3405 Chancellor Memphis 38118

4 bed 2 bath 200 square foot rented at $950 a month. FULLY rehabbed and already leased!!  Awesome location. Rent will increase in 12 months is under rented right now.

Email me to reserve it now!  team@turnkeypropertyinvestment.com

I have a real live Santa staying at my hotel who works for a large retailer here in Memphis.  He is a real beard and long hair version complete with an obvious love of food.

I had a fascinating talk with him this week after the tragic shooting here in the USA and his comments about the culture based on his experience were eye opening to say the least.

1. This Santa has to wear body armor as at least 2 out of ten children who come to see him will either punch or kick him. In fact he had a black eye at the time we talked.
2. Last year he had a child grab his beard and run away because he decided Santas beard was fake. The damage to Santas face was still visible a year later.
3. EIGHT OUT OF TEN children asked for Black Ops, Halo or a similar game that involved murdering and maiming people.

It was a fascinating time being here for the US elections.  If you aren’t American you have no idea how involved, passionate and well, frankly, bizarre the yanks are about their politicians.

I personally thought Obama would get back in purely because I could;t see America, which calls itself a Christian nation voting in a Mormon but it appears Romneys defeat is almost the end of the world.

Honestly if I showed you many of the tv shows here covering post election news you would think Armageddon had occurred, and we lost!

However the real news is:

What impact does the election have on US real estate investing?

Well firstly Obamas win means the nation was not as concerned about things as many thought so that is a good thing for market sentiment.

Secondly the uncertainty over who would win is now over, which is good.

Thirdly and surprisingly the markets, which one could argue are fundamentally Republican didn’t bat an eyelid. I was sure the dollar would tank post election and basically it was yawn city.

I think the biggest single thing we should take from the election as investors is that business as usual means a longer recession and recovery keeping prices down and yields up. And that is GREAT news.

Make no mistake the USA will have inflation coming, big time!

But as the current government was either too afraid or lacking insight to tackle the US problem this means n oohing is likely to change in the next little while.  We can expect more socialism, attacking the rich and trying to force the poor out of their mindset.  We know from 9 years of Helen in NZ that this will fail and it will keep house values down whilst the attacks on the rich and investors will cause rents to rise.

The other thing that is a major change here is hedge funds have suddenly realized that they can avoid the issues they helped create by going berserk with real estate notes and actually own the real estate. So for the first time in recent history real estate investment is going to be popular in America. And that should mean upward pressure on prices and rents as large professional organizations hit this market and “make it” perform.

There is still an enormous backlog of inventory owned by banks which will also keep prices subdued for a while. (What you read about most of the foreclosures being finished is nonsense, in Memphis anyway).

SUMMARY:

Real estate today in the USA is still depressed in value, yields are high and all the early indicators are showing some shoots of improvement. Obama’s return probably means a 2 to 3 year window of great buying instead of a much shorter window if things had changed in government.

Investing now means we maximize the currency benefits, pick up most/all the upside and get in position to enjoy inflation.

In other words NOW is the time to get in if you haven’t and you want at least 10 to 20 properties to really set yourself up here.

We are primarily buying to order for clients now and we are delivering super high grade stock at C class yields by being physically here to run deals down.

I don’t know exactly how long it will last but it is here RIGHT NOW.

Just one example of a recent purchase:

Northwind Dr Memphis 3300 square foot home

Purchase price $52,000

Value $100,000 plus ( next door property, much smaller, currently on market for $104,000)

Rent minimum $1000 probably closer to $1095

Net yield at minimum rent = 13%

At likely rent = 14% net return after all expenses

A typical wholesaler would sell this in the high 70′s to 80,000 range or retail it to a home owner for 100K plus.

But our client can own it for under 60K all in:

It was a fascinating time being here for the US elections.  If you aren’t American you have no idea how involved, passionate and well, frankly, bizarre the yanks are about their politicians.

I personally thought Obama would get back in purely because I could;t see America, which calls itself a Christian nation voting in a Mormon but it appears Romneys defeat is almost the end of the world.

Honestly if I showed you many of the tv shows here covering post election news you would think Armageddon had occurred, and we lost!

However the real news is:

What impact does the election have on US real estate investing?

Well firstly Obamas win means the nation was not as concerned about things as many thought so that is a good thing for market sentiment.

Secondly the uncertainty over who would win is now over, which is good.

Thirdly and surprisingly the markets, which one could argue are fundamentally Republican didn’t bat an eyelid. I was sure the dollar would tank post election and basically it was yawn city.

I think the biggest single thing we should take from the election as investors is that business as usual means a longer recession and recovery keeping prices down and yields up. And that is GREAT news.

Make no mistake the USA will have inflation coming, big time!

But as the current government was either too afraid or lacking insight to tackle the US problem this means n oohing is likely to change in the next little while.  We can expect more socialism, attacking the rich and trying to force the poor out of their mindset.  We know from 9 years of Helen in NZ that this will fail and it will keep house values down whilst the attacks on the rich and investors will cause rents to rise.

The other thing that is a major change here is hedge funds have suddenly realized that they can avoid the issues they helped create by going berserk with real estate notes and actually own the real estate. So for the first time in recent history real estate investment is going to be popular in America. And that should mean upward pressure on prices and rents as large professional organizations hit this market and “make it” perform.

There is still an enormous backlog of inventory owned by banks which will also keep prices subdued for a while. (What you read about most of the foreclosures being finished is nonsense, in Memphis anyway).

SUMMARY:

Real estate today in the USA is still depressed in value, yields are high and all the early indicators are showing some shoots of improvement. Obama’s return probably means a 2 to 3 year window of great buying instead of a much shorter window if things had changed in government.

Investing now means we maximize the currency benefits, pick up most/all the upside and get in position to enjoy inflation.

In other words NOW is the time to get in if you haven’t and you want at least 10 to 20 properties to really set yourself up here.

We are primarily buying to order for clients now and we are delivering super high grade stock at C class yields by being physically here to run deals down.

I don’t know exactly how long it will last but it is here RIGHT NOW.

Just one example of a recent purchase:

Northwind Dr Memphis 3300 square foot home

Purchase price $52,000

Value $100,000 plus ( next door property, much smaller, currently on market for $104,000)

Rent minimum $1000 probably closer to $1095

Net yield at minimum rent = 13%

At likely rent = 14% net return after all expenses

A typical wholesaler would sell this in the high 70′s to 80,000 range or retail it to a home owner for 100K plus.

But our client can own it for under 60K all in: