Exceptional Profits from USA Property

Investment

Presented by

Rod Thomas FCA

Welcome

Agenda• Introduction• Why the USA?• Why now?• Three Profitable Strategies! • Accelerated Capital Growth – Florida• Robust Cash Flow – Detroit BREAK• Robust Cash Flow – Buffalo• Quick Cash Profits - Memphis• Q&A• Close• Meet the Axis team

The Axis teamRod Thomas David BallGreg Glagow, USA Portfolio ManagerAmy Studd, Completions ManagerDan Flanagan, Marketing ManagerJackie Dyer, UK Sourcing Manager Rod Thomas

David Ball

Introducing Rod Thomas• Accountant and entrepreneur • Built and sold 4 companies• Family background in property since 1982• 27 years experience• Seen 3 property cyclesUK and International portfolio

More...

DecisionAction

UncertaintyCommitment

- Passionate about goals- Fed up with being fed up!

In the USA you can...

• Buy houses from $25,000 (£16,000)• Achieve net rental yields of 20%+ pa• Make $10,000 in about 120-150 days• Generate a return of 200%+ in 3-5 years

Accelerated Capital GrowthRobust Cash FlowQuick Cash Profits

Rod Thomas, Axis CEO

United States of America• World’s largest economy• Politically stable and secure – a ‘blue chip’ country• $13.8 trillion GDP – 19% of the world’s totalBUT• Experiencing a recession• Massive falls in house prices (varies locally)• Difficult for Americans to get credit to buy• At bottom of property cycle• Certain ‘special situations’ – our focus!

Why Invest In the USA?

Easy to buy and sell!

Why invest now in the USA?Six reasons...

Tax CreditsFHA Program

High Rental Yields

Local Factors

FloridaAccelerated Capital Growth

Accelerated Capital GrowthGoal – 200% return in 3-5 years!

HOW – 4 strategies...

1. Buy at bottom of cycle

2. Buy below market value

3. Buy with maximum leverage

4. Buy and refurbish

About Florida

•Sunshine State

•18m residents – 4th largest

•Inbound migration

•Worlds no 1 tourist destination (60m visitors)

•Orlando, Tampa, Miami

•Sophisticated infrastructure

•No 1 retirement destination

Typical Numbers

Two bed apartment

•$180,000

•$90,000

•$65,000

Agriculture: Construction Finance;

Health Care Government;

Technology, Tourism; Port of Tampa.

TAMPA

Tampa PalmsTampa Palms

Key Features

•Distressed Condos From Just $61,900 (£39K approx)

•More than 70% below peak pricing!

•Superb net rental yield of c.10% pa

•Guaranteed tenants in place

Why Buy At Tampa Palms?

• 70%+ below market value

• Low cost entry to Florida market

• Excellent rental yields – 10% net and already tenanted!

• Prospect of 200% growth in 3-5 years

• Quality development

• Business city of Tampa – price rising

Questions about Florida?

Detroit, Michigan

Robust Cash Flow

Robust Cash Flow

Goal – Minimum 15% pa NET rental yield

HOW?

•Low cost housing

•Buy below market value

•Refurbish

•Strong rental culture

•Balance between supply & demand

•Local factors... City tax review.. S8 tenants

About Detroit

•Motor City – crisis - $billions from Govt

•Motown

•11th most populous city – 1m residents

•Reinventing itself – casinos / riverwalk / new stadium

•2010 – GM’s first electric car

Detroit Video

Typical Numbers

•Rental yield NET 15% pa!

•$120,000

•$60-80,000

•$45,000 (refurbished & fully packaged!)

6378 Grandmont

Available Now!

Three Mile

Available Now!

16203 Roselawn

Available Now!

19676 Telegraph

Available Now!

How You Profit...

•Purchase Price $45,000

•Gross rent typical $800 pm -$9600 py

•Gross yield 21-22%

•Costs c. $2700

•Net yield 15.3%

Why Buy In Detroit?

•Complete turnkey package

•Carefully selected neighbourhoods

•Net yield c. 15%

•Plus capital growth recovery play

•City tax breaks

•S8 tenants predominate

Questions about Detroit?

BREAK15 minutes please!

Buffalo, New YorkRobust Cash Flow

Where is Buffalo?

Robust Cash Flow

Goal – Minimum 15% pa NET rental yield

HOW?

