U.S. real estate is about the easiest investment to purchase if you know what you’re doing. Add to that the fact that U.S. real estate remains one of the safest investments.
The Washington Post recently ran an article on the influx of Chinese investors who have chosen to invest their money in U.S. real estate, sometimes buying properties sight unseen in markets like Seattle where property values have doubled since 2009. Despite the threat of a market slowdown, the rich still stash their money in real estate, according to CNBC.
I understand the draw. There was a time in my life when I would go out on a Saturday and come back home with 2 or three houses. On Monday, I would record the sales and transfer the homes to my name then insure everything I bought. Today, I don’t even get up from my desk and I buy houses across the continental US.
It’s a little-known fact that the only instrument you really need to control real estate in most US states is a document known as the grant deed, or a warranty deed. If you think about it, even the world famous Empire State Building is controlled by a single piece of paper. The beauty of the American system is that this piece of paper known as a grant deed can be typed or handwritten and on any piece of paper as long as it is legible and can be scanned for recording purposes.
Once you have that deed in your hand, it takes just one more step to register your property. By contrast, most African governments require you to go through ten, twenty or sometimes even forty steps before you can buy, sell or transfer ownership of real estate. That is why it is easy for the U.S. to create unprecedented wealth for its people. U.S. real estate is still one of the greatest wealth creators around.
If you get the grant deed from a seller, you own the property and it’s up to you whether or not you actually record the deed. I am not recommended you forgo recording the deed. Recording the property gives others constructive notice of the fact that you now own the property. And the local tax board knows who to contact about the property. Recording the deed also affords you the opportunity to use the property as collateral for a loan and provides you with an insurable title in case of future transfer. I have encounter property owners in the past who did not record their deeds. So, before I buy such property, I make sure the chain of title is clear and I can obtain title insurance.
That’s great. I mean, you need to jump through a few hoops before you can buy, register or trade stocks. But for real estate, the process is so simple even a child can do it. So now is the time to buy U.S. real estate. Not only is it easy, but with sale prices coming in at 30% – 40% below the property’s value and the real estate market on the upswing, you can expect your property to increase upward of 30% in value over the next year!
Say what you will about the dollar, U.S. real estate is still one of the safest and easiest investments to make.
