American research professor at the National University of Singapore buys an apartment in New York.

advisor mortgage group

The Client

Our client is a clinical research director at a top university in Singapore for the past 12 years, and his kids are all studying in the U.S. Being abroad for an extended period of time, he no longer had any credit history in the U.S. or FICO score.

How We Helped

He no longer had any credit history in the U.S. or FICO score. Although he tried with several local and international banks, he was unable to get a loan due to the lack of credit. As we see similar situations often, we knew what loan program would work best for our client. He was able to get a great loan and begin to reestablish his U.S. credit again. Something vital to him when he retires back in New York.

Loan Details

NationalityProperty ValueLoan AmountLTVRate
U.S. Citizen$3,400,000$1,870,00055%5.125%
TermStateProperty TypePurposeLoan Type
5/1 ARMNew York City, New YorkApartmentPurchaseResidential

Canadian investment fund purchases hotel in Texas.

Mortgage Lenders Overseas

The Client

Our client was referred to by a developer in Houston, Texas who we worked with previously. The client is a Canadian real estate investment company looking to purchase a hotel as well as in Houston, Texas. Due to the covid-19 impact on the hotel industry, the borrower was able to secure a very competitive price on a non-flagged hotel property in the U.S.

How We Helped

Due to Covid-19, almost all lenders are on pause with hospitality finance requests, due to the inherent risk of the hotel industry and travel being shut down/limited around the world.

Our client was able to utilize a Bridge Loan to secure the purchase of the property. Once the Covid situation improves and travel opens back up, the borrower will refinance with a traditional longer term commercial loan. With the discounted purchase price, the more costly bridge loan for a few years made sense. (Also see Can a Canadian Buy a House in the USA?)

Loan Details

NationalityProperty ValueLoan AmountLTVRate
Canada-based
Investment Company		$3,100,000$1,550,00050%8.99%
TermStateProperty TypePurposeLoan Type
2 years with
possible extensions		Houston, TexasHotel –
Non-Flagged		PurchaseBridge

What Is Bridge Financing, And How Does It Benefit Investors?

Bridge Financing

For those who are new to investing in real estate, the common question is, what is bridge financing? A better question is, what is bridge financing, and how does it benefit commercial Real Estate investors?

For investors that are well versed in bridge financing, you understand the importance of having access to reliable and reputable bridge lenders. Bridge financing is short-term financing, sometimes referred to as private money, smart money, or hard money. Private individuals and not banks typically make bridge loans, so the interest rates on bridge loans are higher than bank loans. International bridge lending allows non-U.S. citizen / Foreign Nationals to invest in the U.S. or other global Real Estate projects by quickly and efficiently providing the needed capital.

Many commercial real estate investors who were able to purchase distressed commercial properties in recent years made out very well. To act on multiple opportunities simultaneously, many real estate investors have turned to bridge financing.

BRIDGE FINANCING BENEFITS INVESTORS IN 3 IMPORTANT WAYS:

– Bridge financing allows investors to make their money go further. For example, if two properties come together at the same time, an investor can purchase both properties using a bridge loan on each purchase.

– Bridge financing removes partners or family members from a deal. Investing with family members or business partners can be tricky. Bridge loans can remove other partners from the equation, allowing an investor more freedom and flexibility with a newly acquired asset.

– Bridge loans fund faster than bank loans. If an opportunity is good, it won’t last long. Bridge loans have fewer requirements than bank loans and thus close quicker. Bridge financing allows investors can grab a fleeting opportunity before another investor snatches it up.

INTERNATIONAL BRIDGE FINANCING FOR GLOBAL / INTERNATIONAL REAL ESTATE PROJECTS?

America Mortgages’ extensive network offers numerous options for Bridge Financing regardless of your citizenship. Whether for a hotel project in Spain, land in Thailand, or a dairy farm in India, America Mortgages is your solution for reliable capital sourcing.

