Sterling Opportunities For US Investment With The Current Exchange Rate

Good time to invest in the USA The current UK GBP / USD exchange rate (August 2010) heralds a golden opportunity for UK investors to buy even cheaper and generate an even higher profit in the USA property market. The resurgence of the Great British pound against the dollar, currently at £1.00 - $1.58, is now at a 14 month high and stands at an approximate 11% gain from its weak point.

A great time for US property investment

This pound to dollar rate, alongside the fact the pound is expected to fall against the dollar again, makes right now a great time to invest in US property. The benefit of the future gradual decline of the pound again, which has fallen against the dollar in every 10 year period since the Second World War (bar from 2000 - 2010, thus far), is twofold.

1. The rental income received will become more valuable if measured in pounds sterling.
2. Future resale and repatriation of funds will gain an equity profit through higher property prices and also comes with an additional exchange rate gain.

Strategies for success

The USA property market offers a number of successful strategy opportunities for shrewd investors who wish to earn rapid cash profits, generate high levels of income and expand capital growth.

1. Accelerated capital growth, with property holding for three to five years and an expected 200% to 300% price growth whilst generating a 10% per annum return on rental yields.
2. Repossession purchases with up to 70% savings on property prices.
3. Rapid cash profits of a 25% return in just 120 to 180 days.

Even better, US property investment is a completely hands off, armchair investment - fully managed from sourcing and purchase, through refurbishment and tenanting and even resale.

In particular, US foreclosure stock is still rich for the picking. David Stevens, head of the Federal Housing Administration, says the US housing market has been "on life support, sustained by the federal government" and mortgage applications for new purchases are down to a 13 year low. In addition, banks are said to be "sitting on a heap of foreclosed homes".

Three reasons to invest in US property now

So, we have:

• a favourable exchange rate,
• an optimised rental market and
• ready availability of bargain-priced stock in the USA.

If ever there was a time to jump right into those waters, it is definitely now. To learn more about US property investment, please download the Axis USA Investment Guide; and you can check out currently available USA investment opportunities here.

Or if you are ready to invest in the USA and want some advice and assistance, pick up the phone and talk to Greg Glagow, Axis USA Portfolio Manager, on 0333 444 1440 for a no obligation initial discussion.

Live with Abundance

Rod Thomas FCA

Posted in Finance & Money

1 responses to 'Sterling Opportunities For US Investment With The Current Exchange Rate'

investment property financing gal

Added 31-Aug-2010 13:15

Rod, How is the investment property financing situation there, really cumbersome?

Rod Thomas

For UK investors buying in the USA there is very little local finance available. Best to raise money in the UK for USA purchases or pay cash - given prices starting at about £16,000 this is a sensible option.

Sterling Opportunities For US Investment With The Current Exchange Rate

1 responses to 'Sterling Opportunities For US Investment With The Current Exchange Rate'

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