A cash flowing market: Detroit offers real estate investors a golden opportunity to purchase solid, built homes at a fraction of replacement cost, and lease them for some of the highest yields in the Country. Detroit, with an average return rate of 13% is far greater than in Miami where the return rate is 4% or in NYC where the rate is 2%. Detroit values are climbing, year over year, and show no signs of slowing down. Detroit was at the very bottom of the crash of 2008 and has since rebounded and only continues to do so.
As the saying goes “never put your eggs in one basket”, we consider it risky to hold all of its assets in the same geographical area, to have some of its assets in the US allows reduce the pressure in case of economic crisis in a foreign country.
Due to unforeseen economic turbulence in global economies, investing in the U.S. provides you with a stable investment that is backed from the strong U.S. Dollar Currency.
A HIGH CASH FLOWING YIELD
The properties we sell net an average return of 13%, compared to a similar investment in Israel that produces 3% net after tax.
The tax pressure in foreign countries dissuades many real estate investors, the Franco-American tax convention allows them to be taxed only in the United States for their property income earned in the United States. US taxation is more favorable with an average rate of 5 to 10%
Real estate investing in the US being isolated from the rest of your wealth, it is protected from your creditors in case of financial difficulties in the future.
The properties that we sell are generally discounted from 40 to 60% compared to their historical value in 2008. For example, a house that sold in 2008 for $100,000, is now selling for $55,000-$60,000