OUR CAPITAL NETWORK AND EXPERIENCE FOR INTERNATIONAL BRIDGE LENDING EXPANDS BORDERS.

With over 70 combined years of experience in the mortgage and investment banking industry, and with access to funds worldwide, America Mortgages will consider most international bridge funding requests. Currently, we offer bridge lending on international and foreign borrowers with a minimum loan amount of US$3mm with no maximum with a maximum of 50% LTV/LTC.

Get in touch with us today to learn more about the structures and options of bridge financing solutions at [email protected].

U.S. Expat in Singapore refinances home in Virginia to lower monthly payment.

mortgage advisors

The Client

Our client is a lawyer for a U.S. internet company in their Singapore office. They saw our flyer at the American Club and reached out to learn more.

How We Helped

The only thing we had to say is that we offer the same programs as you would find in the U.S., and that there’s a good chance we could even find something lower.

The fact that he could meet us in person already convinced him to use our services.

Loan Details

NationalityProperty ValueLoan AmountLTVRate
U.S. Citizen$512,000$399,36078%2.35%
TermStateProperty TypePurposeLoan Type
15 year fixedRichmond, VirginiaSingle-Family HomeRefinanceResidential

Homeowners Insurance – Why is this important in the Loan Process.

mortgage for overseas property

Homeowners insurance is the insurance policy that ensures the protection of a home and its belongings from specific damages. You can take the insurance for a certain period and pay the provider’s fixed monthly premium.

Standard home insurance is likely to cover your property from the damage caused by perils like storm, wind, hail, fire, theft, and more. Each coverage requires careful research and your living area’s climate condition to decide what to keep and what not.

There is no legal obligation for a homeowner to get homeowners insurance. However, the lender may demand you to have a standard policy, at least during the mortgage period. It is also common to have a policy since it will help you recoup some financial losses after an accident. It would help if you also remembered to review the policy periodically and add and deduct the necessary clauses required for the protection of your house.

What is an ‘Adjustable-Rate Mortgage (ARM),’ and how is it used?

mortgage specialists international

An adjustable-rate mortgage (ARM) refers to a mortgage with variable interest rates, which change regularly after an initial period. It fluctuates with the market interest rates, offering either a financial gain or loss to the borrowers. This is in direct contrast with the fixed-rate mortgage rules that impose a fixed interest rate for the entire repayment period.

Each ARM loan has an introductory period from 3 to 10 years where the interest rate stays lower than that of any fixed-rate mortgage. It’s possible to save a lump sum of money if you can settle the loan within that primary window.

After the initial fixed-rate period, an ARM’s interest rate will depend on the current market rates, meaning the rates can rise or fall over the mortgage’s remaining course. The lender will revise the rate at regular intervals, possibly once a year, and adjust it to the current market rate until the end of the term. To avoid paying extra money in rising interest, you can either sell the house or refinance the loan.

America Mortgages offers standard 5 and 7-year adjustable-rate mortgages (ARM) that you can qualify easily without going through much paperwork. You can also refinance if your home’s market price is at least $150,000 or pull out cash of the home equity.

An ARM might be the right choice if you can pay the loan off during the initial cap or don’t plan to live in the same house for your entire life. Ask the lender about the loan’s margin, the factors related to rate changes, and the intervals of rate changes to see if you can afford the calculated monthly installments.

Qualify For A Foreign National U.S. Mortgage Loan

Foreign National U.S. Mortgage

USA mortgage for NON-U.S. citizens, foreign nationals investing in US real estate.

It is now easier to qualify for a U.S. mortgage loan to purchase or refinance U.S. Real Estate even if you are NOT a U.S. citizen or have a valid U.S. Visa.
Although we LOVE the Power Of YES! We really like to see these “No” requirements even more!!

