I talked before about searching for property in a new country investing again outside of the U. S. a lot of you know already have property in Colombia but I officially got my own Itsy Bitsy slice of Brazil it’s a sealed deal it’s done it’s in my name and I want to break down the whole process and some the challenges I had on some of the things I’m excited for it if you guys are considering buying property outside of your home country so stay tuned let’s dive into that this week on the short term riches podcast.

Welcome to short term-rental riches will discuss investing in real estate with a specific focus on short-term rentals quick actionable items to wire. Scale your portfolio I’m your host Tim Hubbard.

Welcome back to the short-term rental riches podcast I’m a very exciting episode this week well I it’s exciting for me I I hope that it’s exciting for you guys to or for those of you that are looking for international property or maybe those of you that already have some international property some things to consider maybe a couple tips for your next acquisition so it’s official officially closed on a property here in Bonn the audio camera you in the southern part of Brazil I know that’s a tough one to say I still mess it up most the time but it’s a beautiful beautiful place and I want to just talk about the process I want to wrap it up for you guys from start to finish when I started looking when I started researching how I did that research who I worked with when I got here where exactly the property is why I like it why I think it’s a good investment how I paid for it. And some of the challenges with that and then a couple little extras in here as I prepare for renovation and also a couple tidbits on preparing to potentially run as a short term rental in the future and some of the things I’m doing in advance before the renovation so let’s just jump right in and I’d I talked before we’ll put a link for the prior episode in the podcasts right talk about finding someone to work with and some things that you really want to make sure you’re doing like working with a lawyer eccentric etcetera but now that we’ve kind of talked about that all a little bit I want to talk about how it actually went down how I found the place I did I’m actually in it right now I’m getting ready to leave in a few days to head back to the U. S. and then the Columbia but I’m here for a couple more days I’ve got some tile sitting right in front of me that I picked out and I’ve got some plans I want to share just a little bit about that so before I even got here the city popped up I was I was in the same state Santa Catarina last year for 3 or 4 months when covert started I was in Florida office which a lot more people are probably familiar with this is city about an hour from there that a lot of friends of mine it really recommended for its safety because it’s on the beach great medical interesting easy place to live and I would say now after spending 3 or 4 months total here I have to agree 100 percent this place is beautiful it’s just so easy to whip your everything’s pretty close amazing restaurants the value of our dollars incredibly strong right now so you can live like a king down here for very very little amazing restaurants amazing beaches amazing people I really like Brazilian culture so that’s what brought me here in the first place now when I was in Colombia later last year I started doing a lot of research on this place because I was looking to branch out into another country to diversify out of the U. S. to. All are a little bit and I went on YouTube and sure enough there’s multiple YouTube channels specifically about the real state in Bonn the audio right here which is in a huge huge city there’s about 150000 people that live here but in the tourist season it’ll swell to almost like 1000000 people even are over 1000000 people so there was quite a lot of information on you too she was also a great opportunity for me to practice my Portuguese because the channels were in Portuguese but you know if you’re looking in another country there’s a little feature on YouTube you can just hit the captions so you can put closed captions on and and read the subtitles as well so little little trick for you if you’re looking at a new country where you don’t speak the language and you’re interested in getting property there so I did a lot of you to research I really was very familiar with the city before I even got here and the different sections of the city and the different neighboring towns and neighboring suburbs there’s a few around here that really kind of blown up so I was doing research for I got here I was talking with friends trying to get referrals so I did talk with a real estate agent before I even got down here he sent me a few things and of course I was looking online at the websites but remember from the last podcast for introduce this topic love those websites are very accurate go back and check that one out if you haven’t already so I was doing that research online as taken out all with a grain of salt when I got here that’s when I really started picking my head out there talking with real estate agents letting them know exactly what I wanted so I save the list of exactly what I wanted I had it in what’s happened I would send it to agents because we know when most countries in the world an agent might work with a few properties and there’s no MLS stand here so I was sending the same message everyone so that you know wasn’t wasting their time or mine looking for something I didn’t want in a price range and in one side a really good idea before I got down here. That’s a big piece now I found a place was awesome I got a referral for a lawyer who made things so much better and my Portuguese is okay but I don’t know about you I I can’t even read legal documents in English so I found a lawyer that spoke English and it was such a big help and he actually owned property in the U. S. as well so he’s familiar with sort of that process so he helped me make sure our contract was in place there weren’t any weird things in there after we had agreed upon a price so that was a ton of reassurance made me feel better maybe more comfortable and we became good friends it’s great and he had other references for contractors things like that so your lawyer can be a great resource in these new places that you’re you’re checking out now one of the big challenges I had as a foreigner is bringing money in as a foreigner you can’t just send thousands and thousands of dollars across a border without raising some red flags she have to prove where the income comes from so I had savings and prior sales of properties that allow me to prove where this money was coming from now setting up an account in Brazil’s a foreigner that was nearly impossible I probably talked with 10 beings talked with all my friends you essentially can’t set up an account if you’re not a resident so there are other ways you can look at transfer wise but I found one account that allow me to do it as more of a brokerage account so they don’t have a debit card or anything like that that I can use but they specifically just work broke green money across so that was the biggest challenge but got it figured out and got my money exchange at one of the highest historical exchange rates between the Brazilian row in the U. S. dollar ever in my whole lifetime so really excited about that I think. I got some really good value so that was a big challenge getting the money over and that’s gonna be a challenge for anyone trying to get property in new country so just consider that see if you can find that out before because this is the thing do you find a property and you don’t have a way to pay for it quickly well someone else to buy the property especially if it’s a good one it’s gonna it’s not gonna be available anymore so I got the property we closed a major everything was go with the lawyer on the documents got registered with the city all that paid the taxes and now I’m looking to renovate it I love renovating properties why shouldn’t say personally renovating