I am starting out new and I am interested in acquiring agriculture land with investors money in few countries. I have advantage of knowing area, country and certain restrictions which would not let everybody acquire these lands.
Given it would be buy and hold strategy and long term investment. How likely would it be possible for investor to get involved ?
I am stuck at " I have got a deal! " Now what ? mode.
What is the best way to get people to invest in an international property ? What are the things they would be looking ? What is the maximum time one would be willing to invest without return.
What would be good way to structure deal and if there are any equity backed crowdfunding platform where one can advertise such deals?
@Devika Shah, best of luck to you. There currently are no true buy-and-hold crowdfunding marketplaces (although there are a few, such as Home Union, that are trying to do something close to this model). Also, most specialize in US real estate, so they don't offer agricultural investments. Your best bet might be to look for an overseas crowdfunding marketplace (which I am not as familiar as, as the US marketplaces).
@Ian Ippolito Thanks for your reply and appreciated link to your website.
Most of the Crowdfunding Platforms I had find they do not let other people put their deals on. They seem to have their own ones they ask Investors to invest in. I would look at your website and list as well more thoroughly and look forward to your review.
Would US Investors be interested to invest in foreign land ? As sometimes I find UK Investors to be risk averse unless they are savvy ( sometime are difficult to find). What would make somebody in US invest somewhere else?
OR even in US itself?
What would be longest they would be willing to hold without return or what sort of return they would be looking at?
I am still grasping how crowdfunding or general deal making works as well so do people create company and then just invest in a property. Is that correct ? Get equity or shares?
How does initial entrepreneur than claim for his share of profits ? Would it work like any startup where Company Founder would have maximum percentage ?
Is it own by one person only but investor still get returns?
@Devika Shah, a few of the crowdfunding sites take only their own deals, but in general the sponsors are third parties and not the crowdfunding sites themselves. However, they don't just simply let you post a deal. If you are investment goes bad, it looks bad on them. So they will vet your investment and if they approve it, then you can post it on their site. They usually will charge you points or some sort of fee for this. The amount depends on the marketplace.
However, few US marketplaces are willing to do non-US deals. Real estate is risky enough when you live in the country, but not in the specific area. It becomes even more risky when it's an investment in a foreign country, and a lot more that can go wrong. So your best bet is to find a non-US marketplace, and preferably one local to your area.
If you contact potential marketplaces, they will explain how their acceptance process works, and then what happens afterwards. Some of the investments are very short and can be less than the year. Others may span seven years or more. It all depends.
Yes, I agree this sort of opportunity isn't for everyone but I enjoy knowing about US Market and what things are happening.
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