Every Tuesday, hundreds of thousands of people are exposed to a small yellow square that is published in the newspaper and warns against real estate investments in the United States. Risks for those who are not familiar with the field. Like S. Avrech who was exposed to the subject a few years ago. That's when the 'trend' began following the big real estate crash in the U.S., which made it possible to purchase properties at ridiculous prices.
Q. He is not a business type, he was just looking for an 'income supplement' and found it in the form of investing all his savings, which amounted to $40,000, in the purchase of an apartment somewhere in the United States. Several years passed, and a significant part of the investment had already returned to him. At this point, his son's bar mitzvah expenses, along with other expenses, began to knock at his door. He adamantly refused to roll over loans irresponsibly and decided to sell the property. All in all, he has already made a good profit on it, and it is not bad to allow others to profit now... But the others were in no hurry to come!
He tried to interest people arguing about the property, but they showed no interest. In his distress, he turned to private people until he reached a businessman about whom our story revolves... The businessman replied "we will check" and immediately contacted a property inspection company with which he works in the United States, gave them the details of the apartment and waited for their reply. ... It was quick to arrive: Zero! (0) The property does not have a "market". How is this possible? And does the property yield a fixed return of 15%?! The answer is simple: the property is located in a slum, not to mention a crime neighborhood. In terms of rent, you can make a good profit on it, as long as you are lucky enough to have a normal tenant who pays. But the day the tenant leaves—in the hope that he's completed all the payments—you'll have a hard time finding another normal tenant. So, in terms of renting the house, it's worth it – for someone who has already purchased the house and happened to find a good tenant. But in terms of the real estate market, the house has no real value. Because even though it is ostensibly "worthwhile", no one will want to risk their money and invest in the place.
S. didn't know this little secret when he invested all his savings there. That's right. He can now wait until all his investment is returned to him through the rent, but he needs too much money, and he doesn't know how long the tenant will stay in the house. In addition, when he realized that it was a bad investment, he decided to run away from the business. In addition to the above, the company discovered that the house had a debt of $9,000 for municipal taxes. So even if they succeed in selling the house, the amount will be deducted from the payment. Of course, the businessman did not find any point in entering into such a "successful" investment.
"I beg you; This plan will be able to put my house on its feet – literally – on its feet!" was a yeshiva student who stood in the offices of a central Gemach and asked to receive a huge loan on preferential terms. He detailed his financial background and explained that what prevents him from living a normal life is the rent payments. If he has a house of his own, the mortgage payments will go to him, and within a few years he will be freed from a cycle of abject poverty. As far as we know, the businessman stood there "by chance" and heard his pleas. The story touched his heart and he wanted to hear from the student how he could help him. "I'm not looking for or asking for donations!" the yeshiva student set the basis on which the fruitful conversation between them would develop in the next few minutes. "I'll think about how to help," he ended the conversation, and then an idea flashed through his mind: I'll buy the apartment in the U.S. from him. The small amount it is worth, and the rent payments will be sacred to help this yeshiva student. He went back to S. He wondered if his offer to sell the property was still relevant. And we answer, 'very much' – no one is willing to buy! "I'm ready!" the businessman surprised him. Q. He asked: By how much? 'How much it is worth'! An in-depth examination of the company in the United States revealed that the value is $22,000, i.e., $13,000 after deducting the property tax debt. Q. He calculated the rent payments he had already received for the apartment and decided that it was worthwhile for him to sell at such a price. The apartment changed ownership, and every month the payment for the mortgage that the yeshiva student took out from the lack of housing helped.
At that time, an acquaintance approached the businessman and asked if he would be able to lend NIS 240,000. The acquaintance serves as a director of a large company and holds a check in his name from that well-established and reliable company, with a nominal date of three months ahead. "I don't have such a liquid amount," he replied. The director contacted the check clearing company and was astonished to hear that they charge "between six and eight percent per month." A quick calculation revealed that at the end of three months, they would be left with a quarter of the amount. Add taxes to that and you'll be left with a ridiculous amount.
The director returned to the businessman and offered to lend him the sum in exchange for 2% per month – subject to a legal 'transaction permit'. Our acquaintance was shocked and terrified: Are you suggesting that I make money out of a person's distress?! And even more so with a "heter eskka" – that I will feel that this act is permissible and even feel that I have performed a mitzva?... Including; Did I refuse to lend you because you didn't offer me a percentage of profit?!
