Author: Premela R.

Why Fort Worth and Dallas are the Next Hot Spots for Real Estate Investment

Post author By Premela R.
Post date March 7, 2023

Real estate investors, non-residents, and U.S. expats alike are always looking for the next hot spot to invest their money in, and it seems that Fort Worth and Dallas are emerging as the top contenders. These cities offer a unique combination of affordable living, business-friendly policies, and a thriving economy that make them the perfect places to invest in real estate.

One of the key factors that make Fort Worth and Dallas the next hot spots for real estate investment is affordability. The cost of living in these cities is relatively low compared to other metropolitan areas in the United States. The housing market in these areas is also affordable, making it an excellent opportunity for first-time investors or those looking to diversify their portfolio.

Another factor that makes Fort Worth and Dallas attractive to real estate investors is the business-friendly environment. These cities are known for their favourable tax policies and regulations that promote business growth. This environment has attracted many large corporations, including Amazon and Toyota, which have relocated their headquarters to these cities in recent years. This business-friendly climate has also created a wealth of job opportunities, which has led to an influx of people moving to the area, further driving the demand for real estate.

In addition to the affordability and business-friendly environment, Fort Worth and Dallas have a thriving economies. These cities are home to diverse industries, including technology, healthcare, energy, and finance. This diversity has created a stable and resilient economy conducive to business growth. With a strong economy, investors can be sure that their real estate investments will yield a profitable return.

Another reason why Fort Worth and Dallas are the next hot spots for real estate investment is the cultural and recreational opportunities they offer. These cities have a vibrant arts scene, with numerous museums, theaters, and galleries. They are also home to major league sports teams, including the Dallas Cowboys, Dallas Mavericks, and Texas Rangers, which attract sports enthusiasts from around the country. These cultural and recreational opportunities make these cities desirable places to live, further driving the demand for real estate.

Lastly, Fort Worth and Dallas have a thriving real estate market. Property prices in these cities have been increasing steadily over the years, and this trend is expected to continue. This trend allows investors to purchase property in areas with high potential for growth, leading to an increase in property value and rental income.

In conclusion, Fort Worth and Dallas are the next hot spots for real estate investment. These cities offer a unique combination of affordability, business-friendly policies, a thriving economy, and cultural and recreational opportunities that make them desirable places to live. With a thriving real estate market, investors can be sure that their investments will yield a profitable return. If you’re looking to invest in real estate, consider Fort Worth and Dallas as your next investment destination.

At America Mortgages, our mortgage solutions are specifically designed for non-resident investors and expats who are interested in investing in U.S. real estate. We understand the unique needs of international investors and can assist you in navigating the often-complex process of obtaining a mortgage in the U.S., from filling out the application to signing the final paperwork. With our extensive expertise and connections in the U.S. real estate market, we are confident that no other company can compare to our level of service.

From March 14-19, we will be showcasing single-family homes near Dallas, Texas, for sale. Starting at $390,000, these are great starter homes for those looking to build their investment portfolio. They are even more attractive when you take advantage of our 75% financing and property management services. Click here to sign up or learn more.

Speak with a U.S. mortgage expert now by scheduling a call at www.calendly.com/u-s-mortgages. Start your journey today!

For more details, visit us at www.americamortgages.com or email us at [email protected].

Looking for international mortgage loans globally, including the U.K., Australia, Canada, France, Portugal, Spain, Italy, Singapore, Hong Kong, Japan, Thailand, Philippines, Dubai, and other locations? Visit our parent company Global Mortgage Group (GMG), at www.gmg.asia.

5 reasons why Texas is a GREAT state for property investment

Post author By Premela R.
Post date March 4, 2023

In this report, we want to highlight why Texas is an attractive state to own an investment property in.

Many know Texas as the home to many famous sports teams and a popular 80s soap opera.

However, it’s also the state that has been the most gentrified over the past few years and will continue to, in our opinion. Texas has an underappreciated diverse, and robust economy, with numerous industries, including oil and gas, technology, healthcare, and manufacturing. This has resulted in job growth and a steady influx of new residents, which drives housing demand.

Let’s start with our 5 reasons to own investment property in Texas

1. Strong Economic Growth:

Over the past decade, Texas has also consistently ranked among the fastest-growing states in the U.S., driven by a number of factors, including a business-friendly environment, a growing population, and a diversified economy – all positive factors contributing to a strong real estate market.

Texas has outperformed the national average in terms of GDP growth.

Insight: The Bureau of Economic Analysis, as of 3Q2022:

Real GDP growth rate for Texas was 8.7% vs. the national average of 3.2%.

Personal Income growth +6.9% vs. national average +5.3%!

