Getting an overseas mortgage in America can seem like an insurmountable challenge. The world of borrowing money has made many changes in this rapidly changing economy. We used to be able to get 95 and 100 percent financing for property with very little paperwork or documentation. Those days are gone forever. Oh, financing will loosen up again BUT not to the degree we have been accustomed to.
Mortgages in America, Overseas Mortgages What You Need to Know
Today is challenging enough for the domestic investor looking for financing and is even more challenging for our foreign friends. When it comes into larger purchased such as a (5 unit and larger), the availability becomes a little easier as this is considered a commercial loan. Commercial loans have more complex paperwork involved but the approvals become easier. This is because the loan approval process on a commercial loan weighs more heavily on the property itself where the residential loan weighs more heavily on the borrowers lending power.
When it comes to residential investment property loans for our Foreign Friends we ask you to hold tight. As time moves forward and the lenders feel the economy is moving along nicely the lending will open up again. BUT KNOW THIS, the primary reason we are able to purchase homes at such incredible prices is because financing is so challenging. In order to get incredible pricing on property you need to buy with Cash. Cash is King so the buyer gets to negotiate incredible prices. These incredible prices will disappear as fast as the lending appears. So the best way to capitalize on the great buys is to position yourself to purchase with cash so you can get the best acquisition price.
Of course you will want to keep your financial portfolio strong so you can put a mortgage on your investment as the markets open up. As this happens you will be able to grab the fifth Wealth building principle (Leverage). Then you can use your purchasing power to acquire another investment.