•Low cost housing

•Buy below market value

•Refurbish

•Strong rental culture

•Balance between supply & demand

•Local factors... City tax review.. S8 tenants

Why Buffalo?• Exceptional rental yields - up to 40% gross, 24% net• Low property prices – as low as $15,000 (warning)• 70% of residents rent • $4.5 billion of investment and 3,500 new jobs last year • Property prices are rising against the USA trend• Canadians are migrating across the border

Why Our Deals?• Safe pair of hands – US partners with 20 years

experience• Property already purchased and refurbished – no risk• Refurbishment guarantee• Already tenanted and with rental guarantee!• Highly competitive pricing saving up to 45% BMV• Good rentable locations• Full management service with 500+ properties looked

after

Why invest in Buffalo?

• High Yield - buy for cash flow, not capital growth!

• Simply the highest net rental yield we can find

• Prices rising! (Buffalo up by 12% in 2009)

• Stable long term market

• Great local partners with 20 years experience

Property ShowcaseAvailable now • Double unit• Axis secured price $38,000 (£24,500)• Zestimate $64,500• 41% Below Market Value• Rented at $900 per month• Gross rental yield 28%•Net rental 19.8% • Net monthly return over $627• Tenants already in place

Cash purchase only24 Hedwig

Property ShowcaseAvailable now • Single family house – Niagara Falls• Axis secured price $25,000 (£16,100)• Zestimate $35,000• 27% Below Market Value• Rented at $625 per month• Gross rental yield 30%•Net rental 23.4% • Net monthly return $489• Tenants already in place

Cash purchase onlyLinwood

Property ShowcaseAvailable now • Single family house• Axis secured price $29,000 (£18,700)• Zestimate $50,000• 42% Below Market Value• Rented at $650 per month• Gross rental yield 27%•Net rental 19.2% • Net monthly return $464• Tenants already in place

Cash purchase only64 Poplar

Questions about Buffalo?

Memphis, Tennessee

Quick Cash Profits

Quick Cash Profits

GOAL – 20% Cash Profit in 120-150 days!

HOW

•Buy foreclosures

•Refurbish

•Sell into local market (Special terms!)

Where is Memphis?

Memphis Video

Why Our Deal?

•20% Profit in 120-150 days!

•End to end managed service

•Proven team – quality refurbishment

•Repeat 2-3 times yearly – 60% ROI!

•Build your own cash machine!

•Sales to local residents...

FHA Program

US Government Initiative

FHA Program

Property ShowcaseSOLD

6450 Copperleaf• 3 bed family home in excellent neighbourhood

•Axis secured price $50,000 (£32,200)

• Resale at $90,000

• Profit after refurbishment and costs $12,400

•Profit on investment 20.3%

Cash purchase only

Property ShowcaseSOLD

840 Roland• 3 bed family home

•Axis secured price $44,000 (£28,300)

• Resale at $75,000

• Profit after refurbishment and costs $11,050

•Profit on investment 22%

•This property already refurbished and sold to FHA tenant

Cash purchase only

Property ShowcaseAVAILABLE NOW

5112 Corkwood• 3 bed family home, 1200 sq ft

•Axis secured price $37,000 (£23,870)

• Resale at $70,000

•Total cash required including refurb and costs - $48,200 (£31,100)

•Profit after refurbishment and costs $10,056

•Profit on investment 20.85%

Cash purchase only

Questions about Memphis?

Full Axis managed serviceAxis provides a complete service on both sides of the Atlantic • Help to set up a US bank account• Introductions to the best local US attorneys and agents• Staying in touch to keep you updated• Market updates and news bulletins• Personal introductions to the US team• Following your purchase through to completion

Any questions?

Six rules for wealth creation with USA Property in 20101. Strategy that fits your goals

2. Location where fundamentals support the logic for investment

3. Due diligence - market value and rental

4. Check you have ALL the facts you need

5. Fully managed service with ongoing support

6. No deal is 100% perfect. Don’t miss out waiting…

You can…• Generate Quick Cash Profits in Memphis

• 20% Profit in 120-150 days

• Enjoy Robust Cash Flow in Buffalo and Detroit

• 15%-20% NET rental income

• Benefit from Accelerated Capital Growth in Florida

• 200% Growth over 3-5 years, plus good income

Next steps...• Review the USA Smart Guide• Decide which strategy works for you• Get your questions answered• Ask for a Decision Pack on suitable

dealsRESERVE YOUR PREFERRED PROPERTY

Thanks for coming www.axispropertyinvestment.com