People in Texas are seeing their wages grow more, and their companies are growing faster than the rest of the nation by a long shot!

2. Affordability:

Compared to other major U.S. cities, Texas cities like Houston, Dallas, and Austin are generally more affordable in terms of housing costs, which can make them attractive to investors looking to get more for their money.

Texas has a lower cost of living than the national average, which can make it an attractive destination for people looking for a more affordable place to live.

Insight: According to data from the Council for Community and Economic Research, as of March 2023, the cost of living in Texas was approximately 8% lower than the national average.

Mostly from housing, 15% lower, Food, 9% lower, Transportation, 7% and Healthcare, 4% lower than the national average.

Housing costs, in particular, tend to be more affordable in Texas compared to many other parts of the country, which can be an important consideration for people looking to buy a home or rent an apartment.

3. Business-Friendly Environment:

Texas is known for its business-friendly environment, with low taxes, a favourable regulatory climate, and a pro-growth mindset which now leads the nation in the number of Fortune 500 companies that have made the state their headquarters.

In just 2021 alone, 62 companies relocated their HQs to Texas from 17 other states and 3 countries, with Tesla being the most notable.

This steady stream of businesses and corporations relocating to the state brings with them jobs and new residents.

There is no individual income tax in Texas and no corporate income tax. State sales tax of 6.25% is also lower than the national average of 8.20%.

4. Landlord-Friendly State:

Texas is known for its strong protection of property rights, which can be attractive to landlords.

Quick eviction: Landlords have a legal right to evict tenants who fail to pay rent or violate the lease terms with a quick eviction process compared to other states, which can be helpful to landlords who need to regain possession of their property quickly.

Limited tenant protections: Compared to other states, Texas has relatively few laws protecting tenants’ rights. For example, there is no limit on security deposits, and tenants have limited legal recourse if their landlord fails to make necessary repairs.

Freedom to set rent: Landlords in Texas have the freedom to set their own rent prices without being subject to rent control or other restrictions.

5. Strong Rental Market:

Texas cities have strong rental markets, with demand driven by a combination of population growth, job growth, and a relatively high number of renters compared to homeowners.

This can make investing in rental properties in Texas a lucrative option.

Insight: According to data from Zillow as of February 2023, the median rent in Texas increased by 5.8% over the past year and will continue to increase to 8.4% as of May 2023, according to the Dallas Fed report.

I hope this report helps shed some light on why Texas has been and will continue to be one of the most popular states to own an investment property in.

As we mentioned at the beginning of this report, we are bringing brand-new single-family homes in Dallas, Texas, through Asia from March 14-19. If you want to learn more, please click this link and register.

www.americamortgages.com

Do you know which U.S. city ticks all the boxes for property investment?

Post author By Premela R.
Post date February 24, 2023

If you follow our weekly newsletter, you’re well aware that investing in real estate is a great way to build wealth and generate passive income, and there are many great markets in the U.S. for both U.S. expats and foreign national investors. One city that has been gaining a lot of attention in recent years is Dallas, Texas, and the surrounding areas, and for a good reason.

According to a recent report from Norada Real Estate Investments, Dallas is considered to be among the most affordable real estate markets in the United States, where renting is more cost-effective than buying for many residents. The city’s growth over the years has been largely driven by the influx of young people settling in the area, and many of them have opted to rent rather than purchase their own homes. As a result, the demand for rental units in the surrounding areas of Dallas has increased by 14% over the past year, making it an excellent time for investors to enter the housing market. This indicates a thriving housing market and a great opportunity for investors looking to capitalise on the city’s growth.

Here are some reasons why non-resident investors should consider investing in Dallas real estate:

1. Affordable Real Estate Market

Dallas is among the most affordable real estate markets in the U.S., making it an attractive option for investors looking for high returns without breaking the bank. Dallas’s median home sale price is around $388,995, which, with leverage, is less than a $100,000 cash investment. Additionally, home values in Dallas have appreciated by an average of 4.3% per year over the past 10 years, which proves pre and post-covid, there is strong demand.

2. Growing Population and Strong Job Market

Over the past few years, Texas has become a top destination for companies looking to relocate or expand, with several high-profile companies already having made the move. In particular, Tesla, Oracle, and Hewlett-Packard have relocated to Texas, and this trend is expected to continue in 2023. Texas is considered the top state for business in the U.S. due to its favourable tax laws, pro-business regulatory climate, and skilled workforce, making it an attractive destination for companies to relocate or expand.

Current projections show that as companies expand and hire, the demand will stress the already limited inventory of available rentals. Increasing demand for rental units makes it easier for investors to find tenants and keep their properties occupied, leading to stable and predictable cash flow.

