Apologies for the vague Subject Heading, I'm hoping for a large breadth of advice. I have approx £10k a month to put into property for the next 12 months and would like to look at property off-shore(being out of the UK) I have become addicted to this site, since discovering it last week and think it is one of the best sources for advice as you certainly get a mixture of opinions.
You mention you have 10k per month, is that including any financing, or could you use it all in one hit of £120K?
I would suggest looking for something fairly stable with a decent rental return and a fair chance of good capital growth.
You havent mentioned how long you want to keep your investment, but I would suggest holding onto any property for a minimum of 3-5 years, rather than chancing everything on 'flipping', and not being able to sell as quickly as you would like.
May I suggest looking at Berlin/Germany as a first port of call. The reason I say this is because you can easily get guaranteed rentals of 5% NET per year, with a strong chance of good capital growth, and with prices being as low as £40,000, its a good place to start.
Also Malaysia is looking pretty good at the moment, where you can get up to 15 years guaranteed rentals, starting at a minimum of 8% NET. Its a higher starting price than Berlin, and it may be a little harder (but definitely not impossible)to sell on in the future.
Slightly riskier is Florida (I await the backlash to that.......). Now people will say that isnt the case, BUT I feel that with the weakness of the $ to the £, and with the market being flat on its back, with massively discounted properties there, now is the time to start looking at that market. There is always a good amount of rentals to be had because of Disney, and IF the market picks back up in the next year or so, then you will be well positioned to benefit from the upturn in capital growth.
I hope this is useful to you.
Also, there are other property forums that are very handy too (Personally, I think slightly better than this), but I dont think I am able to post links to them on this site.
If its possible PM (personal Message) me and I will email you the links.
Oh, and best of luck in your investing.
You should try and look at spreading your investments around too, and not put all your eggs in one basket as such
Rumpola makes a very good case for Germany. A true get rich slow and safe destination. Most of my efforts go into Germany. My second choice for some time has been Sicily. I do not gamble on the latest BTL hype and nonsense. I am an investor not a gambler.
I also agree there are other forums worthy of a visit. This forum is over regulated and as such many very knowledgeable and helpful individuals have given up and gone elsewhere.
I visit but rarely nowadays.
Feel free to pm me also - I know as much if not more than most about investing in Germany and what I don't know I am confident my German partner will know. What ever path you choose be cautious there are many who will attempt to part you from your hard earned and are skilled at doing so. Good luck my friend - take care.
Apologies for the vague Subject Heading, I'm hoping for a large breadth of advice. I have approx £10k a month to put into property for the next 12 months and would like to look at property off-shore(being out of the UK) I have become addicted to this site, since discovering it last week and think it is one of the best sources for advice as you certainly get a mixture of opinions.
Thanks in advance for any feedback>
Regards C
Have you considered perhaps investing this money into a company dealing with foreign (and domestic) properties. I know of a good little company which is looking for a partner. They would expect you to contribute time and effort (on a part-time basis of course) There is nothing which cannot be learned in this business and you would have your own team of advisers within your own company. If this is of interest to you let me know on here and I'll arrange for you to talk with them.
If you are interested in finding other sites like this you should be able to get them by Googling some of the user names here followed by the countries they have invested in. That will take you to threads elsewhere they have contributed to.
Rumpola mentioned Berlin. I have reservations about the place due to German system favouring the renter rather than the owner. (In Germany you don’t hear about a repair that needs done till the tenants have skipped a couple of month’s rent and you are receiving a letter informing you that no rent will be paid till the repair is made. You’ll not only pay for the repair, but probably for translation of letter and bank charges for missed mortgage payments. Also consider the time between something breaking and you being notified. A leak can cause serious damage to your property in a short space of time.)
I do like Berlin, I’m just pointing out some of the negatives that are more pertinent to Germany than elsewhere. East Germany strikes me as a good slow burner. System being set up to favour the renter and the extent of red tape should prevent house prices from rising too quickly.
If you like Germany then you might wish to consider funds, stocks and shares etc that invest there. They will provide easy hands free exposure to the German market. Stocks and shares will allow you to invest amount you want when you want, which could be handy given your position of being able to invest £10k each month over a year. I prefer closed ended funds as they don’t have the liquidity of stocks and shares. (Stocks and shares are easily off loaded when people feel the pinch. Oversupply results in falling share prices. Closed ended funds on the other hand are relatively illiquid and if you have chosen well the ultimate value of the fund will not be impacted by credit crunch.)
I don’t think prices have bottomed out in Florida (& the US in general*.) I do admit prices are getting interesting though. When offers of 1 bed apartments in striking distance of Disney come through at £25k you can’t help but take interest!
