Assetz® News - UK investors offered opportuntiy to help USA underprivileged and make a profit

UK investors offered opportuntiy to help USA underprivileged and make a profit

12th August 2010 |

UK based property investment firm Assetz plc is offering British investors a chance to buy four and five-bedroom homes in America's motor city of Detroit to rent to low income families and with a guaranteed return of more than 20%.

The USA government backed scheme ensures investor’s properties are protected as tenants are bound to look after them as if they were their own or face ejection from the scheme forever.

The entry level is $50,000 for a four or five bedroom executive detached house (around £32,500), a quarter of what these properties were valued at around $200,000 four years ago, offering gross yields of 23%.

Properties are backed by the US department of Housing and Urban Development (HUD), helping to increase investor confidence and maintain a strong demand for these properties - there are already over 9,000 people waiting to be housed in the metropolitan area of Detroit.

Martin Sadler, Sales Manager of Assetz International, comments:

“This scheme represents a superb return on investment for a minimal cash outlay. You won't find such an attractive investment opportunity anywhere in Europe at the moment. The scheme has clear, indispensable benefits to families and the community at large, providing quality, affordable accommodation to the 9,000-plus people currently waiting for housing in Detroit. It is even environmentally conscious, putting empty, foreclosed property back into use.

"We undertake the refurbishment of the properties, and our partners in Detroit manage them very closely. This involves a government inspection every year to ensure the property is being looked after. In addition our management company inspects each property every quarter. The strict regulations for occupancy safeguard against any unruly tenant behaviour, offering purchasers a well-maintained investment vehicle.”

Why Detroit?

• Largest city in the state of Michigan

• Population of 5.4m

• 240,000 businesses located in this region

• Huge demand – over 9,000 tenants waiting for a home

• Expected capital growth on property of 21.5% over next 12 months

• Ethical investment - helping underprivileged families to live in a safe and stable community

Key facts:

• 4-5 bedroom detached homes from $50,000 (around £32,500)

• Gross rent per annum $11,400

• Gross yields over 23.6%

• Following refurbishment value of property increases by at least 100%

• Hands-off investments - fully managed with inspections and reports

• Exit strategies in place - either by sale to tenant or sale onto open market when recovery takes off

• After 12 months refinance available or via equity withdrawal

For further information contact Assetz USA on 0845 430 0010 or email usa@assetz.co.uk

-ENDS-

Notes to Editors

About Assetz plc

Assetz plc heads up a group of well-known and successful property investment and development companies, delivering carefully selected UK and overseas property as well as property funds, financial planning, education, finance and after-sales service. Assetz offers expertise and peace of mind whether a buyer is seeking an investment or a residential property.

Assetz: 0845 400 9000 or visit www.assetz.co.uk

About Assetz International Division

Assetz International offers premier overseas holiday homes and investment property in selected countries, including the USA, France, Portugal, Spain, Cyprus, Cape Verde, Canada and Germany, as well as a dedicated Assetz Ski division. Properties range from small investment apartments in the Alps to luxury villas on the Algarve and the Cote D’Azur. Assetz International is also the promoter of a number of high quality international property developments and distributes these properties through its large network of property agents and other partners.

Assetz International: 0845 400 6000 or visit www.assetz.co.uk/international

For further information please contact:

Suman Hughes or Laura Scarrott at The Wriglesworth Consultancy:

020 7427 1400 s.hughes@wriglesworth.com / l.scarrott@wriglesworth.com

Chief Executive’s Blog: http://investors.assetz.co.uk/blog/archives.php

This is a press release by Assetz also available at http://press.assetz.co.uk/articles/5279.html. Alternatively, please see our full press release archive.