3. High Rental Demand

Rental demand is high in the Dallas surrounding areas due to a growing population and strong job market, making it a good market for buy-and-hold investors. Dallas has a diverse range of neighbourhoods and property types, from high-end luxury homes to more affordable multi-family properties, providing options for investors with different investment strategies and goals.

4. Low Property Taxes

Dallas has a relatively low property tax rate and no state tax compared to many other major U.S. cities, which can help to improve an investor’s return on investment. This is particularly important to note for foreign national and U.S. expat investors who may not be as familiar with the local tax laws and regulations.

In conclusion, the Dallas real estate market offers many benefits for both domestic and foreign investors. Its affordability, growing population, strong job market, high rental demand, low property taxes, and experienced real estate market make it an ideal location for those looking to invest in U.S. real estate.

All signs indicate that the Dallas real estate market is expected to experience an increase in demand for rental, and with higher interest rates bidding wars are something of the past. This is an excellent opportunity for savvy investors to negotiate deals, concessions, and discounts which haven’t been seen in a while in these markets.

You can never time the market, and America Mortgages always preaches “date the rate and marry the property.” Our loan officers are with you from the start through your entire journey and will advise when rates dip and refinancing makes sense. America Mortgages only offers mortgage solutions to non-resident investors and expats looking to invest in U.S. real estate. With our expertise and connections in the U.S. real estate market, no other company compares. We understand the unique needs of international investors and can help navigate the often-complicated process of obtaining a mortgage in the U.S. from application to signing.

America Mortgages provides expertise in finding the best financing options and valuable insights into the local market to help investors make informed decisions and maximise their returns. Contact us at [email protected] to find out more.

Speak with a U.S. mortgage expert now by scheduling a call at www.calendly.com/u-s-mortgages. Start your journey today!

For more details, visit us at www.americamortgages.com or email us at [email protected].

Q&A: Investing in Undervalued U.S. Properties with Nick Worthing & Rauf Said

Post author By Premela R.
Post date February 4, 2023

America Mortgages - Investing in U.S. Properties

During our recent live webinar on “Investing in Undervalued Properties,” our expert hosts, Nobel Sky International’s Founder, Rauf Said (RS), and America Mortgages’ Vice President of U.S. Lending, Nick Worthing (NW), received a lot of questions from the participants. Unfortunately, there was limited time to address all inquiries during the session. For those who missed the opportunity to join the webinar, it is available here.

To address the questions, we arranged for both Rauf and Nick to set aside time to provide insightful answers.

Remarks have been edited for clarity and brevity.

Q: I own a few U.S. properties. Can you get a mortgage and buy several homes at once?

NW: Yes, we can do a portfolio loan, cross-collateralised by all properties; this would be one loan.

Q: What is Noble Sky’s and America Mortgage’s collaboration? Is it a partnership?

RS: America Mortgages will be Noble Sky’s go-to partner for our foreign clients to access U.S. mortgage financing options for their real estate investment opportunities.

Q: Should you look at the crime rate and demographics of people living in the area?

RS: Yes, they do play a part in your investment decision. However, it is important to approach every real estate investment independently to ensure that you take advantage of potential investments and make the right choice.

Q: Who owns the property between you buying from the wholesaler and it being fixed?

RS: The investor.

Q: Typically, how long do you hold the property for flipping?

RS: 9 months to 1 year.

Q: How many properties can you buy?

NW: As many as you have the money available for – the underwriting isn’t based on your income, so it will come down to how much you have available for the down payment and reserves.

Q: A question to Nick: Do we get a pre-approval not knowing what project we are getting into for fix-and-flip or fix-and-hold property?

NW: Yes, but the pre-approval only confirms you have the down payment available, as most of the underwriting will be completed when we have the appraisal for the property.

Q: How is Noble Sky making money? Commission?

RS:

1. Incorporation of business entity
2. Tax filing, bookkeeping
3. Proposal and research of suitable assets
4. Management of the assets for flip or rental
5. Renovation of your property
6. Performance of the flip profit and rental income sharing

Q: This is really good with leverage! I’m in Singapore now. How can I make an appointment?

RS: Please reach out to +65 9422 0100 or [email protected].

Q: What’s the loan interest rate for us as foreigners?

NW: It really depends on how you qualify and what loan program you choose. We have loan programs that qualify on foreign earned income and loan programs that qualify only on the rental income of the property. With most loans offering 30 year tenure and fixed interest only programs most are seeing better yields than when rates were 3%.

Q: How easy is it to flip a property in the current high interest & high borrowing cost environment for prospective buyers?

RS: Buying in the right area with the right fundamentals and demographics is key. Ensure you don’t buy an overly expensive property, so your pool of ready buyers will be greater.

