Los Angeles, CA · Member since 2013 · 66 posts · 18 votes
Hi everyone,
I'm encouraged by the wealth of knowledge that people on this site are sharing with each other. Seems like a great community!
As a first time investor I'm looking to acquire my first property in the coming months and am eager to connect with active investors. I'm also excited to continue my education by following some of the discussions taking place here.
Originally from Australia, I currently reside in Vancouver, BC, and am looking at opportunities in the US particularly in Houston, San Antonio, Atlanta and Indianapolis.
I'm also very keen to find a credible real estate attorney in Vancouver, BC, with experience in cross-boarder investing.
Investor · Wichita Falls, TX · Member since 2010 · 3k+ posts · 603 votes
12y
Welcome to BiggerPockets @Greg Rulfs, glad to have you aboard!
It's great to see an eager investor like yourself gravitating to great information and great people, you'll be glad you did! I own a duplex in Indianapolis if you have any basic questions about the area. I'm not a local though!
You might want to connect with @Roy N. , he's a sharp guy from Canada.
Turn key provider · San Jose, CA · Member since 2010 · 4k+ posts · 3k+ votes
12y
@Greg Rulfs Welcome to BP. As @Mehran K. has said, you'll find some great people and great info on here. If you're looking for cash flow, it's good that you're looking in Indianapolis. It's a great market. You might want to add Kansas City to your list also. I know the Indianapolis, Kansas City and Atlanta markets very well. Feel free to contact me if you'd like info on them. I talked about Indianapolis on my weekly radio show just last Saturday. I can send you a link to it if you'd like.
Looking to invest somewhere other than Vancouver is probably wise at this time. There are very few places on the continent that rival Vancouver for real estate prices these days ... it's the apex of silly.
There are a few places in Canada where you can still make a reasonable return, but those deals are becoming scarce. Even here in the Maritimes things are pretty fully priced ... unless your looking in a troubled community.
However, if your going to be a "come from away" investor, you might as well look south of the 49th. This is where BP will be invaluable as you will be able to network and find investors local to the areas that interest you - local knowledge is essential to ensure you do not purchase property in the wrong area; that you understand the local climate, demographics, economy as they all factor into your investment.
Real Estate Coach · Venice Beach, CA · Member since 2012 · 6k+ posts · 3k+ votes
12y
Welcome to BP! You've picked some great markets to look in. Of those, I'd recommend Houston first, then Indy, then Atlanta. Atlanta is very doable but can be pain in the neck. Houston is really easy for sure. San Antonio, not sure how the inventory and numbers are doing over there.
Just be sure you have your entity and tax structuring in place properly before you buy anything. Have an expert help you with that. Otherwise you could be looking at some nasty tax consequences. Easy set up, just have to make sure it's done right.
Investor · Ojochal, Costa Rica · Member since 2013 · 287 posts · 164 votes
12y
@Greg Rulfs Welcome to BP. There's so much good information and good advice here that you will never regret being a member. I am also from the Vancouver area and invest mostly in the Cleveland and Akron, Ohio markets, but my business partner works out of Atlanta, and I have some experience with the Houston and Las Vegas markets as well. Let me know if you want to get together over coffee some time and we can talk RE.
Los Angeles, CA · Member since 2013 · 66 posts · 18 votes
12y
@Ali Boone thanks for the info. I've heard of deals in Houston that make cash buys a very viable option. Being an easy market, it is appealing for a first timer to make a purchase in.
@Marc Ramsay Great to see someone else from Vancouver. It would be great to catch up sometime!
Real Estate Coach · Venice Beach, CA · Member since 2012 · 6k+ posts · 3k+ votes
12y
Agreed, Greg. There are lots of other markets in addition to Houston, but Houston is a great place to start. As a Canadian, you will be forced into a cash buy no matter where you are because you won't qualify for US mortgages. But there are some private lenders out there who will lend to Canadians too.
Los Angeles, CA · Member since 2013 · 66 posts · 18 votes
12y
@Ali Boone So I've been told! Canadian private financing and equity lines of credit are also options. I will likely be looking at a line of credit until I can build a good track record.
Houston, San Antonio, Atlanta and Indianapolis are great markets to look at; in fact those are some of the most popular markets our clients buy in -- including Canadians. The rent-to-value ratios are favorable and cash-flows are attractive -- even with "all cash" purchases.
There are a few private money lenders that offer 50% LTV loans, but you're best off checking with RBC or your personal bank to see if they can finance your U.S. real estate for you.
Los Angeles, CA · Member since 2013 · 66 posts · 18 votes
12y
@Marco Santarelli great to meet you! I've got a meeting with TD this week to talk about options. They are in the US, but mostly operate out east. Have you had any experience with them?
Specialist · Orange County, CA · Member since 2008 · 2k+ posts · 623 votes
12y
@Greg Rulfs: I used to bank with RBC. (I never liked TD)
We had a client that got a mortgage for their U.S. property from RBC. He went to their main branch and spoke to someone handling international financing. The local branch probably wont have a clue about foreign mortgage loans.
I would check with RBC as well, and ask for international banking, etc.
We bank with TD (both my companies) and have had success getting business loans for U.S. projects.
We have gone through the preliminary steps of securing financing for property purchases in the U.S.A, but in the end concluded it would be cheaper to use our Canadian operating line of credit (3.5%) then a mortgage or LoC from TDs US subsidiary (5.x%).
Specialist · Orange County, CA · Member since 2008 · 2k+ posts · 623 votes
12y
@Roy N.: Wise move with your LOC. The disadvantage with the LOC is the short(er) term or amortization period. However, the disadvantage with any private mortgage financing is the higher rate ranging from 8% to 12% (although the loans are only 50% LTV leaving you smaller debt service payments.)
Investor · Ojochal, Costa Rica · Member since 2013 · 287 posts · 164 votes
12y
It was great meeting up with @Greg Rulfs and @Penny I. today for coffee. This is what Bigger Pockets is all about. Meeting good people and learning from those with experience.