger als im Suedne.
Ich spezialisiere in Residenz, Gewerbe und Farm/Ranch Immobilien
0 votes
Joseph Gonza…, , 33032
Wed Feb 20, 2008
Hi Hans, your first decision, would be to find the most attractive area in Miami based for your return and investment property. Obviuosly, the market has made a tremendous change in the recents months and properties with tremendous potential for great returns are popping up on a daily basis.You defintiely should consult first with a real estate pro to make sure you are headed in the right direction.Believe me, this is the right time to purchase in Miami.The potential for growth in this area is tremendous, not only is Miami being considered one of the most sought after areas, it is also one of the most desireable areas based on the different and multi cultured individuals that live within the city limits.LOOK but don't wait to long, because there are several investers like yourself that already have there sights set on this magnificent investment opportunity.
Web Reference:  http://WWW.LOANSWITHJOE.COM
0 votes
Don Tepper, Agent, Burke, VA
Mon Feb 18, 2008
Hans:

With all due respect, you're approaching investing the wrong way. You say you want to invest in Miami, but don't know what the return would be, what the taxes are, and so forth. First, determine what your objectives are. Are they to buy and hold, with appreciation being your primary interest? Or are they to buy and get a high positive cash flow? Or are they to buy substantially under market and then rehab and sell? (I'd guess you'd fall into the first or second category, not the third. But all three are reasonable objectives.)

Once you've determined that, then you ought to determine what part of the United States offers the best possibilities for your preference. Miami may or may not rank near the top. I'm not in the Miami area, but from the investors I've spoken to, Miami has been harder hit than most areas by the real estate downturn, and many investors expect Miami to continue dropping for awhile.

You say you want to buy "3 units." Three single-family homes? Three townhouses? Three condos? Or three apartment buildings? Again, Miami may or may not be the right choice. And the return on your investment may vary greatly, depending on whether you mean single-family homes, townhouses, condos, or apartment buildings.

If your goal is to get to Miami periodically and enjoy the beaches and weather, keep in mind that the United States has lots of good beaches, great entertainment, etc., up and down the Eastern seaboard. And many of those areas--Atlanta, the Washington D.C. area, New York, to name just a few--are served by international airports.

So, in short, don't limit yourself to Miami. Figure out where it makes sense to invest. And if there are other factors involved, such as warm weather, beaches, and entertainment nearby, certainly consider those. But that still leaves a lot of areas for you to consider.

Good luck.
0 votes
RN, , Miami, FL
Mon Feb 18, 2008
Hi Hans,
There is much to consider, and your questions all hinge on what area you want to be in, and what type (condo, townhome, etc) of property you wish to purchase.
I'll be happy to help you with that if you wish. Call me at 786-205-1133, or visit my website.
0 votes
M, , Florida
Mon Feb 18, 2008
Hans,
Why Miami? And when do you need to invest? Miami is a great city with a lot to offer, don't get me wrong. However, market conditions in this area have not settled yet and it may be a little while before we all know where the bottom is. If you are willing to do a lot of homework, you can find some very good opportunities, but again what is the right/fair or appropriate price to be paying in todays market. If coastal FL is your interest, we would recommend a few different areas that long term are going to generate better cash flow, have less of an unknown on the bottom of the market and are just plan safer opportunities for a foreign investor. Give Marian a call at 877-886-8388 or email me at terry@marianschafferrealty.com and I will arrange for you to talk with Marian. We have worked with investors in the Southeast/USA for over a decade and we truly have the best knowledge of were to put your money.
0 votes
Ines Hegedus…, Agent, Miami, FL
Mon Feb 18, 2008
Hans - there are plenty of great investment opportunities in Miami - you need to study each property and the return it will provide. If you decide to buy condo you need to study not only the price but the rental income and all expenses to see what the return will be. Make sure the condo allows rentals and you take into consideration not only real estate taxes, but also insurance costs.
Work with a Realtor that will give you honest answers and will be able to work out financials and projections for you.
Condo-hotels are easier to manage as an absentee owner because you don't have to worry about the rentals, but it's important to study not only income potential but also vacancy rates.
The only restrictions for foreigners is financing - that depends if you need financing or not and if you have established credit or a business in the US.
Take a look at this codo-hotel article I wrote to give you an idea of risk and other factors to consider.
Good Luck!

http://www.miamism.com/absentee-owners-at-ease
0 votes
Mott Marvin…, Agent, Sunny Isles Beach, FL
Mon Feb 18, 2008
Hans-
Nobody really knows if and when prices will drop, more than they already have. I see that the market is stablizing in high demand ares of South Florida; Aventura, Bal Harbour, South Beach, Sunny Isles Beach and in general- the coastal areas of South Florida. I would suggest looking into these areas primarily. Seasonal rentals are a possibility; offering higher than usual returns on your investment. Not all condominiums allow short term rentals, but single family homes have no such limitations, usually.

Annual rentals are more stable, but from what I have seen in recent times, the mortgage, maintenance and taxes by far exceed the income. The only benefit is the potential appreciation, which- if you buy right is almost certain.
0 votes
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