Mate it is so obvious that you're just trying to sell your book Japan Foreclosed Property.Enlighten me. What's the scam?
Might I suggest your cynicism is a reflection of the fact that:
1. You fear to tread where others take steps
2. You fear the responsibility to make judgements where others recognise the value of doing so.
But, in your defense, it is cute how one guy says if he defends himself he is full of it, and then others pick at him for not answering.
An exit strategy in this economy is the greater fool theory.
Shouganai is not a scam artist. He wrote a book because that is what intelligent people do. There IS so much money in foreclosed property. And next time mate, instead of knocking others, THINK before you post. You are OBVIOUSLY an unintelligent Dope. So F off.Mate it is so obvious that you're just trying to sell your book Japan Foreclosed Property.
One question for you, If there is so much money in Foreclosed property in Japan (which there isn't) why are you trying to sell ebooks for $US19.95? You are a scam artist. Go back to selling 2nd hand cars mate.
In other words, you don't have one. I didn't say you had to sell now !
So again, what is your exit strategy:??
In other words, you don't have one. I didn't say you had to sell now!
So again, what is your exit strategy?
You guys who keep bumping up this thread are proposing a very unsophisticated "investing" proposal. You seem to want suckers to believe another real estate bubble is on the horizon so its time to buy now. Just because it was successful in the past does not translate to success in the future. Such a claim is called survivor bias in the investing world. Just because it happened in the past does not mean it is going to happen again, especially with a shrinking population and a financial crises that showed how imperfect market fundamentalism is, so don't expect any structural reform in the neaf future.
If Tokyo wins its Olympic bid, there might be a temporary increase in value in some properties, but Goldman Sachs has already scooped up the most promising properties. Other investors should be very careful.
Yeah exit strategy doesn't look so good.
If people took responsibility over their own lives and pension funds they wouldn't be whining when they don't have enough money..(read "Rich Dad Poor Dad")
Both in parts of Sydney and parts of Japan there are opportunities but you do need to research carefully.
Leased land is not very common and i am a traditional westerner, i like my land.
It's a discussion board.Why are you guys (or maybe all of you guys are just one guy) are so adamant about promoting real investing in Japan?
No argument here.I would laud you for trying to support the flagging real estate industry in Japan, but I feel you have more self-interested motives.
The problem is I was looking for a more advanced discussion. Warning people of the problems first? Guess what, I am not here to sell anything and if others do not want to buy, good for them. Their choice and your choice. To add, I think the majority of people here need more help with answering "How can I go to Japan after I graduate high school."You rave about upside potential and gloss over any difficulties. Actually, anyone who really knew anything about the market and were honest, would warn people of the problems first, then talk about possible upside potential.
Yes they do. The land is usually shoyuken freehold, but you get only a small portion depending on the number of apartments in the building. Leasing happens, more often than the west which is why everyone seems to think this is how it is here.I disagree, if you were looking at what the same or two other posters were talking about, they were talking about buying apartments (not houses, which is the example you gave), which generally in Japan don't come with their own land.
12 million? No way, it would turn out much less after expenses.The example you gave is interesting, with a possible net income of some 12 million yen (of course, as you mentioned, there are taxes too and some other costs, as well as missed rents, but you may be able to raise the rent at some point too, by putting on a few coats of paint).
The idea was to be cash-flow positive from the get-go with friends ready to move in, not put money in.Of course that is assuming you don't need any of the money you put in for 22 years,
I'd agree that 22 years is a long time, but the buy in is only 1.5 million and can always sell during that time if a good price is offered, redevelop, etc.which to me is a fairly long time frame to make 12 million.
Better than schizophrenia. The other end of the spectrum, where we are all one.wouldn't need to sell ebooks.
Actually I am conveying that the yields on foreclosed property exceed 13% even before debt leverage, which is not too shabby when interest rates are so low, and often very little work needs to be done on properties. Based on these yields you don't need to worry about exit (but that issue was solely concerned with land leases) and 'turn arounds' when you will have recouped your equity in a few years (if leveraged). The outlook for Japanese property is good because yields are good...enough said. Any reform is a bonus. Present tense. I might add that not all of Japan has shrinking population. There is intra-regional migration.You seem to want suckers to believe another real estate bubble is on the horizon so its time to buy now. Just because it was successful in the past does not translate to success in the future. Such a claim is called survivor bias in the investing world. Just because it happened in the past does not mean it is going to happen again, especially with a shrinking population and a financial crises that showed how imperfect market fundamentalism is, so don't expect any structural reform in the neaf future.
If Tokyo wins its Olympic bid, there might be a temporary increase in value in some properties, but Goldman Sachs has already scooped up the most promising properties. Other investors should be very careful.
Well I hold gold stocks and Japanese property, so I'll give Aussie bonds a miss thanks.I was going to ignore your post, but since it's addressed to me, so I'll have to reply.
If anyone believes they can make a 13% ROI excluding leverage, go for it! Even the boys at Toyota or JR East would be interested in such a lucrative vehicle for their extra cash, not to mention the REIT pros. So if you can do it, dozo bozo.
P.S., you should have listened to me about opportunities in South Korea and Australian bonds.
12 million? No way, it would turn out much less after expenses.
Sorry that should have been gross income of 12 million, and yes with expenses it would be far less.
Actually I am conveying that the yields on foreclosed property exceed 13% even before debt leverage, which is not too shabby when interest rates are so low, and often very little work needs to be done on properties. Based on these yields you don't need to worry about exit (but that issue was solely concerned with land leases) and 'turn arounds' when you will have recouped your equity in a few years (if leveraged). The outlook for Japanese property is good because yields are good...enough said. Any reform is a bonus.
I believe you are talking about leased properties in your case, which is just some of the property on offer. Simply buy property you can rent out and property where you own the underlying land.shouganai posted said:Yes, the yields are okay, but as I mentioned earlier, how do you sell? The real estate agents I talked to didn't see it as possible. Of course I was looking at property in remote locations or property that hadn't gone through foreclosure (or had previously before the RE firm swept it up).
I believe you are talking about leased properties in your case, which is just some of the property on offer. Simply buy property you can rent out and property where you own the underlying land.
Shouganai posted
Apartments generally don't come with the land, unless you're buying up a building.
Sorry Base, my comment said that 12 million should have been gross income (still got dropped from my last post for some reason).