*It only takes another bank or two to bite the dust and confidence and prices will go south. I think that confidence will go a lot further south before it heads north – but I don’t have a crystal ball.
Agree with you that things can be slightly weighted in the tenants favour in Germany, but thats why its essential to get yourself a decent (local) management company to look after the property for you, instead of trying to run it yourself from the UK.
In regards to the US, you could well be right that the market there may drop further still, but if its good enough for Forbes to state that the US is now worth investing in, and stated that Orlando is the 3rd best city in the US for bargains, then that will always ignite interest in investors.
I must admit im slightly surprised that you havent mentioned Morocco
Im joking with you. I still believe that Saidia will be a cracking investment if Fadesa/LJDF/Oasis et al, ever pull their collective fingers out and get the resort sorted.
Thank you all for your feedback, I've enjoyed reading all the comments immensely. I will begin looking for other sites and once I have worked out how to PM you all will do so also!
Vonreisa I would be interested to get in touch with your friends regarding a small business venture.
The States has always interested me, I can only stay there for a maximum of 3 months at a time?
Will start doing some further research on your suggestions to date.
You are almost correct in terms of a visa to the US. You do get up to 90 days as part of the VWP (visa waiver program) that the US has in place with certain other countries. This means you dont need to apply for a visa to gain entry for up to 90 days.
With the US, you can stay for up to 6 months at a time on a B2 Visa, which is basically a retirement visa. You will have to prove that your main residence is outside the US, and that you have the means to look after yourself during your stay in the US. Not a formality to get one, but definitley possible.
Hi Soupie, Not heard from you for a while. Interesting reading as always. The renter protection in Germany has not posed me a single sleepless night. A good management company is a must. If you treat your renter right they will stay with you for many years. I see this as a major plus for owning rentals in Germany not as a negative. I have a mate involved in sales in FLorida. He has on his books a stunning waterside property (own dock, swimming pool etc etc etc) This time last year the prop would have sold for about $575k It is now on the market for around $270k ..... and he still has not had an enquiry for the prop. I do not think it has bottomed out just yet. Or, at least word has not spread afar that it has and people do not have the confidence in the market they are going to jump in even at that reduced price. I lived and worked in the states for about 5 years (being married to a colonial helped) Personally I would not wish to have to live and work there and my better half agrees. A marvellous place to go to play but to have to eke a living - not for the likes of me. Horses for courses though I guess.
Thanks Guys - I have a some rental properties in the Uk and certainly it is of benefit to keep them happy!
I think I will fly to Berlin in May/July to have a look at the market first hand - does anyone know some good people to see in Berlin?
Another question I have is on India, with the middle class in India becoming more affluent year on year, I thought there potentially could be lot of opportunity? I've heard you need to have a company set-up and run it as a tourism business but when it comes to selling their are hefty tax implications?
I notice Savills & Hamptons are advertising apartments for sale there around the £50k mark. I presume this is always a healthy sign there is potential growth there?
Hi Vonreisa and Rumpola. I haven’t invested in Germany, was just looking to highlight some of the things that others have raised on other threads. As you say, having a good agent working on your behalf mitigates for much of the risk.
Chromestic. It’s a while since I considered India. When I did consider it the main problem was repatriating funds – Indian Government would only allow you to repatriate the amount you had paid for the property. I don’t recall finding any loopholes other than to sell your property outside of India (funds don’t enter India, though that reduces your resale market and with it the price.) I'd be interested to hear if you find a way to repatriate most or all of the profits.
As Vonreisa has said, I cant seem to suss how to work the PM function.
In regards to Berlin property, I have found UAI developments (Richard in particular) to know what they are doing. They are a UK company that specialse in German property, and have people on the ground there.
Alternatively I have read some very good things about Saxony Properties on other threads/forums.
Google them and im sure you will be able to find contact details.
I haven't spoken to Terry Sands at Saxony Property Services for about a month now. He did let slip they were in the throes of an amalgamation with The Berlin Real Estate Centre which is run by an Anglo German by the name of Trevor Hudson. I've met Trevor a couple of times (a dynamo who is difficult to keep up with - he tires me out watching him)and he specializes as the web site says mainly in Berlin. I frequently call in at Saxony Properties offices in Redditch for a coffee and a chat. They handle most of my German requirements and they'll be delighted to hear they have people talking about them in good terms on the forums. Good hardworking little outfit and they deserve some recognition. There is no real romance to buying in Germany (though imho it is the most underrated tourist destination in Europe) Yes - I am biaised - I have a house near Meissen and that's where I'll rest my bones a few years from now. If you're looking for a retirement/holiday bolt hole it just doesn't get any better than Germany. As an out and out investment tool? - Well if you're thinking about get rich quick look elsewhere. However as a sensible, long term prospect which is about as safe a place to park your money as you'll find on this planet - it's streets ahead of most. (Here I'm not biaised - biais has no place when looking in cold, hard investment) terms. My heart rules my head about where I want to live and spend my leisure time. When it comes to money I play it safe and sure and strictly by the grey matter.
