Sales of US homes rose for the third consecutive month in June 09, suggesting that Property investors are flocking back to pick fruitful deals as the US property clock has wound prices back to the same levels as in 2003, according to financial researchers Standard and Poor‘s.
´â€˜The US Housing marketing is bottoming out and now really is the time to invest. We have come across some super bank owned properties, which yield as much as 25 % rental on a three bedroom house that can be picked up for under £25,000, in Detroit which include costs of property Aquistion, all legal costs, property refurbishment and placing of a tenant.
Prices, are staring to rise due the massive amount of overseas investment. Last month over 2,800 properties sold in Detroit mainly to overseas investors “The June sales number appeared to confirm the stabilisation, down a mere 0.2% from a year earlier. ´â€˜Prices also showed signs of stabilising.
The average price of existing home sales was 181,600 in June, 15% lower than a year ago but up from 174,700 in May according to NAR ´â€˜. said James O‘Brien Chairman of the London property investment firm Belgrave Group “I think there‘s going to be the best opportunity to make money in the last 20 years in real estate in the US.
“ Now that the meltdown has happened, the new emerging market is the United States,” Tom Shapiro, president of real estate investment firm GoldenTree InSite Partners, said at the Reuters Global Real Estate Summit in New York.
The company are looking to sink up to $1 billion in to property, and are ready to return to the US market and take advantage of the rock bottom prices. Alex Walia Managing Director of the London based Belgrave Group said “ Areas like Detroit have fallen by as much as 60 % making Detroit a very popular place to invest with overseas investors.
´ CNN recently voted Detroit as one of the top places to invest in the US, due to rock bottom prices and high rental yields. We recently sold one property to an investor which had sold in 2007 for $180,000.
A typical investment package we would offer would be for a round £24,500, with a tenant in place paying from $800 - £900 pm or higher in some cases. This investment will pay for itself in 4 years, making this a great income or pension.
A lot of our investors have previously held funds in high interest bank accounts. The bank interest has become so low they have come to us because of the high 25 % rental yields offering a huge return on investment.' Though with prices starting to rise and Obama keen to stop the Foreclosure market, these amazing bargains may not be around for much longer
Belgrave Group. Reg. No. 6889156. Registered in England. Registered Office: 26 York Street, London, W1U 6TZ, United Kingdom