Phoenix Real Estate Market Forbes' "BEST BUY CITIES" For 2014
Local Market Monitor pulled data for the largest 100 metropolitan
statistical areas (a geographical designation used by the U.S. Census)
with populations of at least 575,000. From there, the choices were
ranked primarily on four factors: population, home prices, and the local
jobs economy. Each of our Best Buy Cities have high population and job
growth, relatively low home prices, and are still considered
under-valued.
Pop.: 4,364,094
Actual Home Price: $196,035
Equilibrium Home Price: $216,373
Difference: -9%
3-year Growth Forecast: 41%
http://ktar.com/22/1688054/PhoenixMesaScottsdale-real-estate-market-makes-Forbes-Best-Buy-Cities-for-2014
I disagree with the "under-valued" assessment, but what do I know. Back in 2010/2011 there was so much beautiful fear that it was palpable. I love it.
[quote user=Smitty]And then, what about due diligence, especially considering the recent "freeze"?
Will you really own that foreclosed home in the US?
As per the following:
http://www.stockhouse.com/Community-News/2...nal-catastrophe
Don't know if he is simply fear mongering, but some food for thought at least
That food wasn't very nourishing for my thoughts. Or my pocketbook.
[quote user=gwasser]I wish you all the success with your U.S. real estate investing. It is not for me. The complexities of U.S. immigration law and tax laws and local real estate laws require too much of my time to bother with.
The risk of ever increasing mortgage defaults and foreclosures pulling down real estate values even further is too high.
Many Canadian corporations thought that they were smart taking over U.S. business concerns. Most fell on their face. Robert Campeau comes to mind and so does Jean Coutu and many oil and gas companies. Too many to count. The U.S. is fiercely competitive and if things don't go in their favour, they are very good at making new laws to turn things to their advantage afterall. Look at the public outcry when some middle eastern countries were trying to buy some port facilities. Or look at when the Chinese were trying to buy Unocal.
Comparing my buying of Phoenix, AZ property to Robert Campeau, Jean Coutu, and Unocal. And people thought that I was crazy? Seriously?
[quote user=gwasser]Have you ever sold one of your U.S. properties and repatriated the proceeds? Just try and see how profitable it all is.
Why take all that sh...t (too many dots) when you are having one of the best real estate markets laying at your feet? Canada, in particular Alberta and Ontario (Canada's top 10 investment towns).
Why would I sell? Please let me know. Best real estate markets laying at my feet? My returns have destroyed the "best real estate markets" in Canada since that post. Over 20% gross margins and a doubling of price in 2 years. Let me know how Alberta and Ontario have done.
[quote user=ThomasBeyer]indeed .. more here on a possible US apocalypse:
http://myreinspace.com/search/rein_members_only/Coffee_Shop/106-17948-91363-Socialists_wrestle_with_tea_party__the_US_Saga_.html#91363 .. as even if the US pulls through there $ will be worth a lot less and their taxes will be higher .. yielding FAR LOWER cash on cash returns after taxes than a similar Canadian investment !!
When I was buying the CAD and USD was at parity. Let me know when my cash on cash returns will be FAR LOWER. I'm still waiting. They still seem pretty good right now.
[quote user=ThomasBeyer]
The only things that works right now IMHO is
a) buy houses in pretty areas with cash .. and sell them immediately, or
b) buy multi-family assets with low mortgages with supreme cash-flow for a long term (10+ year) hold !
c) buy houses/condos in pretty areas with cash... and profit for a long time.
[quote user=DonCampbell]I like to look at all of the items on the
NEW Property Goldmine Scorecard, that way I can see market conditions 18 - 24 months in advance.
Then, when the target city is outside of Canada (for Canadians), we then look at:
1. Health of the Federal Gov't
(UK/US/Spain) and what they will have to do to rectify their financial
situation (i.e. tax foreign owners more than voters, add surtaxes on
land etc)
2. Health of the local state/council/municipality as this will help determine who will be moving into the area.
3. Tax and liability laws that pertain to Canadians buying in these
areas and what strategies are required to minimize the risk (i.e. NOT
buying in a corporation across the US/UK borders)
4. Whether the NET NET NET return
on my Canadian dollar investment (the bit that comes to me to spend
after taxes/fees/levies/income taxes) is better home or abroad and will
this momentum continue or is it a short term blip.
5. What is my currency risk.
6. What are my financing options. Does a higher down payment off-set
the perceived return? In other words, where will MY portion of the
money work hardest and gain its highest return.
That's how I look at it because we can always find media headline stories to support our positions (pro or con). I want facts.
I started buying real estate in the U.S. in Jan 2010 and my returns seem satisfactory, but I never used the NEW Property Goldmine Scorecard. Out of curiosity, what did the NEW Property Goldmine Scorecard say about U.S. real estate market conditions 18-24 months prior? I'm always looking for new resources to help me make more money. Thanks.
I'll just give my perspective on the aforementioned 6 points based on my experiences. Other investor's experiences may differ:
1. Fine and Nothing.
2. Fine.
3. Hire accountant.
4. NET NET NET is fantastic.
5. None.
6. Not applicable to me since I don't use financing. My priority is to minimize downside.