Investing in Property Overseas

Maurice Lynn

Hi,

What's people's opinions on investing in overseas property at the moment?

Im in a position to buy and have been looking at turkey or uk, im quite happy with what im looking at but it seems as though nobody is buying and im thinking maybe im mad to be buying at the minute?

Would much appreciate some opinions please?

Regards
Maurice

portomar

Maurice Lynn wrote: »

Hi,

What's people's opinions on investing in overseas property at the moment?

Im in a position to buy and have been looking at turkey or uk, im quite happy with what im looking at but it seems as though nobody is buying and im thinking maybe im mad to be buying at the minute?

Would much appreciate some opinions please?

Regards
Maurice

imo: http://www.boards.ie/vbulletin/showthread.php?t=2055235820

it was just below where u posted. also, you any brother of michael lynn!!??

Maurice Lynn

Maurice Lynn wrote: »

Hi,

What's people's opinions on investing in overseas property at the moment?

Im in a position to buy and have been looking at turkey or uk, im quite happy with what im looking at but it seems as though nobody is buying and im thinking maybe im mad to be buying at the minute?

Would much appreciate some opinions please?

Regards
Maurice

This isnt the place to discuss overseas property, the people here dont have much knowledge on it, no offense intended portomar. askaboutmoney.com has about the only decent forum on investing overseas with some savy advisors and some good detail on specific locations.
There are always good areas to buy in when times are bad, it just takes a bit more research to find them, because everyone is trying so desparately to sell the markets that are on a downturn. Not many great places in europe at the moment, slovakia specifically bratislava is one id reccomend.

irish_bob

Maurice Lynn wrote: »

Hi,

What's people's opinions on investing in overseas property at the moment?

Im in a position to buy and have been looking at turkey or uk, im quite happy with what im looking at but it seems as though nobody is buying and im thinking maybe im mad to be buying at the minute?

Would much appreciate some opinions please?

Regards
Maurice

if i was you i would buy farmland in the uk

seriously , its gone up substantialy in the past 2 yrs but is still undervalued , remember , wheat growing is booming now so you could rent the land to a grower

dewsbury

...A little idea from somebody who has experience in property....

Okay, so Turkey looks attractive??

Try the following.

Place an advert in a Turkish (not Irish) property selling media (newspaper, website, estate agent). Try to rent your property for the sum you are lead to believe that you will get. Better still try to sell you property for 10% greater than you are buying it.

See what response you get.....

I presume that you don't speak Turkish but if you are going to commit to buying a property I am sure you can work out a way to get a translator.

redfan

i have 3 propertys in kusadassi . if you want info or advice i would gladly give you some....redfan

irish_bob

dewsbury wrote: »

...A little idea from somebody who has experience in property....

Okay, so Turkey looks attractive??

Try the following.

Place an advert in a Turkish (not Irish) property selling media (newspaper, website, estate agent). Try to rent your property for the sum you are lead to believe that you will get. Better still try to sell you property for 10% greater than you are buying it.

See what response you get.....

I presume that you don't speak Turkish but if you are going to commit to buying a property I am sure you can work out a way to get a translator.

why exactly is turkey attractive right now , is it the same deal as bulgaria was 3 yrs ago , most people now realise that no bulgarian will ever be able to afford to pay 70 k for a house

redfan

has anyone bought in usa? dollar is 1.51

ixus

redfan wrote: »

has anyone bought in usa? dollar is 1.51

No, I haven't, but you should look into Cleveland & Miami, plenty of supply there and I'm sure you could get more bang for your buck there.

irish_bob

the american property market is going from bad to worse

canada on the other hand is going through a property boom right now

niceirishfella

Germany?

i told reliably Berlin is good for imnvestmeent with Rental yields of 5 to 6%.
thoughts anyone?

BJJDUB

irish_bob wrote: »

the american property market is going from bad to worse

canada on the other hand is going through a property boom right now

Rhetorical Question: Do you buy when its low or when its high (boom)?

REDFAN: - I would be interested in hearing from you regarding Turkey. I have avoided Turkey for various reasons, but I would appreciate an experienced / educated opinion. In turn, I could offer you opinion of the USA (as per your post of 29 Feb).

IXUS: - In my opinion - There are areas of Cleveland which would be very risky to buy - I wouldn't go near it.

Miami is worth a look depending on what you want to achieve.

Dollar was just shy of 1.60 earlier in the week !

gordon_gekko

BJJDUB wrote: »

Rhetorical Question: Do you buy when its low or when its high (boom)?

