10/7/12: The Global Perspective – Where Investors Are Going and Why

Money is flowing around the globe, seeking opportunity and avoiding risk.  But where is it going and why?

We’re always fascinated by trying to figure out where the puck is going (a hockey quote by Wayne Gretsky) .  And (to horribly mix metaphors), sometimes you need to get a bird’s eye view to see the whole field.  But (to worsen the metaphoric catastrophe), if you want to ride the wave of capital flowing around the globe, you have to take time to study the trends.

Does all that sound like hard work?  It is!  But we’re here to help.

So for this episode of The Real Estate Guys™ radio show, host Robert Helms ditches co-host Russell Gray and flies solo to Orlando, Florida to attend the RE/MAX Encounter the Americas conference.  While there, he captures interesting interviews with three gentleman who are in great positions to offer valuable perspectives on the trends in global real estate.

Behind the microphones, but ahead of the puck, for this episode:

  • Your think globally, but drink locally (brewed beer, that is) host, Robert Helms
  • RE/MAX VP of International Business Development, Larry Oberly
  • RE/MAX VP of Latin America, Ricardo Cardenas

The RE/MAX Encounter the Americas conference brings together company leaders and agents from all over the world, with an emphasis on Latin America and the Caribbean.

And because RE/MAX is one of the biggest players in real estate brokerage, they have lots of data, both statistical and anecdotal.  So we’re excited to bring you the Cliff’s Notes from these high level execs.

 

Larry Oberly‘s job is to expand the RE/MAX network around the globe.  To decide where and how to get into various markets, he gathers data from professional associations, local agents and search patterns on RE/MAX websites.

Think about that.  Before people move or invest in a market, they start doing research.  And when they get serious, they start honing in on neighborhoods, properties and price points.  These days, almost all of that happens on the internet, providing valuable insight to a guy like Larry.

Now even though this conference is about the Americas, Larry has some very interesting comments about China.  It’s no secret that China has tons of money.  And some of that money is making its way into real estate in the Western Hemisphere.  What’s even more interesting is why.  But you’ll have to listen to Larry to get the answer. 😉

Next up is Ricardo Cardenas.  This interview is worth listening to just because Ricardo has the coolest Latin accent.  But of course, the big bonus is the insights Ricardo has to share about what’s happening in his part of the world.

Even though Brazil is part of the group of emerging growth economies known as the BRICs (Brazil, Russia, India, China), it isn’t the only strong economy in the south of the Western Hemisphere.  And as these nations make more money, more real estate business is being transacted with both domestic and foreign buyers.  In other words, people want to buy property there.

Ricardo shares some of the work being done to improve business systems, professional cooperation and standards of real estate brokerage practice.  Just as standardized hardware and software protocols have made computers more friendly and accessible to more people, so will increasingly standardized real estate practices attract more buyers and their money to these markets.

It’s all part of the critical infrastructure which facilitates the flow of capital to and from real estate markets along the international financial highway.  We watch it because it helps us anticipate where and how fast money will flow into a market.

Last, but certainly not least, Robert reconnects with John Turley, our good friend, 2013 Investor Summit at Sea™ faculty member, and top real estate broker in the country of Belize.  If you’ve been listening to the show for awhile, you know we’ve had John on before – and that The Real Estate Guys™ LOVE Belize.  In fact, John is a featured speaker on our Belize field trips.

Now John’s perspective on international real estate is a little different than Larry’s or Ricardo’s because John is focused on Belize.  And rather than a top down view, John is in the streets every day talking with real life home buyers, investors and developers about where they come from and why they’re interested in a place like Belize.  That’s how we got to know him.

As an American ex-pat who brought his family to Belize and set up shop in 2005, John has his personal perspectives to share.  But what’s really interesting is what he’s observed about what’s going on around him in his seven years and living working in Belize

For a market place that owes a big part of its revenue to tourism, you’d think the dour U.S. and European economies would have taken its toll on Belize real estate.  Not so.  We’re pleasantly surprised to find that values in the Belize real estate market never really tanked like they did in so many over-leveraged and over-built markets.

