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DreamWeaver

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Posts posted by DreamWeaver

  1. You should not forget BUlgaria too. :lol:

    Anyway, MRI sells the worst deals in CV. But it seems you are already accostumed to doing business with them.

    Ya. . .unfortunately I didn't . . .I have two apts in Bansko from MRI.

    But as of yesterday, they swear blind that I will get a 5 to 6% yield. Will know soon enough (June).

    So, who are the guys to deal with for CV?

  2. MESSAGE TO RORYPOPS

    I cant login to the other site even though I joined some time ago. Therefore I cant see your email address that you posted!

    There is no 'contact' facility which is pretty frustrating so I have had no way of advising the mods. This has always been the case so Ive just had to live with problems.

    Just to save a lot of tooing and froing Ill explain the history; When I registered a few months back the dumb software would then only let me post as a guest! Others also experienced this problem.

    Now I can intermittenly log on as a guest. For the last few days the guest facility has not been available to me for some reason.

    I try to re - register but I am informed I cant as 'this email is already in use' grrrrrrrrrrrrrrrrr

    There ought to be a facility on all forums where you can quickly and easily 'start again' but software engineers dont seem to have recognised this need - typical.

    Hey, guys, my apt in Marina Smir that I bought for 257,000 euros in May is now worth over 300,000 euros according to MRI .... an almost identical one sold for that a week ago.

    Well, I sure ain't complaining about Morocco! I'm gonna hold and rent the place on completion. I expect it will appreciate a whole lot more over the next year or so. And I expect it will bring in a tidy rental incomne too.

    If I do ever sell, it will be to buy a house here in Ireland .... after prices return to something reasonable. Residental rental yields here in Galway are only about 1.5% net . . . this is nuts!

    By the way, I also bought a berth in the marina there. Does anybody know how I might go about renting the thing out . . . I don't have a yacht. Yet!

    I's off to Cape Verde with MRI on Friday week to buy an apt there. And off to Portegual at XMAS to buy in the Algarve. Would appreciate any comments.

    Hey Dogbox, I can't message you directly. Can you email me at [email protected] I'd like to run some stuff by you.

  3. Log Ive listed em time and time again on this and my original threads. If you dont know what they are I give - up, you win.

    Like you say Ive got it all wrong and I dont understand relative value.

    BTW have you even troubled yourself to visit the developers website?

    http://www.lejardindefleur.com B)

    Jeez, wish you guys would stop da cat fight. I bought a beachfront penthouse in Marina Smir not that far from Saida for 257k euros (plus 15k for furniture in 18 months) and also a berth there for 37k euros. I'm very very happy with it and my biggest problem is trying to find another regoin as exciting as Morocco. I'm convinces that the rental return will be 10% or better and that I will see huge capital appreciation over the next few years. Ryanair have anounced several new routes ointo Morocco and I figure they know what they are doing. Also, has anybody read this week's Newsweek article on Morocco .... WOW .... they are as bullish as I am about the place!

  4. " Im Issuing A Challenge, Show me a better investment than Saidia Morocco?"

    Sania Plage, Marina Smir. Because its an established area with rich Moroccan tourists paying a fortune to rent in July and August ... I've seen rental contracts of MRI employees. Its also closer to Gibralter. and the proposed new tunnel

    Saida is unknown. It should work and I think it will, the facilities are very impressive and the king's reputation is on the line, but there are no guarantees.

  5. Thanks Sold. Just made an offer on a second block in Berlin, hoping they accept (after refusing a previous offer at the asking price). After doing more research in Leipzig, I'm finding it a much riskier market than Berlin. Prices of renovated blocks in top areas are as expensive as Berlin. While most properties are much cheaper, these are almost always in less popular locations and, most importantly, unrenovated. After speaking to local agents, it becomes clear chances of letting properties that are not fully renovated are about zero - which is why most unrenovated blocks in Berlin are sold tenanted while all Leipzig ones are vacant. It's all fine buying cheaply, but to renovate a block one needs to count with 500-800 euro/m2 (ok, 500 is typically enough for rental purposes), so at least a 500k cash investment before being able to maybe find a tenant. The bad part is, unless in top locations, even renovated flats in Leipzig are not easy to let. And, since german banks won't touch vacant blocks and renovations, Leipzig's appeal for me is much lower than Berlin. In the same manner I was struck by the prices in cities like Gera... nice big town, and blocks of 10-20 flats being sold (mostly at auctions) at 5-10k euro. But, unless you renovate, they will probably fall apart in years time... and chances of letting are just not there, whether renovated or not. So much for buying cheap property.

    Did I understand you right ... a block of 10 flats for 5000 euros? Wow, I'd just buy it and sit on it ... unless there are rates or some other recurring costs to pay?

  6. A commercial space, divided into two separate units, both occupied with long term leases (until 2017) is offered for sale by the owner (me).

    The object is in a very close proximity to "Schloss Charlottenburg" (or Charlottenburg palace) in one of the better neighborhoods of west Berlin and is facing a subway station (i.e. lots of traffic).

    The 2 tenants are a bakery/newspaper shop and a lunch-room/snackbar (or "imbiss" in German).

    Total space for both units 272 m2 (including separate storage areas for both units, WC's, etc.).

    Net annual income (for both units): €16800.

    Both tenants have a 5% compound raise in their rental contracts beginning end 2007, reaching an annual net income of € 27365 in 2017 (a 63% rise in 10 years)!