Here are the “NOs” (the good type of “no”)

  • No income verification
  • No age restrictions. The buyer can be 70 + years old and eligible for 30 years mortgage term
  • No U.S. credit is required
  • No USA visa or residency is required
  • No reserves required
  • No Life insurance is required
  • No pre-payment or redemption penalty
  • No tax returns are required

30% down payment foreign national mortgage program enables foreign nationals, Non-U.S. residents, or employment transferees to place a minimum 30% down payment and finance up to 70% of the property value with no income verification. Most of the lenders still require a 50% down payment to obtain a foreign national mortgage loan, but we can arrange financing with as little as 30% down with no income verification and rates in the low 6s to mid 7s. The borrower must have verifiable funds for the down payment, closing cost, but no payment reserves are required.

Not only is there no pre-payment penalty, meaning you can pay down or off the loan at any time, America Mortgages offers 70% LTV mortgage for foreigners does not require Private Mortgage Insurance (PMI) either, so there is no extra cost.
We also offer rate and term foreign national mortgage refinancing with no limit to cash-out option.

This foreign national refinance mortgage is available as a fixed and or adjustable-rate mortgage. Adjustable-rate is 3/1, 5/1, 7/1 term for 15 or 30 years fully amortized loan. Fixed rates are offered for the 10, 15, or 30 years fully amortized loan.

Here are some of the Loan Program features:

  • Minimum 30% down payment
  • Starting 6.00% Interest rate (right now – 11/01/18)
  • The term: 30 years, 20, and 15 years fixed
  • Loan amounts up to US$5,000,000
  • Par rate only
  • No pre-payment penalty
  • International Credit History Report required in some cases
  • 1 to 4 unit residential property eligible
  • 72 hours for underwriting
  • Closing on average 30-45 day

Here are the requirements for our Foreign National loan program:

  • Copy of executed purchase agreement (purchase only)
  • Copy of passport
  • Credit References (Credit card, Mortgage, Car lease) or International credit report
  • Last 2 months bank statements showing enough funds for a minimum of 30% down payment plus closing cost

We are able to assist with Credit reference or International credit report if needed. Contact us at [email protected] for more information.

U.S. Expat living in Singapore buys investment home in San Diego.

America mortgages

The Client

Our client came to us through his client, a technology founder who saw our press release about disrupting the U.S. mortgage space for overseas borrowers. He wanted to purchase a property in San Diego as a second home for vacations with his son.

How We Helped

Our client had been in Asia for a long time but has been compliant in filing taxes and still maintaining a healthy FICO score. However, his bank, which he still keeps a deposit in, will not offer him a loan since he does not earn a U.S.-based income.

It’s hard to explain to our clients that it’s not that banks can’t help; it’s that they won’t help. Since we have been working with our lenders for almost five years now, they know that when they receive a loan application, we understand how to work with clients to make sure the loan makes sense to both the bank and the borrower.

Loan Details

NationalityProperty ValueLoan AmountLTVRate
U.S. Citizen$3,750,000$2,000,00053%2.50%
TermStateProperty TypePurposeLoan Type
5/1 ARMSan Diego, CaliforniaSingle-Family HomePurchaseResidential

What is a ‘Fixed-Rate Mortgage’ vs. an Adjustable-Rate Mortgage?

mortgage advisors

A fixed-rate mortgage keeps the interest rate fixed throughout the loan term. This is the direct opposite of an adjustable-rate mortgage (ARM) that changes the interest rate regularly.

America Mortgages offers various fixed mortgage loans ranging from 15 to 30 years. Regardless of the length, the rate in all of them remains the same for the entire period.

In the case of a fixed-rate mortgage, if you purchase a home with a 15-year loan and your monthly payment is set at $1,500 in a fixed interest rate, you will be paying exactly this amount throughout the entirety of the loan.

People with a budget who do not want to deal with the sudden surge in interest rates will find this mortgage type ideal for them. However, these borrowers will not be able to take advantage of a drop in the interest rate unless they choose to refinance to modify their terms. A fixed-rate mortgage is also a good option for people who intend to live in the same house for the rest of their life. By paying a small monthly amount, they can eventually own the house when the mortgage period is over.