And as for tourism in Belize, John tells us that 2011 was a record year and that 2012 is outpacing 2011 by double digits. More, tourism to Belize is above the peaks of 2005 before the recession ever hit.  Very impressive – and consistent with the feedback we got from the Shared Ownership Conference interviews previously broadcast (Look for Getting a Slice of the Pie on our Listen page)

So big lesson:  be careful not to look at the world only through the filters of your own perspectives and paradigms.  How it is for you and where you are may not be indicative of what’s happening in other places.  That’s why we make it our mission to get around to these other places and learn how other people are seeing things.

But we know it’s hard for you to fly all over the place like we do, but no worries.  That’s why you have us.  Enjoy!

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12/12/10: International Real Estate for Resort, Investment or Safe Haven – Pros and Cons of a Changing Landscape

Whew!  That’s a big title.  But it’s fitting for a big topic – one that reminds us that the world is not only getting smaller, but is changing rapidly.

Money, jobs and people are moving around the world like never before. And while fewer people may feel rich coming out of this recession, there are other good reasons many are still looking at international real estate – both as an investment strategy and a safe haven hedge against inflation.

While we were at the International Property Congress in Miami Beach, in addition to talking big picture economics with National Association of Realtor’s Chief Economist Lawrence Yun and Federal Reserve Bank VP Thomas Cunningham (see our 11/21/10 show), we sat down and talked about who’s buying international real estate, where and why.

Behind our well-traveled microphones for an international chat-fest:

  • Your host, the internationally renowned Robert Helms
  • Your co-host and internationally obscure Russell Gray
  • The man who has seen more changing landscapes than a migrant farm worker, the eternally international Godfather of Real Estate, Bob Helms
  • Special Guest #1: International Property Journal reporter, Kevin Brass
  • Special Guest #2: Representative from SECOVI, a Brazilian real estate trade association, Flavio Amary

It’s no secret that every country in the world has it’s own unique strengths and weaknesses.  As the dominant economy in the world, Americans have long enjoyed a uniquely stable and high quality of life.  It wasn’t necessary or commonplace to travel abroad.  Even today, the  majority of Americans do not have passports.

However, the world is changing.  The US dollar, while still the dominant currency, is facing serious challenges.  Job losses, deficit spending, an aging populace and huge unfunded entitlements are all piling up on Uncle Sam.  Meanwhile, other countries are emerging as powerful economies in their own right – most notably China.

But this isn’t an episode about the woes facing the US.  These aren’t the first challenges and they won’t be the last.  Every country has its ups and downs.

This episode is about discovering how and why the dynamics of the world’s economies are changing the way people are approaching real estate.

While we’re more traveled than the average American, we took the opportunity while in Miami to connect with Kevin Brass.  Kevin has been covering the international real estate industry for over 20 years and his articles and analyses have been regular features in the International Herald Tribune and the New York Times.  Today, Kevin writes for the International Property Journal.  His work takes him all around the globe and keeps him connected with many industry leaders worldwide.  In this episode, Kevin shares his perspectives on the changing landscape of international real estate.

We also discuss some recent changes to the once vaunted tax and privacy advantages of Panama, who recently entered into an information sharing agreement with the United States.  Tax and privacy advantages are often a prime motivator for people to acquire real estate and move to a particular country.  Is what happened in Panama a portend of things to come?

Of course, what would an episode on international real estate be without an interview with someone with one of those really intriguing accents?  We were privileged to find someone who not only sounds really cool, but has some very useful things to share with us about the robust economy of Brazil.  If you haven’t been paying attention to Brazil, you may be surprised to hear about what’s happening there.  Hint: not everyone’s in a recession.

Buone Feste, Boas Festas, Felices Fiestas, Frohe Festtage, Wesołych Świąt, Bonnes vacances, Sarbatori Fericite and Happy Holidays!

The Real Estate Guys™ Radio Show podcast provides education, information and training to help investors make money with their real estate investments.