Q: Is the income yield from long-term rentals better than Airbnb’s?

RS: The portfolio in Noble Sky shows that Airbnb’s short-term rental income yield is higher than long-term rental income. We will monitor the market if the data changes.

Q: What’s the average occupancy rate for your Airbnb properties?

RS: Minimally, 90% occupancy.

Q: What’s the maximum loan-to-value and minimum loan amount?

NW:Theminimum loan amount is $150,000. The max LTV is 75% for purchase, and 70% cash-out refinance.

Q: Do you offer non-recourse loans?

NW: Yes, but only on larger (over 2M) loans require recourse.

Q: Who has the final decision on when to sell? What happens if I want to keep the property for 24 months, but Rauf intends to sell after 9 months?

RS: You, as the owner, have the ultimate decision. Noble Sky advises you on the best exit strategy based on our experience. If you choose to pivot from flip to rental, then our rental sharing of the income will apply.

Q: Any strategies to devalue a property to revalue it later? Would you recommend it?

RS: Yes, we may “haggle” with the seller during the purchase based on the inspection report. We recommend doing it, but it is important to do it professionally.

Q: In profit share, do you consider the borrowing cost?

RS: No. We have a tier-sharing structure that is based on only the amount of cash you commit.

Q: If the property is so run down, why are locals not buying it easily? Also, what are the chances of getting a high flip price?

RS: The locals form the largest concentration of people buying these properties. High flip prices will depend on how you remodel your property and if the area supports a high price. Research before buying any property is highly important to ensure you buy right in the first place.

Q: What is the cost to create and maintain a U.S. entity to hold the property?

RS: The cost to create a U.S. entity is US$997. The monthly cost to maintain your entity with bookkeeping, tax returns filing, and annual returns is US$97 per month. We also throw in research of prospective assets every 2 weeks as a bonus.

Q: Rauf, How do you see the accelerating decline of real estate prices in the U.S.? While construction costs are fairly high. Is flipping getting very risky?

RS: Flip will be risky on the higher-priced properties (above $350k). When property prices decline, there will be more fear in the market. That is the best time for you as informed investors to enter. Not just when the market is on an uptrend. As a gauge, always ensure you buy even lower than the market median.

America Mortgages specialises in providing real estate financing to foreign nationals and U.S. expats. Our expertise in addressing their specific financial and documentation requirements simplifies the mortgage application process. We offer customised lending solutions.

Speak with a U.S. mortgage expert now by scheduling a call at www.calendly.com/u-s-mortgages. Start your journey today!

For more details, visit us at www.americamortgages.com or email us at [email protected].

Want to Buy a House in Canada? Not So Fast.

Post author By Premela R.
Post date January 27, 2023

In recent years, Canada has seen a significant influx of foreign buyers purchasing real estate in major cities like Toronto and Vancouver. With the average home price more than 11 times the median household income after taxes, Canada has now become one of the most unaffordable housing markets in the world. In an effort to cool down the housing market and make homes more affordable for Canadians, the Canadian government has implemented a ban on foreign homebuyers, except for landed immigrants, workers on temporary visas, refugees, and some international students. The ban officially began on Jan 1, 2023, and will remain in place for at least two years.

The Canadian government’s measures to restrict foreign buying in the housing market may pose challenges for foreign investors looking to purchase property in North America for stability. However, it also presents an opportunity for them to explore Canada’s neighbour to the south, the United States, as a more viable and inclusive alternative.

The U.S. real estate market is large and diverse, and foreign investors have the same rights as a U.S. citizens when it comes to purchasing property and earning a return on their investments.

According to a report by NAR, international buyers purchased $59 billion worth of U.S. residential properties from April 2021 – March 2022. Although that roughly makes up only 2.6% of the trillion-dollar market, it’s significant.

There are several potential benefits to investing in U.S. properties as a foreign national, including:

Potential for high returns: The U.S. real estate market has historically been stable and has the potential for high returns on investment.
Diversification of investment portfolio: Investing in U.S. properties can be a way to diversify a foreign national investor’s investment portfolio, spreading risk across different markets and assets.
Opportunity to invest in a stable economy: The U.S. economy is one of the largest and most stable in the world, providing a secure and predictable environment for real estate investment.
Potential for rental income: Foreign nationals can earn rental income from their U.S. properties, which can be used to offset the cost of the investment or provide a steady stream of passive income.
Potential for appreciation: U.S. properties in many states appreciate in value over time, providing investors with capital gains.
Tax benefits: Foreign nationals may be eligible for tax benefits on their U.S. real estate investments, such as deductions for mortgage interest and depreciation.