    The German tax rules allow the sale of properties owned more than 10 years without being subject to capital gains tax (i.e. tax free!).

    The above also means that because the price of an investment property is determined mostly by the income it generates, one could sell the property after 10 years with a substantial appreciation and without paying Capital Gains Tax at all!

    The property is offered at € 239,900 or 7% annual net yield.

    By 2017 annual net income will reflect 11.4% net yield (this without taking any capital appreciation into account)!

    This property is offered directly from the owner, saving you the costs of a real-estate agent.

    Typical purchase costs would be around 5% (3.50% property transfer tax and around 1.50% notary’s fees), both paid by the buyer.

    Typical real-estate agent's fees in Germany are 6% (plus 16% VAT) and one is free, off course, to appoint one to assist him/her with the purchase of the property.

    The whole building (27 apartments and one more commercial space besides mine) is regularly run very efficiently by a management company (as is obliged by the German law). One could appoint the same management company (or other) to look after the daily administration and rental payments of the two tenants. This should cost around €50 a month and will save you the trouble of dealing with the daily administartion, small nuisances and/or tenanats being late with their monthly rental payments as well as skipping the language barrier.

    For more details, please send me a PM or if of interest to all, you are welcome to post a messaage on this thread.

    Cheers,

    David

    Very very interesting. Unfortunately I've recently bought about 600k foreign property (mostly Morocco) and am kinda skint. If I could find these kinds of yields for a property costing say 100k euros, I'd jump at it.

  7. Ive done Morocco and Berlin recently.

    Bulgaria doesnt do it for me. In terms of central Europe Slovenia seems good. It has a large middle class, lots of physical attributes, winter and summer rentals and seemingly not too much corruption. The population density is ok too.

    Im also looking at North Wales commercial property.

    Estonia is also on my scope (I was buying a farm but I withdrew) but location is much more important than is usual as the population density if 5 x less than Denmark so much of the land is worthless. Am considering a beach front appartment off - plan just outside Tallin for £60000, but rental ease is a concern.

    A key issue that has taken shape in my mind is RENTAL FEASIBILITY. Its all very well buying an appartment in Budapest / Krakow et al but what if the tenant doesnt pay? Language and trust considerations then come to the fore when dealing with foreign letting agents.

    One thing I always do is talk to lots of agents rather than relying on 1. Amazing what you distill by talking to 10 agents on one development.

    Thanks Dogbox. I'm looking at Cape Verde but feel its too late. Way too late. Germany looks better I think. Do you guys know of another Cape Verde which is 3 years behind so that we can get in at the bottom?

    Hey, what do you guys thing of Shanghai? Guaranteed 7% rents for 5 years on UKP 100K apartments in Pudong. Need 44k cash to make it work. Hmm?

    Jeez guys, if we could get high rents, we could leverage big time and make a fortune. Unless, of course, the rents dont materialize in which case we are seriously screwed.

    Another one I thoroughly investigated was high rental yielding multi family housing in New York state. Yields of 50% and higher. There was mention of them in another thread somewhere but no comments in nearly a year. I followed these up and finally selected a property yielding 47% gross in Rockford, low crime area of city, looks in good nick etc. So I rang the estate agent and guess what he told me? DONT DO IT! He says it may be possible to make it work but I'd need to be there on the ground, and be prepared to spend much of my time in courts trying to evict tenants for failing to pay rent. real shame. Because if you feed 47% yield into da spreadsheet, it kinda goes WOW and you fall off your chair.

  8. Hi guys,

    I am very bullish about Morocco and bought a 153 m2 penthouse frontline beach appartment in Sania Plage for Euro 257k last May. Its half way between Marina Smir and Maiina Kabilla on the med. I got so fired up when I visited that my girlfriend bought an appartment on the spot. And then I went and bought a 12 meter berth at Marina Smir for about Euro 37k .

    The guys selling were MacAnthony Realty International (MRI). Their guys on the ground showed me their rental contracts ... rents go insane for July and August, even in appartments nowhere near the beach. Its wealthy Moroccans that rent here and its an established rental market. This might somewhat mininimize risk of terrorist attack, and also minimize the effect on rent if such a thing were to happen.

    All good so far.

    But MRI also sold me two appartments in Bansko in May even though I told them I will need rental income to fund them. They must have known then that there was a serious risk of over supply. They told be Bulgaria was the next best investment opertunity after Morocco. Makes me wonder about these guys.

    Anyway, I'd be very keen to hear comments on my purchase(s).

    And, where next? Berlin?

    Hi guys,

    I am very bullish about Morocco and bought a 153 m2 penthouse frontline beach appartment in Sania Plage for Euro 257k last May. Its half way between Marina Smir and Maiina Kabilla on the med. I got so fired up when I visited that my girlfriend bought an appartment on the spot. And then I went and bought a 12 meter berth at Marina Smir for about Euro 37k .

    The guys selling were MacAnthony Realty International (MRI). Their guys on the ground showed me their rental contracts ... rents go insane for July and August, even in appartments nowhere near the beach. Its wealthy Moroccans that rent here and its an established rental market. This might somewhat mininimize risk of terrorist attack, and also minimize the effect on rent if such a thing were to happen.

    All good so far.

    But MRI also sold me two appartments in Bansko in May even though I told them I will need rental income to fund them. They must have known then that there was a serious risk of over supply. They told be Bulgaria was the next best investment opertunity after Morocco. Makes me wonder about these guys.

    Anyway, I'd be very keen to hear comments on my purchase(s).

    And, where next? Berlin?

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