Interest from investment funds in Florida real estate has grown considerably in recent months, indicating the market there has healthy returns to offer, if not now at least in the future.
Article written by The Overseas Guides Company
One of the USA’s largest private equity firms, the Blackstone Group, said in September it intends to buy as many as 15,000 homes in the Tampa Bay area, an investment worth around $1-billion.
Significantly, the Blackstone Group is looking to tap into the high rental yields available from single family homes there, particularly those where the tenant is the ex-owner of a foreclosures or short sale, rather than buying purely to benefit from capital appreciation. Realisitic yields for long lets can be 9-10 per cent.
Realtors in Florida report an increasing scarcity of good buy-to-let single family homes, but below is one being promoted by realty brokerage Iris International. A three-bedroom, two-bathroom property, built in 2005 but renovated in 2011, it’s on the market for just $76,000 and comes tenanted. The property, which has a large fenced back garden, is in a popular rental area, within walking distance of two schools. The projected return on investment from this property as a long let is 9.4 per cent, producing an annual profit of $7,296.
“You may have already heard that billions of dollars are being invested into the central Florida property market by huge funds from around the world,” said Reeve Leventhal of Iris International. “This home is exactly what they are buying, so act fast as this may be your last chance.”
Anyone on the verge of buying a property in Florida, or anywhere in the USA, who will need to transfer Sterling to a dollar account to pay for their purchase should use a currency exchange specialist to guarantee a favourable exchange rate. For more information, visit the Currency Zone or download Smart Curreny Exchange’s free report here [http://www.smartcurrencyexchange.com/freereport1.aspx].
To understand the full step-by-step process to buying a property in America, collect The Overseas Guides Company’s ‘USA Property Buying Guide’
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