As Vonreisa has said, I cant seem to suss how to work the PM function.
In regards to Berlin property, I have found UAI developments (Richard in particular) to know what they are doing. They are a UK company that specialse in German property, and have people on the ground there.
Alternatively I have read some very good things about Saxony Properties on other threads/forums.
Google them and im sure you will be able to find contact details.
Not come across UAI developments yet but willing to learn about them - Where do I find them? Did a google search to no avail. Richard who? Might want to include them in my plans at some stage if they get good reviews and they check out. I can only concur on Saxony Property Services used them for about 18 months with no complaints whatsoever. Trevor from Berlin real estate centre has a superb commercial portfolio - a lot of which doesn't get as far as the website and he's either linked up with or about to with SPS. I'll call by their office toward the end of next week and get the lowdown from whoever's going to treat me to a coffee.
Im surprised you cant find UAI Developments on a google search, as I have just typed them in and they were the ones at the top. Are you going through google UK or Google Deutchland, as it will make a difference.
I dont want to start leaving peoples full names or telephone numbers on a public forum, but if you google them and find them, speak to Richard and tell him Jon mentioned it on a Forum, and he will be more than happy to look after you. This goes for anyone reading this too.
Rumpola, Thanks. You're right a de google search got them first time. Maybe they need to be alerted that a uk google only brings up a company wishing to sell domains! They do have a good web-site. I'll bring this to the attention of my partners and see what there is to be gained by talking to them - thanks again.
Originally posted by chromesmic: Thank you all for your feedback, I've enjoyed reading all the comments immensely. I will begin looking for other sites and once I have worked out how to PM you all will do so also!
Vonreisa I would be interested to get in touch with your friends regarding a small business venture.
Hi Vonreisa - i tired to email you at this address derbass at hotmail com but it came back wrong address?
Regards c
The States has always interested me, I can only stay there for a maximum of 3 months at a time?
Will start doing some further research on your suggestions to date.
Many Thanks
C
ref the PM - I forgot to warn you. I have been on this site for some time now and still haven't worked out how it's done. I know others here have been frustrated to distraction by the faciility which cannot be found also. Not a problem. derbass at hotmail should find me. Not sure what the policy is on making contact on here. on other sites it's encouraged. Guess the moderator will let me know soon enough if I've committed a sending off offence or not.
I guess you tried to .com it. Use .co.uk that'll get through. Incidentally the company I informed you of is in the early stages of working with an Indian agent. They are also moving into big ticket commercial and finance brokerage as they now have an expert with the relavent experience on their team. Mail me and I'll pass on the info. They are still looking to expand the team.
Hi people, Von I've E-mailed Manfred with a more detailed out line of my latest money making idea, I've told only you and Manfred now, please keep this idea to yourselves though as I've been given some feedback and it seems very possible, so it would be good to keep the opportunities bewteen us , at least until others figure it out for themselves. Otherwise we will not be finding any more cheap german properties anytime soon once people catch on to this idea.
Anyway I hope you and Manfred can make some money from it.
Originally posted by Vonreisa: If you're looking for a retirement/holiday bolt hole it just doesn't get any better than Germany.
Well, I'd question that on the "retirement" aspect for sure .
I would think hard before suggesting that life here in Germany is the best option for a retiree, particularly because of healthcare.
Germany's insurance-based model is a lot more costly than, say, Spain's (largely) free at point of service model for EU pensioners for example.
Anyone who has not (through past employment or marriage) got access to the local social system (which is itself not free) will pay several thousand Euros a year. And have to battle with the joys of perrsonal choice, form filling, chasing sums to be reimbursed etc.
Contrast that with, say, Spain where healthcare is largely free to EU pensioners.
The fairly harsh winter climate winter - particularly in much of the east / south of Germany - may also not suit those not used to it as they get older.
I am fairly new to this forum but have a suggestion regarding where to invest. Brazil! in particular BE Brazil. The country has one of the faster growing economies and is expected to be in the top 6 within 20-30 years according to the experts. The weather is great averaging 26-28 degrees all year, and some beach front land/properties can still be found at prices below anywhere else I have looked at. Also, building costs are about 75% cheaper than the UK. Another benefit is that you can stay for 6 months of the year.
More and more Europeans are buying/investing in N.E. Brazil but in general the costs are probably similar to Spain was 15-20 years ago.
