Maybe you’re frustrated by Australia’s high housing prices and thinking about joining the large wave of Australians investing in American real estate.
The idea is certainly appealing with the high value of the Australian dollar, the beaten up valuation of US residential property, the possibility of strong rental yields, the potential for strong future capital growth, and a strengthening American real estate market.
In fact, I’m one those investors who got involved in the US property market because some of the rock bottom prices of properties absolutely blew me away – plus I happen to love adventure and traveling. The US property market is a large and diverse one and there are certainly opportunities to be found. However, as with anything, there are risks.
A quick search online provides a long list of companies offering their expertise in the US market to Australian investors. Obviously, not all of them are trustworthy and without due diligence, you could easily get sucked in by scammers. The quality of the relationships you build will literally make or break your investment experience.
So how do you find a trustworthy and reliable resource to help you avoid the pitfalls and hurdles, and take away much of the hassle of investing overseas? How can you work out what’s fact and what’s fiction? Experts agree that research is needed to find a company with a proven track record that is run by people with extensive experience and expertise in buying American property.
That’s why I was excited to meet Salena Kulkarni. She has been a chartered accountant for over 15 years and I was very impressed with her genuineness, honesty, and transparency. She began investing in the US market herself in 2008, and during 2009 and 2010, Salena helped many Australians purchasing US real estate. Interactions with investors highlighted problems with US buyer advocates which led her to formulate Splash Property Groups. Her structured approach to investing led her to become a national speaker and a leading authority on US property investing in the current climate.
Unlike some US promoters who try to take advantage of Australian investors dazzled by cheap US prices, Splash Property Groups involves their clients in the decision process with a comprehensive consultation. “We want to make sure it’s going to be the right kind of investment for them, as well as whether we’re a good fit and can satisfy what they’re looking for,” Salena explained to me during an interview.
“We are very much about full transparency with our processes. We’re very clear about what we want to achieve from the buyer of the property. The consultation process for us is critical because it’s really important that we understand what the goals of the investor are.”
The great thing about Salena is she will introduce you to contacts she feels very good about to set up structures, but clients are not required to go with her recommendations. In addition, she has found a unique way for Australians, especially those who are asset rich, to finance their investment in US property. Read more about that in my next blog.
For those either intending to invest in the US or simply curious about this exciting way to invest your money, you can listen to my interview with Salena and become more informed about the risks, remedies, and rewards of such diversification. Click below to listen to each part of the interview.
If you would like to meet Salena’s team on the ground in Atlanta, and look at the area and properties for sale personally, then you have a small window of opportunity! John and I will be travelling there late in March 2013 and are offering a few people the opportunity to join us on a mini property tour. Click here to find out more.