Shubs

As the title states really I've made a significant amount of money from my crypto assets and now I'm looking into diversifying with real estate. Was just wondering if anyone had any tips on where to get started? Initially I want to rent it out and use the property as a source of income then eventually get to a point where I live there on a B2 visa for half the year and use it as a 2nd home. Currently in terms of location I've been looking at Texas and Florida any recommendations or advice would be helpful.

tht

If you are a cash buyer it won’t be an issue. You probably don’t even need to come here to close.

You will need a visa or green card to live here. If you made enough money and they reauthorize it look at the EB-5: https://www.uscis.gov/working-in-the...vestor-program

What you are planning may be expensive for you tax wise, there are smarter places to look: https://www.cnbc.com/amp/2022/02/06/...tax-haven.html

Pulaski

Getting any sort of visa, or visiting on a green card may well become harder if you own something that looks like a home ..... you will have a perceived risk of overstaying, especially if you are "independently wealthy" and don't need paid employment.

Personally I wouldn't invest in anything that I couldn't drive down the road and physically touch, so I don't think what you're proposing is a good idea, and a lot of your potential profit is going to get eaten up by management fees and maintenance costs. Also what is a good investment as a rental property might be a lot different from what you might ever want to live in - rentals are typically low to low-mid-priced homes where people will rent for extended periods. Whereas there are fewer people able, and willing, to rent more expensive homes, and they tend to be "temporary", perhaps new to the area needing a place to live before they buy, or have sold their home to release capital while they have a new home built. Either way you may find yourself looking for a new tenant every 6-12 months, with every turnover requiring extensive cleaning, a fair bit of painting, as tenants of higher-end homes will expect to move into something that looks clean, fresh, and fairly new.

Then there is the matter of interest rate environment in the US. The Fed has made it clear that they intend to increase interest rates three times this year, which will gut the real estate market, and quite possibly s¢rew the economy too. I am not convinced that now is a good time to buy.

penguinsix

When I lived in Hong Kong, I frequently saw ads for real estate "investment opportunities" in the United States in newspapers, on buses, etc. There was money to be made buying US property and given that it was Hong Kong, plenty of liquidity to invest. Several of my friends asked me about specific properties, and I did some digging through agents and friends in the USA. In nearly every case, the advertised price to foreigners was well above the market value or even the advertised price locally. I mention this as a heads up that as a foreign buyer with loads of cash, you might not be getting the best price unless you have boots on the ground and some serious recon in the area you are looking to buy. If you do move forward, I'd really suggest a visit and a talk with some local realtors about current conditions.

civilservant

While I would associate myself with the majority of your comment, I'm not sure that 'gut' is really the appropriate word. Historically the rule of 10x has applied to the housing market. If the Fed raise the rate 3 times it would wind up around 1-1.25, which would drop prices 10-12.5% if historic data holds.

For reference, in my local area property prices have increased 50% in the last year. It will certainly damp down the market, but 'gut' I think is a little strong

That said. I wouldn't be buying at the top of the market either - and that's where we are right now.

tom169

You could diversify in a real estate ETF instead. Certainly a lot easier...

excpomea

Buying at the top of the market with house prices predicted to fall, I wouldn't call that a good investment.
Stick with crypto, you seem to be doing ok.
Then use your profits to travel the world.

btar

And if you are considering the Disney area in Florida because of the letting opportunities, don't believe the occupancy rates that agents will give, we found that people we know have been unable to achieve anything like what is claimed and that was pre - Covid.

hfrix

Hi Shubs! I'm a RE investor myself (St Louis area). Given the choice of Florida and Texas from what I have been seeing and hearing there is more opportunity in Texas - Florida is really hot. However, there are many variables to consider including how much cash at hand (though I know of lenders that help foreign investors at competitive rates), desired yield and many others. I am sure you have had a look at Biggerpockets as a starter forum?