When comparing investing in the U.S. vs. Canada, there are a few key factors to consider, such as property prices and rental yield.

Regarding property prices, the U.S. generally offers more affordable options than Canada. According to data from Zillow, the median home value in the U.S. is currently around $357,300, while in Canada, the median home value is around $717,000. This means that investors in the U.S. can purchase more properties or invest in higher-priced properties for the same amount of money.

In addition to lower property prices, the U.S. also offers higher rental yields. According to Mashvisor, the average rental yield in the U.S. is currently around 6%-7%, while in Canada, it’s about 2%-3%. This means that investors in the U.S. can earn a higher return on their investment through rental income.

Another advantage of investing in the U.S. is the diversity of the market. The U.S. real estate market is large and diverse, with different regions and cities offering various investment opportunities. For example, investors can choose to invest in a bustling metropolis like New York City or a quieter, more suburban area like the suburbs of Atlanta. This diversity allows investors to find the best investment opportunities to match their goals and risk tolerance.

O’ Canada, in our opinion, the U.S. real estate market offers several advantages over Canada, such as lower property prices, higher rental yields, and a more diverse market. As Canada is “closed” for these opportunities now, perhaps now may be the time for investors to look down south, America.

America Mortgages has one job – providing high quality, market rate mortgage loans tailored specifically for foreign nationals and U.S. Expats, and no one does it better.

Our loan programs do not require the borrower to have any U.S. credit history. In lieu, we accept international credit reports from the borrower’s home country or country of residence. As a super broker that offers U.S. mortgage loans in all 50 states, America Mortgages has a solution for almost every situation where a non-U.S. resident requires U.S. mortgage financing. The fact we approve 97% of our foreign national loan submissions highlights our expertise.

Schedule a call today with one of our U.S. mortgage specialists to start your journey today! www.calendly.com/u-s-mortgages

For more details, visit us at www.americamortgages.com or email us at [email protected].

America’s Insane-Record-Smashing Luxury Home Sales of 2022

Post author By Premela R.
Post date January 14, 2023

The United States is home to some of the world’s most luxurious and opulent properties. From sprawling estates in the heart of Los Angeles to oceanfront estates in New York, these homes are a testament to the extraordinary wealth and success of the individuals who own them.

According to Mansion Global, these are the 6 most expensive homes sold in America in 2022, and they are definitely a showcase of grandeur and opulence and represent the pinnacle of luxury living.

1. $173 million mega-mansion, South Florida

Everyone is likely familiar with the Billionaire founder of Oracle, Larry Ellison; however, you may not be familiar with his home. This massive 16-acre luxury property in South Florida was sold for a smashing $173 million. The luxury mansion has a dock, two beach cottages, a pool, a seven-bedroom guest house, and a three-hole golf course.

South Florida, especially in the Miami area, is a popular destination for luxury real estate investors, thanks to its warm weather, beautiful beaches, and diverse culture. The South Florida real estate market is strong, and luxury properties in the area have historically appreciated over time.

2. $106.87 Million Mansion, South Florida

What’s the most that was ever paid for a home in Miami-Dade County? Records show Hedge fund guru, Ken Griffin, stole the record from himself. Last year, he set the previous all-time high when he dropped $75 million on a home on Star Island, a man-made island in Biscayne Bay. What will Ken do in 2023?

Griffen’s waterfront compound overlooking Biscayne Bay was sold for $106.875 million. The mansion features 12 bedrooms, an outdoor tennis court as well as 400 feet of water frontage.

South Florida’s location on the Atlantic Ocean and Gulf of Mexico provides many opportunities to own waterfront properties with beautiful views and beach access.

3. The ONE, $126 Million Mega-Mansion, Los Angeles, California

Nile Naimi took 10 years to build what was supposed to be one of the most expensive luxury homes in the world, only to run into financial issues and have the property sold at auction. Although this amazing luxury home ran into problems, The One, a Bel-Air, Los Angeles, mega-mansion, was still sold for $126 million. The property features everything and anything including a jellyfish aquarium, a “Monaco-style” casino, and a 180-foot infinity pool.

Los Angeles is known for its beautiful weather, diverse culture, and entertainment industry, which makes it an attractive destination for luxury real estate investors. Los Angeles is known for its high rental prices, making luxury properties profitable for investors.

4. $101 million – Pair of Apartments, Manhattan, New York

In the city that never sleeps, it should be no surprise that one of the most expensive properties sold in 2022 is in New York City.

Paul Allen, the late Microsoft co-founder owned a penthouse and another unit on the 11th floor. The pair of luxury apartments in the Upper East Side in Manhattan, New York, was sold for a whopping $101 million. Smashing the previous record!

