YES AND NO: Whether you need a US bank account to get a loan depends on the lender’s policies and the type of loan you’re applying for. Some lenders may require applicants to have a US bank account for various reasons, including facilitating loan disbursements and managing payments. However, IFG prefers working with the lenders who do not have such a requirement as it becomes an easier prosses for Foreign Nationals. Often, it depends on the bank you use and if they have a U.S. branch. However, having a US bank account can simplify the process of paying for expenses associated with purchasing a home, such as closing costs and property taxes.

An Individual Taxpayer Identification Number (ITIN) is required for Foreign Nationals who are involved in a real estate transaction in the USA. While an ITIN is not necessary for the actual purchase, it is needed for tax purposes if you are a foreign seller of a U.S. real property interest.

No, you do not need a Visa to buy property in the U.S. Foreign Nationals can purchase property in the USA with no restrictions and have the same homeownership rights as US citizens. Nevertheless, possessing a visa or legal residency can impact your eligibility for financing and the variety of properties you’re able to purchase. Moreover, some visas may limit the duration of your stay, affecting your capacity to oversee or utilize your property. Consulting with an experienced immigration lawyer and a real estate expert is recommended to fully grasp the legal and financial aspects of acquiring property in the U.S. as a non-citizen.

Yes, Foreign Nationals who own rental properties in the United States are generally subject to U.S. income taxes on the rental income they receive. Rental income is deemed U.S.-source income and thus subject to U.S. tax, irrespective of the owner’s residency. Non-resident Foreign Nationals receiving rental income from U.S. properties might face a 30% withholding tax on the gross income, unless a tax treaty stipulates a lower rate or exemption. They are also obliged to file a U.S. tax return to report their rental earnings and expenses, with the possibility to deduct certain costs associated with the rental property, like property taxes, mortgage interest, and upkeep expenses. For Foreign Nationals with rental properties in the U.S., adhering to U.S. tax laws is crucial, and consulting a tax advisor or attorney knowledgeable in international tax could be advantageous.

There are several strategies you can employ to protect your investment and ensure effective management. By implementing these strategies and actively participating in the management of your property, you can safeguard your investment and maximize its potential returns, even from afar.

1. Hire a Property Management Company: Hiring a reputable property management company in your property’s area is advisable. They are equipped to manage daily operations, including tenant screening, collecting rent, performing maintenance, and addressing emergency repairs on your behalf.
2. Establish Reliable Communication: Maintain open communication channels with your property manager, tenants, and service providers. Ensure they have multiple ways to reach you in case of emergencies or important issues.
3. Establish Reliable Communication: Maintain open communication channels with your property manager, tenants, and service providers. Ensure they have multiple ways to reach you in case of emergencies or important issues.
4. Regular Inspections: Schedule for regular inspections of the property to ensure its proper maintenance and adherence to local regulations. It may be beneficial to employ a local inspector for comprehensive evaluations
5. Legal and Tax Compliance: Stay informed about local landlord-tenant laws, zoning regulations, and tax obligations. Consider hiring a local attorney or tax advisor who specializes in real estate to ensure compliance with all legal and financial requirements.
6. Secure Insurance Coverage: Securing comprehensive property insurance is crucial to safeguard against risks like property damage, liability claims, and loss of rental income. It’s advisable to collaborate with an insurance agent who has expertise in insuring properties held by foreign nationals.
7. Emergency Fund: Set aside a contingency fund to cover unexpected expenses, such as repairs, vacancies, or legal fees. Having reserves in place can help mitigate financial risks associated with property ownership.
8. Build a Reliable Network: Establish relationships with reliable contractors, vendors, and real estate professionals in the area. Having a trusted network of professionals can expedite repairs and maintenance tasks when necessary.

1. Ask for Recommendations: Asking for recommendations from friends, family, or colleagues with experience in purchasing property in the U.S. can be beneficial. They can offer valuable insights and connect you with reliable professionals they have previously engaged with. Our IFG Agents also are their to guide you and be sure to look at the Real Estate Listing Page on this website for suggestions.
2. Research Online: Use online resources such as real estate websites, directories, and review platforms to research real estate agents, attorneys, and other professionals in the specific location or region where you’re interested in buying property
3. Check Credentials: To confirm the credentials and qualifications of real estate agents and attorneys, examine their licenses, certifications, and professional affiliations. Seek out credentials like the Certified International Property Specialist (CIPS) designation for agents with a focus on international transactions.
4. Trust Your Instincts: Rely on your instincts and select professionals who provide a sense of comfort, confidence, and support during the buying process. Establishing a trustful relationship with your real estate team is crucial for a successful and seamless transaction.