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10/3/10: Caveats and Considerations of Cross-Border Real Estate Investing with Attorney Mauricio Rauld

“Go West, Young Man!” has given way to “Go Global, People!”

Back in the fledgling days of the American experience, young opportunity seekers often left the comfort and competition of the mature eastern states to seek their fortune in the emerging markets of the wild, wild West.  Real estate was a big part of the opportunity then – and it’s a big part of the opportunity today.

In the covered wagon, trekking through radio no man’s land in search of real estate fortune:

  • Global real estate pioneer and show host, Robert Helms
  • Wagon maker, puller and repairman, Russell Gray
  • Attorney Mauricio Rauld

Today’s investors, both stock and real estate, have a growing attraction to foreign markets. And not just developing markets, but thanks to currency fluctuations and an ever more global economy, investors are seeking to take advantage of shifting tides of capital, business and jobs into mature foreign markets as well.

So while there are many opportunities available around the globe, being an investor today requires more sophistication and attention than ever before.  Some are happy to simply work hard, live below their means, save money and turn it over to Wall Street and the government to provide for their future.

Others have decided to take control of their financial future and invest the time, money and effort to find investments they can understand and manage themselves.  For people like this, God created real estate.

But before you get dollar signs in your eyes and charge off to buy cheap, beautiful property in warm, affordable, tax favorable markets (which is SOOOO tempting), it’s smart to get some guidance from people who’ve gone before.  Remember, pioneers are the guys who get arrows in their chests while they discover new opportunity.  Settlers are the folks who learn from the pioneers and come in and develop the opportunity.

So, with that verbose prelude, this episode of The Real Estate Guys™ Radio Show features an interview with an attorney who serves as general counsel to an international real estate investor and developer.  His job is to help his client avoid the arrows – and to extract them when one strikes.

Listen in and discover what things YOU should be thinking about as your take your real estate investing across the border.

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Note:  Attorney Mauricio Rauld will be one our esteemed faculty members for our 9th annual Investor Summit at Sea

9/26/10: Tracking International Trends – CEO Insights from the Nation’s Largest Local Association

Every day, jobs, money, people and business are going global. Some come to the U.S. and some leave.  Some go both ways.  Maybe you’ve fantasized about cross-border transactions, in which case you may need to seek professional help.

Because we’re us, we get to meet all kinds of bright, experienced and interesting people. It counter balances us.   The latest smart person we’ve met (wait until you see how many letters come after her name!) is our guest for this episode.

Revealing their deepest thoughts on this subtle topic:

  • Your head therapist, host Robert Helms
  • Your head case, co-host Russell Gray
  • Special call-in expert, CEO of MIAMI, Teresa Kinney CAE, CIPS, GRI, RCE, TRC

Teresa Kinney, CEO MIAMI

To avoid confusion, even though she wears the title of CEO of MIAMI, Teresa isn’t an official from the city of Miami.  She’s CEO of MIAMI (notice the ALL CAPS) which is comprised of several organizations: the Residential Association, the Realtors® Commercial Alliance, the Broward County Board of Governors, and the International Council.  You can learn more at www.miamire.com.

What impresses us most is that MIAMI is a top gateway for international real estate both coming into and going out of the United States.  So if you’re interested in international real estate, MIAMI and Miami are great places to get connected.  In fact, there’s a big international real estate event coming up October 30-31 featuring National Association of Realtors® Chief Economist Lawrence Yun, and The Real Estate Guys™!

Now some people think tracking markets and trends is a drag, but we like it! Astute investors watch for economic and demographic trends in order to effectively pick markets and properties poised to perform best over the next 10-30 years.

Located in the #1 hub for global real estate, CEO Teresa Kinney oversees the largest local association of Realtors® in the nation.  With access to all the statistics, plus gobs of anecdotal data from over 23,000 agents, Teresa has more insight into international real estate activity than just about anyone else! Of course, we couldn’t wait to ask her a zillion questions.  Tune in and find out what she has to say!

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