REDFAN: - I would be interested in hearing from you regarding Turkey. I have avoided Turkey for various reasons, but I would appreciate an experienced / educated opinion. In turn, I could offer you opinion of the USA (as per your post of 29 Feb).

IXUS: - In my opinion - There are areas of Cleveland which would be very risky to buy - I wouldn't go near it.

Miami is worth a look depending on what you want to achieve.

Dollar was just shy of 1.60 earlier in the week !

the u.s property market i believe has further to fall , the economic outlook for the u.s is not at all bright for the next few years

canada on the other hands property boom is long over due and only about 4 yrs old , canada was 1 of only 3 western countries that missed out on a property boom from about the early nineties up untill about 4 yrs ago

the other 2 countries were japan and germany who were each in recession since the early nineties

canada has so much going for it now , its a big oil producer , we all know what price oil is
its a huge agricultural producer , wheat , barley , both those commodities are at an all time high
its probably the most politicially stable country on earth

property there is still relativly cheap

BJJDUB

gordon_gekko wrote: »

the u.s property market i believe has further to fall , the economic outlook for the u.s is not at all bright for the next few years

canada on the other hands property boom is long over due and only about 4 yrs old , canada was 1 of only 3 western countries that missed out on a property boom from about the early nineties up untill about 4 yrs ago

the other 2 countries were japan and germany who were each in recession since the early nineties

canada has so much going for it now , its a big oil producer , we all know what price oil is
its a huge agricultural producer , wheat , barley , both those commodities are at an all time high
its probably the most politicially stable country on earth

property there is still relativly cheap

I can't disagree with the Canada comments - I don't have sufficient knowledge in relation to Canada. I have some contacts in Toronto, who are developers - so I will make some inquiries.

Have you any thoughts on the cities or locations that could be worth looking at?

Re: The US - depending on where you are in the market (product etc., - not necessarily location), the market could well be near the bottom. Certainly, properties can be acquired in good locations at a price that is below build cost.

If a property can be acquired below build cost, if it can achieve a reasonable CAP rate and with the dollar in the 1.50s or better (i.e. possible currency play), I find that worthy of interest.

If we managed to buy at the bottom of the market and sell at the top - we would be genius. Anywhere in between, with a wide spread, suits me fine.

Also the US has just posted figures showing a surprise increase in sales last month (?). It apears that experienced buyers are all over some of the popular locations at the minute. As a result, while several months ago, you could pick and choose foreclosures, with many (even the good ones) staying on the market for considerable time without offer, the last few months have seen foreclosures (the good ones) going under contract as soon as they come to market. Smart Buying ? A temporary minor turnaround ? - who knows.

gordon_gekko

BJJDUB wrote: »

I can't disagree with the Canada comments - I don't have sufficient knowledge in relation to Canada. I have some contacts in Toronto, who are developers - so I will make some inquiries.

Have you any thoughts on the cities or locations that could be worth looking at?

Re: The US - depending on where you are in the market (product etc., - not necessarily location), the market could well be near the bottom. Certainly, properties can be acquired in good locations at a price that is below build cost.

If a property can be acquired below build cost, if it can achieve a reasonable CAP rate and with the dollar in the 1.50s or better (i.e. possible currency play), I find that worthy of interest.

If we managed to buy at the bottom of the market and sell at the top - we would be genius. Anywhere in between, with a wide spread, suits me fine.

Also the US has just posted figures showing a surprise increase in sales last month (?). It apears that experienced buyers are all over some of the popular locations at the minute. As a result, while several months ago, you could pick and choose foreclosures, with many (even the good ones) staying on the market for considerable time without offer, the last few months have seen foreclosures (the good ones) going under contract as soon as they come to market. Smart Buying ? A temporary minor turnaround ? - who knows.

perhaps look at it this way , if at worst you can afford to loose the money , id say go for it

BJJDUB

gordon_gekko wrote: »

perhaps look at it this way , if at worst you can afford to loose the money , id say go for it

No reward without risk !!!!

That said, I believe risks should be calculated risks, at the very least, based on firm knowledge of the past and present (and with the consideration of the various possible future) dynamics in the relevant market.

ixus

ixus wrote: »

No, I haven't, but you should look into Cleveland & Miami, plenty of supply there and I'm sure you could get more bang for your buck there.

Are you seriously recommending buying property in a location that was in the eye of the sub prime storm?
It so bad in Miami some properties are effectively worthless as some areas are blacklisted by the local banks. You will also be contending with a cheaper dollar as more money is pumped into their banking system to bail out their banks.

