Ahlan new guys here, interested in long term investment, first apartment in USA like anything ...
Ahlan new guys here, interested in long-term investment, first apartment in the United States
Like everything I go into, I spoke to dozens of offices, people, friends and acquaintances, and I wanted to hear some of your opinion.
Currently, after hundreds of hours of research, I focused on Cleveland and there is one thing I do not know, some brokers show me 15% returns after expenses (taxes, water, management and insurance big)
And they present transactions on paper (which my explanation really did exist) that back up when other firms claim that it is not possible to get a return on the transaction, and that this is one big hoax.
Can someone experience his opinion and put me in a realistic place in terms of purpose? Thanks
Link to the original post in the United States Real Estate Forum on Facebook - Works on a desktop computer (To view the post must be members approved for the forum):
https://www.facebook.com/1885945295012997/posts/2242523522688504
The original responses to the post can be read at the bottom of the current post page on the site or in the link to a post on Facebook and of course you are invited to join the discussion
Hey great,
I think before I was tempted to go captive after the return…
You first need to sit down with yourself and decide on:
What direction are you going?
- Do you like risk or not?
- Is yield more important to you than the demographic conditions of the place? Like crime, education, and more…
- What do you want to achieve in the coming years?
And only now are you ready to try and choose with a marketer to set out.
There are several important things in choosing a reseller:
- that you connect with him and feel that he will be there for you even in less pleasant situations.
- Get recommendations on it
After you answer yourself to all but, then you will have an investment direction.
Successfully !
It is perhaps worth distinguishing between IRR and yield on cost
These proposals are sometimes combined with a five-year plan that assumes an increase in the price of the asset each year and a profit in the sale, which causes the transaction on the cost to be 9%
The yield calculation for Rentels should be spread over a number of years, and in particular, there is only one asset at the time. Any surprise or eviction of a tenant reduces yield. From my experience in Cleveland of 3 years, if you buy a property that has been upgraded to Rantal well around 60k + and rent it between 950 and 1000 .. With a good Asset Manager then the return ranges from 9 to 12%.
In my opinion if you decide to invest through a company then do not choose by return. Go for recommendations, whoever is most transparent, reliable, communicates with customers…
I do not think there is one truth… We one year say we did 14% and a year later -10%…
I recommend you consult with Yaniv Yaniv Berliner as far as I can recall, he has a firm opinion on this matter.
First of all to say that you can not achieve a yield over x% is problematic.
It all depends on the purchase price (including all expenses associated with the purchase) and income less expenses incurred by the property and minus one-time expenses.
This is of course regardless of funding, since with the help of financing can be increased the return on capital (or reduced under discount and things do not work out: /)
Yield of around 10% in Ohio can be achieved, all depending on the parameters I mentioned.
Have a lot of success.
After 7 years in Cleveland - each case on its own and each home is a different story. Theoretically there are nice returns but life unfortunately does not fit the theory, and any small expense or tenant who leaves and earns a living that spoils the return significantly. If you have a good manager and a lot of luck you can handle. If not .. :-) Talk to me if you would like to hear more details about this strange city, the only place in the United States that has a Point of Sale that is a thorn in every investor's ass. for example.
Hi Adir Mizrachi Fun you're here with us! I'm sure your wonderful forum will help you decide.