them but I do love designing interiors that’s kind of how you know this whole short term rental thing got started I was designing a property for myself and decide put on short term rental and now you know dozens of properties later in lots of designs later and I still really like doing this sell this property I’ve got some great plans form I found several contractors through referrals through friends and I met with multiple contractors and I decide to go with one I’m super excited about I saw projects he’s currently working on also projects that he’d completed we picked out all of our materials together and we’re ready to go pretty much I’m leaving here in a couple days prior gonna take about 3 months to do the renovation it’s a pretty big one we’ll put some pictures in the links are all save some links you guys can see but it’s really exciting and some of the reasons that I just want to break down real quickly that makes this a good investment I believe a good investment and what you might want to look for if you’re looking for short term rental in a new country these are my top ones for one if you have the U. S. dollar if you have the euro you have a ton of value right now on your dollar versus other countries so look at the exchange rate that can be really really good and if you’re looking to diverse Phi outside the U. S. now is a good time to do that. Hey Hey just want to ask you guys real quick favor if you haven’t already left this review if you wouldn’t mind heading over to iTunes or Spotify wherever you’re listening to the podcast and just leave us a quick review we really really appreciate it and if you know someone that you think would find value in any of the episodes that you’ve listened to you could just take a screen shot send it over to that’ll help them but it’s also going to help us grow a little bit too and lastly we’re on YouTube so if you prefer you to you can head over to short term rental riches and you can find us there as well thanks for listening in and thanks for all of your great feedback. Let’s jump back in. I bought a used department there’s plenty of new apartments going up in fact there are apartments in the same neighborhood for sale for 5 times the amount per square meter that I paid for mine now my properties about 19 years old that’s what’s not battled into B. VAX closer properties selling for that much more. That makes me think that I got a pretty good value now another component to this is I’m in an area it’s actually a little peninsula very close to the beach that. There’s no more land so they can’t build anymore so it’s kind of like a San Francisco scenario you know what with limited space and increased demand the prices are going to go up so I hope that trend continues it’s been in that direction for a long long time and they’re building these incredible buildings are I can’t believe it many of them millions millions of dollars American dollars and talking so to be so close to it to so many luxury properties but also to great value which I believe is probably near or at construction costs that is a good metric you can use anywhere if you think you’re in a good neighborhood or a good market and you’re buying for what’s close to construction costs well that should make you feel pretty comfortable and so it does for me and I I’ve use that metric looking in new places to be in a prime location near the beach in a place that’s been doing really well it’s landlord friendly and its tourist friendly so there’s no short term rental regulations on this building in fact they really cater to tourists here because the city every year November December January February swells like 10 times with the amount of people that it does in the offseason so they’re very tourist friendly I can rent short term if I want there’s no condo regulations so that was a big piece being near beach that they’re expanding they’re literally gonna double the size of the beach that’s you know only 100 or 200 yards from here it’s one block so that’s probably going to change the value of property that is. In an area where they can’t build more when you think I mean to be just as packed as one of the big reasons people come here so there’s some really great factors in here but in the end this isn’t 100 percent investment for me I just love Brazil and I love this city and so this is also a personal thing for me and if the rents don’t work out or anything like that I’m okay really having this apartment not make me any money so consider that if you’re looking you know in other countries or if there’s a bit of personal touch to it doesn’t necessarily have to meet all of your investment criteria if there’s some personal part into it it’s not 100 percent investment right so this is an honor present Bassman for me but I still think it is a really good one and actually from talking with friends I think after a renovated it’s going to be worth more than that I paid for and more than I have into it and it’s going to be exactly the way I want so I’m super super excited for that I’ll let you guys know how that goes in anticipation of potentially renting it out there’s a couple last few tips that I want to give you for finding a team before even ready and it’s it’s pretty easy I may have mentioned another podcast but I was staying another babies and I was talking with the hosts and I was also talking with other managers that are managing other short term rentals so I met with one who did a great job I knew she did a great job because I was saying one of our properties communication was great housekeeping was great property met my expectations so I know that she could be a good potential candidates to managers property for me in the future and I also got a housekeeper farmer if I decide to manage myself so that’s a really good way to. Can I get in early get some good contacts and to set some things that maybe before you’re even ready with your property so it’s Friday and take 3 or 4 months and if I decide to rent it out then she’s already familiar with it and we can go over more details then but just a little quick tip on finding management or housekeeping or maintenance really before you’re ready for it just stand other beanies and talk to the owners talk to the home so. Hopefully you guys got some value out of this if you’re thinking about looking for an international property it’s super exciting that we we live in a the world is so big now I know it’s felt closed off because a cove and everything but it’s so big and we’ve got more people working remotely than we ever have before so it’s easier to travel around and so this idea of having international property or property another country it’s a lot more realistic for us we can leave where we were born where we’ve grown up and we can go work in a totally different country as wholly different culture and that we can learn a ton from cell until next time thanks for tuning in again to the short term origins podcast you guys are awesome I hope you have a fabulous week and I will see there’s so much money to be made the short term rentals but it all starts by having the right property if you guys haven’t yet seen my free ebook on our website rest methods.com head over there and get a copy it’s going to break down what I look for in a property in some great short cuts so that you don’t have to spend hours and hours researching at over rest methods.com and you can grab your free copy there if you want a crash course in everything I’ve really learned to short term rentals in over 5 years managing over 15000 Gasol recorded on our last live event I am happy to say we broke it down really nicely into a bunch of different modules that you can watch at your own pace it takes you from start to finish from finding a property we talk about analyzing the property but then also some of the more important pieces how to find your team and how to set up everything so that you can run your operation is passively as possible and free up your time you can find that it rests methods.com forward slash virtual.

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