Another poster recommended Turkey which i feel is also a very poor choice.

Turkish banks have been sailing very close to the wind wind and the credit squeeze is hurting them and their currency and will continue to do so.

Personally I would stay away from property until this credit squeeze is played out especially in areas where banks have over extended themselves. Think about it, how could you expect good appreciation on a property when banks in these areas are cutting back on the cheap credit that will fuel price increases?

BigBus

Hi Maurice,
maybe the property market in uk shows a small potential in capital gain over the next years but personally I believe that, if you choose right, you can avail a good yield (as with student accomodation) and a lower risk than other markets. If I want high returns I would go for other type of investments but thats my opinion

Maurice Lynn wrote: »

Hi,

What's people's opinions on investing in overseas property at the moment?

Im in a position to buy and have been looking at turkey or uk, im quite happy with what im looking at but it seems as though nobody is buying and im thinking maybe im mad to be buying at the minute?

Would much appreciate some opinions please?

Regards
Maurice

Fiachra2

Another perspective on your query. (And not necessairily a correct one)

Consider buying in a stable economy like France. I bought on the riviera. Its not particularly cheap -unless you compare it to Ireland! But its a beautiful location and has been a tourist destination for centuries. It wont yield a short term cash bonanza but it will -I hope-give reasonable long term gain, a reasonable and steady rental yield and it is acessible so you can easily use it yourself. And the natives can afford to both rent and buy it.

I havent considered the US but I visit it quite often and If you are thinking I would reseach it very carefully and visit if you can before you buy. Many parts of florida -the location of choice-are quite frankly awful. Likewise Clevland is not noted for its picturesque scenery. There ar however many loctaions in coastal and mountainous areas where I have seen beautiful properties at very reasonable prices -and thats before the crash. Again I would suggest that you might pay a bit extra for the right location. (See todays Irish times about the Hamptons)

I have no doubt there are many flaws in this investment strategy but its relativly risk free which is worth considering if you cant afford to loose money.

NB was in London yesterday with two people who are tryinmg to sell apartements for a long time and watching the price go steadily down. I dont know anything about the UK market but on that information London doesnt appear to be a good idea.

Poirot

You need to do your research carefully before purchasing property in Ireland or abroad, now that the credit crunch is here and property prices are falling in many locations.
Don't bank on capital appreciation as a given - you may well be dissapointed if you do.
My advice is to focus on the yield of the property - net rental income Vs purchase price.
You should aim to get 10%+ if you are in it for investment purposes.
I have a number of German properties which yield 10% + and I aim to hold these for 10 years minimum.
If you are interested I have a rented commercial unit in Berlin that I am looking to sell (trading up) - the yield is almost 10.5% and there is potential for a rent increase in 2009. Price is 55K Euros.

It won't make you a millionaire, but it a solid investment yield, and you will undoubtably be able to ride the upswing in German property prices if you hold it for a number of years (meanwhile it is making you money as it is a cash positive investment).
Let me know if you're interested and I can forward you on the details.

Poirot.

irish_bob

Poirot wrote: »

You need to do your research carefully before purchasing property in Ireland or abroad, now that the credit crunch is here and property prices are falling in many locations.
Don't bank on capital appreciation as a given - you may well be dissapointed if you do.
My advice is to focus on the yield of the property - net rental income Vs purchase price.
You should aim to get 10%+ if you are in it for investment purposes.
I have a number of German properties which yield 10% + and I aim to hold these for 10 years minimum.
If you are interested I have a rented commercial unit in Berlin that I am looking to sell (trading up) - the yield is almost 10.5% and there is potential for a rent increase in 2009. Price is 55K Euros.

It won't make you a millionaire, but it a solid investment yield, and you will undoubtably be able to ride the upswing in German property prices if you hold it for a number of years (meanwhile it is making you money as it is a cash positive investment).
Let me know if you're interested and I can forward you on the details.

Poirot.

10% plus yields only exist in the storys of real estate agents

pocketdooz

Poirot wrote: »

You need to do your research carefully before purchasing property in Ireland or abroad, now that the credit crunch is here and property prices are falling in many locations.
Don't bank on capital appreciation as a given - you may well be dissapointed if you do.
My advice is to focus on the yield of the property - net rental income Vs purchase price.
You should aim to get 10%+ if you are in it for investment purposes.
I have a number of German properties which yield 10% + and I aim to hold these for 10 years minimum.
If you are interested I have a rented commercial unit in Berlin that I am looking to sell (trading up) - the yield is almost 10.5% and there is potential for a rent increase in 2009. Price is 55K Euros.

