NAR convened a work group of member experts to study easing restrictions on foreign investment in U.S. commercial property governed by FIRPTA and make recommendations to D.C. lawmakers.
When it comes to mortgage financing on U.S. properties, domestic buyers have one distinct advantage over global ones: their credit history is easily accessible. Not so with foreign borrowers. Verifying an overseas credit standing can be the make-or-break hurdle to getting a loan and closing a transaction.
If you have worked with global buyers of U.S. properties, at some point you’ve probably been asked about financing. During and after the recession, mortgage programs were limited to non-existent. Recently, however, the tide has turned and credit to foreign buyers has loosened. In fact, some institutions view lending to foreign nationals as a growth market. Depending on your buyer’s resources, there may be several products that meet their needs and circumstances.
In recent years, cash has dominated U.S. real estate purchases by foreign nationals. According to NAR’s 2013 Profile of International Home Buying Activity, agents reported that 63 percent of their international transactions were conducted without financing.
Is that because foreign buyers prefer a cash purchase, or do they feel locked out of the U.S. mortgage market? If the latter, agents may be able to help more global buyers reach the closing table by identifying lenders ready and willing to meet their buyers’ needs.
This issue of Global Perspectives looks at the foreign national mortgage market for U.S. properties, and addresses lending programs for overseas buyers and ways to find the right mortgage for your foreign clients.
Find out which are the top five countries of origin for foreign buyers of U.S. homes, and find out where in the U.S. they are buying.
The information in this infographic comes from the 2014 Investment and Vacation Home Buyers Survey.
In this short video learning series, RPR® will show you how to create the ultimate relocation package.
NAR submitted comments to the CFPB, US Department of Treasury, FDIC, Federal Reserve Board, and Federal Housing Finance Agency on the proposed rule to establish minimum requirements for Appraisal Management Companies.
This infographic was created using data from the 2014 Investment and Vacation Home Buyers Survey.