INTERNATIONAL PROPERTY INVESTING BASICS 3 –”STRATEGY AND TEAM” ZIV MAGEN
PUTTING IT ALL TOGETHER
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If you can get those numbers in managed or semi-managed condos, go for it. As a remote investor, the
least hassle the better. If you can remove almost all unexpected costs in one fell swoop and with one
monthly fee, as is normally the case with condos, that’s the way to go. In certain countries, however, that
may not be possible. Meaning, the returns projected by condos will not meet your criteria. Or, the
diminished growth potential inherent in condos will kill the deal for you. In those cases, go for the smallest
and newest possible structures in your criteria, on the largest possible amount of land (only within your
chosen areas, of course). Again, this is to minimize unknown maintenance and structure- related hassles.
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Don't forget to factor in finance costs and travel expenses on those first few deals. And, just to make sure
you don't quit your day job or forsake other areas of your portfolio too early, take another 20-25% reduction
in income per annum to cover for your learning curve. We all make mistakes. This is how we learn. No lying
to yourself, remember?
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With exchange rates, the key is to give yourself ample notice. Liquidate your funds months in advance,
whenever possible, and wait for profitable "pounce peaks" to cash in. If you have weeks instead of months,
you probably won't be hurt too bad, but won't be profiting either. If you're working only days ahead of
settlement deadlines before you're forced to exchange currencies, you'll be hurt, often badly. Work closely
with your foreign exchange provider, banker or foreign-aware turnkey operator to make sure you're always
aware of those "pounce peaks" as they swell, and ride them as they break.
Oh, and enjoy the ride. It's great fun.