5. $73.74 Million Penthouse, New York

Many luxury properties in New York City are located in prestigious neighbourhoods like the Upper East Side, Upper West Side, and Tribeca, which can add to their appeal and value.

One of the most expensive homes sold in 2022 was a $73.74 million penthouse along billionaires’ row in New York. The property features a private saltwater swimming pool, cabana, a wraparound terrace, a primary suite with a private terrace and a hot tub, two walk-in closets, and an en-suite bathroom with a soaking tub.

6. $34.5 Million Mansion, San Francisco, California

San Francisco is known for its high cost of living but also for its booming tech industry, cultural diversity, and beautiful surroundings. The city is a global centre of innovation and attracts a diverse range of people worldwide. This makes it an attractive destination for luxury real estate investors.

The Billionaire owner of Manchester United and the Tampa Bay Buccaneers dropped a cool $34.5 million on a Beaux-Arts mansion built in 1927 in San Francisco. The luxury eight-bedroom house was built by architect Arthur Brown Jr who also designed San Francisco’s City Hall.

America Mortgages – HNW Foreign National and U.S. Expat Mortgage Experts

The U.S. luxury real estate market has historically been resilient, with steady demand from both U.S. expats and international buyers. Luxury properties can command higher rental prices, providing investors with a steady stream of rental income and a potential appreciation in value. Luxury trophy properties can be found all around the U.S., from well-known neighbourhoods such as Beverly Hills, Bel Air, and Pacific Heights, to the glitzy avenues of New York, Boston, or Chicago.

America Mortgages are experts in helping foreign nationals and U.S. expat investors with luxury real estate financing in the U.S. Our expertise in handling foreign nationals’, and U.S. expats’ often unique financial and documentation needs make the mortgage application process more streamlined. We offer flexible lending options to our high-net-worth clients, such as fixed interest-only loans or loans with non-traditional income documentation – perfect for entrepreneurs, business owners, and HNW individuals.

Schedule a call today with one of our U.S. mortgage specialists to start your journey today! www.calendly.com/u-s-mortgages

For more details, visit us at www.americamortgages.com or email us at [email protected].

Best Tips for Passive Income

Post author By Premela R.
Post date January 12, 2023

As a company that only focuses on non-U.S. residents buying U.S. property, we have an interesting perspective regarding the best tip to generate passive income. Even in a high-interest rate environment, investing in U.S. real estate or real estate in general with the mindset of buy and hold is a proven way to hedge against inflation. When you put resources into buy and hold real estate, you have a consistent and predictable source of revenue. As the credit market tightens and interest rates continue to increase, the demand for rental properties will increase. Eventually, the market will soften, and there could be a correction in rates. However, with long-term rental contracts, most investors should see little impact giving you a long-tail projection for rental income.

The difference between the rent collected and your expenses is your income or “free cash.” If calculated correctly, you can utilize this “free cash” to cover your bills, save for the future, or even make a greater real estate portfolio. Whether you are a U.S. expat or a foreign national, you can buy a U.S. property solely for passive income, such as vacation homes, corporate rentals, short-term rentals, long-term rentals, etc. Long-term hold properties with long-duration fixed interest rates could potentially provide a predictive passive income in your retirement years.

This strategy can provide a regular source of income in the form of monthly rent payments and has the potential for long-term appreciation and diversification of your investment portfolio. The potential benefits of investing in rental properties include the following:

Regular income: Rental properties can provide a source of regular income through monthly rent payments.
Potential for long-term appreciation: Property values can appreciate over time, providing the potential for capital gains when the property is sold.
Leverage: It’s often possible to use leverage (i.e., borrowing money) to finance the purchase of rental properties, which can help you acquire more properties and increase your return on investment.

With America Mortgages’ Investor Rental Mortgage (AMIRM), overseas investors can now qualify for a U.S. Mortgage using ONLY the property’s rental income! America Mortgages has a 97% approval rate for both U.S. Citizens & Foreign Nationals. That is our sole focus and our expertise. Contact us today to speak to one of our loan officers at [email protected].

For more details, please visit us at www.americamortgages.com

The Requirements and Process for Getting a U.S. Mortgage Loan

Post author By Premela R.
Post date January 6, 2023

The process and procedure for obtaining a mortgage loan as a U.S. expat or a foreign national in the United States can vary depending on the loan program. However, there are a few general steps that are typically followed when applying for a mortgage loan with America Mortgages:

Determine your budget and the type of mortgage that you are interested in

This will help you narrow down your options and provide an understanding of monthly payments and the down payment required.