It won't make you a millionaire, but it a solid investment yield, and you will undoubtably be able to ride the upswing in German property prices if you hold it for a number of years (meanwhile it is making you money as it is a cash positive investment).
Let me know if you're interested and I can forward you on the details.

Poirot.

Please send me the details and the numbers

ty

pocketdooz

irish_bob wrote: »

10% plus yields only exist in the storys of real estate agents

I get almost 10% on my place, so they do exist, but they generally involve putting down 15- 20% cash in the fist place.

Purchased in April 2005 btw

gordon_gekko

pocketdooz wrote: »

I get almost 10% on my place, so they do exist, but they generally involve putting down 15- 20% cash in the fist place.

Purchased in April 2005 btw

where do you get 10% plus yields

Jivin Turkey

pocketdooz wrote: »

I get almost 10% on my place, so they do exist, but they generally involve putting down 15- 20% cash in the fist place.

Purchased in April 2005 btw

But last month you were in the process of buying just your first place?

http://www.boards.ie/vbulletin/showpost.php?p=56673151&postcount=12

You owned commercial property before you bought a house for yourself?

pocketdooz

gordon_gekko wrote: »

where do you get 10% plus yields

Manhattan

pocketdooz

Jivin Turkey wrote: »

But last month you were in the process of buying just your first place?

http://www.boards.ie/vbulletin/showpost.php?p=56673151&postcount=12

You owned commercial property before you bought a house for yourself?

Not commercial - I don't think that was said - if I missed it I apologise but thought the OP was talking about a residential property?

Lived in NYC for 4 years before returning home last summer and bought there.

pocketdooz

redfan wrote: »

has anyone bought in usa? dollar is 1.51

You can buy a 2 bedroom apartment on Wall Street (75wall.com) for around €900,000 or a 1 bedroom apartment next to the new WTC for around €500,000.

Obviously these are not cheap properties, but the rental market down there is extremely strong, you will very rarely, if ever be without a tenant, there is huge long-term capital growth potential and if you believe in a long-term dollar recovery then you will be buying into that aswell.

There are plenty of mgt. co.'s in the area that don't charge a fee (they get paid one months rent by the tenant, not the renter - that's the way the market works over there). Stay away from Cleveland, Miami, Vegas, Orlando, Fort L, Scottsdale, Phoenix etc. - if you are looking concentrate on Boston / NYC / San Fran / Chicago etc. - these cities are geographically constricted so they cannot keep growing outward and outward, have v. strong corporate rental markets - they are not cheap but there is a reason for that.

Glittergirl

I live in the Middle East and I can tell you ... property in Dubai is getting stronger and stronger. A friend of mine purchased a 4 bed villa 1 year ago ... sold it the other day and made over Euro400,000 profit!!!

Abu Dhabi is also a very good area to purchase property for investment also.

If you want to buy an apartment for renting ... I would NOT recommend this as I think in about a year, the renting for apartments will become saturated ... howerver, buying a villa/house is a much better opportunity and the renting capability is much better.

Good Luck!

gordon_gekko

Glittergirl wrote: »

I live in the Middle East and I can tell you ... property in Dubai is getting stronger and stronger. A friend of mine purchased a 4 bed villa 1 year ago ... sold it the other day and made over Euro400,000 profit!!!

Abu Dhabi is also a very good area to purchase property for investment also.

If you want to buy an apartment for renting ... I would NOT recommend this as I think in about a year, the renting for apartments will become saturated ... howerver, buying a villa/house is a much better opportunity and the renting capability is much better.

Good Luck!

i own an appartment in sports city in dubai and ive been trying to sell it for a year now

there is a surplus of properties on the market in dubai , international developers simply threw up properties left right and centre , dubai is not good at the moment and has been completly over hyped , besides there is no appetite for property at the moment both in ireland and overseas

Glittergirl

Hi Gordon

Wow .. that's a shame. I was just looking on the internet yesterday at properties in sports city as we are interested in buying a "villa" and they are only selling apartments there.

Yes, I agree that apartments are not shifting that well, howerver, I still think it's a good idea to purchase a villa in Dubai? Howerver, they are gone off the charts .. price wise?

The cheapest you'll get in Jumeirah Park is about 5 million AED!!! Halloooo!

Anyway, good luck with the selling of your apartment.

FortalezaOwner

Bought property over in brazil few years ago, very good investment. anyone else buy in brazil