How Good is US Property?
Planning to invest in a US property? Here are some things you need to know to ensure you get the most out of your planned investment in a US property:
A US investment property is very accessible
US property has become an appealing market recently due to its affordability. The low entry cost is the main reason; most specifically to several distressed markets/areas within the US.
It has a positive cash flow
US properties are positive cash flow, meaning that the rental returns are high and stable. As an example, you can have a US property rented for around $350 weekly, which is about the same in countries such as in Australia. However, a US property can have at least 10% rental return rate as it has much lower purchase price.
Capital growth potential
Though it needs some research and a considerable amount of legwork to understand the US market as well as certain areas that need to be focused on, such properties have a high potential for long term capital growth. This, in turn, can give you maximised rental return and can help build your equity in the long run.
Provides opportunity for diversity of investments
By investing in an offshore property like in the US would be a wiser strategy considering the potential of the properties in this country. By wisely choosing a strategic location within the US, one can have the benefit of paying lesser taxes as their holdings are spread across the different states.