Compare rates, terms, and benefits of each loan program

America Mortgages’ loan officers are all experts working with foreign national and overseas expat clients – that is all we do! Once you let us know of your requirements, we will suggest a program that best suits your needs, based on our database of 150 U.S lender programs. However, there are a lot of options, such as tenure of the loan, down payment, qualifying standards, etc., that need to be discussed and understood. As the leading experts in this range of mortgage financing, our team can guide you through what can be a confusing array of options.

Get Pre-qualified for a mortgage

The most important step in getting a U.S. mortgage loan is getting a pre-approval letter from America Mortgages. This letter states that you have been pre-approved for a mortgage. It is a straightforward process and is easier than applying for a mortgage in most other countries. It’s a straightforward and easy process and likely easier than applying for a mortgage in most other countries. This involves completing the U.S. loan application, credit report from your home country, and financials showing you have the down payment available. Pre-qualification is vital when you put an offer in on a property. It will be required in every transaction, so it’s better to get it done before you start “shopping.”

Documents needed to apply for a U.S. mortgage

1. Loan application completed
2. Passport
3. Bank statements or financials showing down payment (purchase only)
4. Credit report from your home country or country of residence (U.S. credit not required)
5. If you are choosing to provide personal income, you will need to provide either an income letter or tax returns (no income loans are available)

Loan programs available

U.S. Expat & Foreign National – Second home. This is a property you will personally use and not rent out.

U.S. Expat & Foreign National – Investment property. This a pure investment property that will be rented either long-term or short-term.

Complete a mortgage application

The loan program you choose will depend on how the mortgage application will be completed and what supporting documents will be provided. With America Mortgages, foreign nationals and U.S. expats do not need U.S. credit to qualify for a U.S. mortgage. If you have credit in your home country or the country you are currently living in, that will be sufficient. In the event you don’t have any credit history, we have loan options for this as well.

Receive and review your loan approval

America Mortgages will review your application and supporting information and submit it to the pre-determined lender. If you are approved, America Mortgages will provide you with a mortgage commitment, which outlines the terms and conditions of the loan for you to make a decision. Currently, our approval rate is 97%!

Order the appraisal report for the property

America Mortgages will assist in ordering an official appraisal for the property. This is done by a third-party appraisal management company approved by the lender. The normal cost is $600-$1,000, depending on the property size, location, and complexity.

Clearing underwriter conditions

In general, the loan programs we feature are very straightforward and require minimal documentation from the borrower. However, the underwriter might request for further documentation or explanation for one or two items.

Clear to close “almost home”

Once your loan officer provides you with a “clear to close”, it means all items have been signed off by the underwriter, and the loan is being moved to loan documents/funding status.

Sign the mortgage documents and complete the closing process

Once all the necessary steps have been completed, you will be able to close on the mortgage loan and purchase the home. We have a variety of ways to sign your mortgage closing documents;

1. Sign at a U.S. Embassy or U.S. consulate near you

2. It may be possible to sign at a local notary and receive an Apostille if the country you’re in is a part of The Hague Convention

3. It may be possible to sign over a video call with the escrow agency

4. Limited Power of Attorney – Specific only for this transaction, it may be possible to appoint a trusted advisor in the U.S. to sign the closing documents on your behalf

Fly to the U.S. You are not required to sign in the state or city where the escrow is located. We can arrange a mobile notary to meet you almost anywhere in the U.S. to sign

Our team of mortgage professionals are located around the world with one focus – providing exceptional service and the best loan programs to our clients globally. Some of the ways that America Mortgages can help foreign nationals and U.S. expats include:

1. Offering a variety of mortgage loan options, including conventional, non-QM investor, and jumbo loans

2. Assisting you with the mortgage application process, including gathering and reviewing the necessary documentation

3. Providing personalised guidance and support to help you find the best mortgage loan for your situation

4. Working with you to understand your financial goals and help you achieve homeownership

5. Providing ongoing support and assistance throughout the mortgage process, from application to closing

What’s the unique thing that America Mortgages does that banks can’t? You can actually qualify for a U.S. mortgage with the following:

No U.S. credit needed
No personal income required
No W2 required (U.S. Expat)
Qualifying based on rental income
High-Net-Worth Loan programs that do not require any AUM
Self-employed loan programs

By working with America Mortgages, you can access a range of mortgage loan options that are suited to you and receive expert guidance and support throughout the mortgage process. Foreign nationals can get up to 75% financing, and U.S. expats can get up to 80% financing in all 50 states. This can help you make informed decisions about your mortgage options, increase your chances of obtaining a loan that meets your needs, and enables you to achieve your real estate investment goals.

Schedule a call with us at calendly.com/u-s-mortgages today!

