There are certain things that foreign nationals have to consider and evaluate before they buying a home in the United States of America and in this article Dc Fawcett gives guidelines for foreign nationals on the same.
You have to determine the purpose of the property
Before you buy a property in the United States of America, you should determine the purpose of the property. Consider
- Whether the property is going to be used as a vacation home
- How many years you will own the property
- If you are going to do business in the United States of America
- If you are going to bring up your kids there
- The U.S. does not allow visitors to stay for duration longer than the Visa permits and if you want to do so, then you should consult an immigration lawyer. This applies to property owners also.
Know about mortgage obtaining processes
You should know about the policies for obtaining a mortgage and this process in the United States of America is a very lengthy one. It takes around 45 days to get an approval for your loan and the costs are very high in the United States. Interest is payable monthly and the U.S imposes additional charges on foreign mortgages by charging foreign national premium. This is a safety precaution that it undertakes since it does not know about the credit history of the mortgagee.
Research about Average closing costs
Average closing costs include real estate agent fees, home inspection costs and lender’s costs and these add to the final purchase price. Closing costs can be as little as 100 dollars or as much as thousand dollars. Lenders fees form a chunk of closing costs and foreign buyers in the U.S are required pay larger down payments. Determining average closing costs can provide the buyer with an approximate figure since most home purchases are not average and you have to research state-wise. But this research is very crucial and has to be done.
You should find a suitable real estate agent
As a foreign national, you should be very careful in finding a real estate agent, so research various blogs, talk to friends and some local acquaintances, verify foreign client history and so on. When you hire a real estate agent, ask him questions and take a friend who knows the local procedures with you. You should choose a real estate agent who can speak your native language since even though you can obtain translations of conversations between the seller and the agents and other standard real estate documents in your native language, the closing formalities usually come in English. So, choose an expert and versatile real estate agent.
The above paragraphs constitute some basic guidelines for buying a home in the U.S by Dc Fawcett and all foreign nationals who want to buy a home should read this. They can use this as a foundation for further research on this topic.