For more details, visit us at www.americamortgages.com or email us at [email protected]

Looking for international mortgage loans globally, including the U.K., Australia, Canada, France, Portugal, Spain, Singapore, Hong Kong, Japan, Thailand, Philippines, Dubai, and many other locations? Visit our parent company Global Mortgage Group (GMG), at www.gmg.asia

Marry the Property, Date the Rate

Post author By Premela R.
Post date December 30, 2022

What will the 2023 U.S. real estate market look like?

Even a crystal ball or Nostradamus may have difficulties with this one. Ultimately, the outlook for the real estate market in 2023 will depend on a range of economic and market forces, and it is difficult to predict with certainty. The one certainty we can predict, as the market goes from a sellers-market to a buyers-market, is that there will be fantastic opportunities for investors with a long-term hold strategy. Low overall inventory and skyrocketing rental yields will keep demand strong for properties, which can lead to an appreciation in value over time.

For foreign nationals and U.S. expats looking to invest in U.S. real estate, now may be an excellent time to take advantage of these favourable market conditions. Although interest rates are higher in recent times, loan programs are more creative and aggressive, including 40-year fixed loan terms, which have given real estate investors higher yields than when the market was in a buying frenzy, and rates were sub 3%.

America Mortgages did their annual end-of-the-year group meeting of our loan officers around the world to gauge what clients are saying regarding their 2023 strategy. The best answer came from a client in Hong Kong that owns hundreds of U.S. rental properties, 387 to be exact. His advice is; “Instead of trying to time the market, it is generally a better strategy to focus on your own financial goals and needs when it comes to real estate investing. This may involve finding properties that meet your budget, your lifestyle or investing in real estate as part of a long-term financial plan. When people are unsure, it’s an opportunity for the rest” Mic drop!

Why invest in U.S. real estate?

One of the main benefits of investing in U.S. real estate is the potential for long-term appreciation. As the value of a property increases over time, the investment can generate significant returns for investors. This is particularly true in markets with strong demand for housing, such as major cities like New York, San Antonio, and Los Angeles, or popular vacation destinations such as Hawaii, Las Vegas, and Florida.

Appreciation: Real estate prices can increase over time, which means that property investment could potentially appreciate in value.
Passive income: Renting out a property can provide a steady stream of passive income, which can be especially attractive for investors who don’t want to be actively involved in managing the property.
Diversification: Investing in real estate can help to diversify an investment portfolio, which can help to reduce risk.
Leverage: It is possible as a non-U.S. resident to purchase a property with a mortgage, which means that the investor can leverage the bank’s money to make the purchase. This can allow an investor to acquire a larger property or more properties than they might be able to afford with cash.
Tax benefits: There may be tax benefits to investing in real estate, such as the ability to write off certain expenses related to the property, such as mortgage interest, property taxes, and repairs.

Marry the property. Date the rate.

Buying a property in the United States and refinancing when interest rates go down can be a smart financial move. The first step is to secure a property. Once you’ve completed the purchase, you may choose to consider refinancing when interest rates go down. Refinancing involves taking out a new mortgage to pay off your existing one, potentially at a lower interest rate, and releasing equity. This can help you potentially save money on your monthly mortgage payments and give you additional funds to purchase more property or use it towards other investments.

Opportunity cost: If an investor waits for the “perfect” time to enter the market, they may miss out on opportunities to make profits in the meantime.

Yield. Yield. Yield.

Another advantage of investing in U.S. real estate is the ability to generate passive income through rental properties. By owning a property and renting it out to tenants, investors can receive regular income without actively working for it and the ability to use the property as a vacation home or place to retire. This can be a great way to diversify an investment portfolio and generate additional income streams.

The demand for rental properties in the U.S. has been strong in recent years, and this trend is likely to continue in the coming years. Although not required, for foreign nationals and U.S. expats who have ties to the United States or simply want to have a presence in the country, owning a property can be a great way to establish roots for future endeavours, such as your children attending university.

“Real estate is an imperishable asset, ever increasing in value. It is the most solid security that human ingenuity has devised. It is the basis of all security and about the only indestructible security.” – Russell Sage.

AM Concierge Service

If you’re looking to purchase property in the United States, America Mortgages’ concierge service is a free service that can provide valuable assistance throughout the process, such as finding a realtor and obtaining property insurance.

The concierge service can help you navigate the complex process of purchasing property in the United States, from finding the right property to securing financing. Whether you’re a foreign national or a U.S. expat, the team at America Mortgages can help you navigate the unique challenges and opportunities that come with purchasing property in the U.S.

As a multi-award-winning company, our only focus is providing U.S. mortgage financing for Foreign Nationals and U.S. Expats. 100% of our clients are living and earning their income abroad.

If you are interested in learning more about investing in the U.S. and the services offered by America Mortgages, contact us at [email protected]