Canadian real estate investors eye California for higher-yield returns.

mortgage broker

The Client

Our client is a Canadian attorney and real estate investor looking to shift his real estate portfolio for multi-family U.S. property in California for retirement income. The property is a three multi-unit home in Venice Beach (2) and Long Beach (1), California, with net yields of 16%.

How We Helped

To secure the yield needed, the client required a mortgage below 5%.

Although the client earned excellent income and was an experienced real estate investor, the lack of U.S. credit created issues each time he approached a California bank or broker for financing.

As AMFNLite Program allows the borrower to use a “local” credit report,  it solved the issue of not having U.S. credit. The rate required was merely an adjustment in LTV, giving the borrower a fixed rate on each property below 5%. (Also see Can a Canadian Buy a House in the USA?)

Loan Details

NationalityProperty ValueLoan AmountLTVRate
Canada Citizen$4,200,000$2,500,00060%4.35%
TermAddressProperty TypePurposeLoan Type
3/1 ARMVenice Beach, CaliforniaSingle-Family HomePurchaseResidential

U.S. portfolio manager in London refinances his Chicago condo to lower his payments.

mortgage specialists international

The Client

Our client was referred to us by a friend of America Mortgages. He’s been living in London for five years and has slowly accumulated a rental portfolio in the U.S. His thesis is that college towns offer the best rental yield opportunities. Our client did his MBA at the University of Chicago, so he was very familiar with the landscape.

How We Helped

Finding mortgage options as a U.S. citizen living overseas can be challenging, especially if you have been away from home for an extended period. The good thing about our client is that he still maintained an almost-perfect credit score of 810 and was a very high (and stable) earner – exactly what a bank wants to lend to!

Loan Details

NationalityProperty ValueLoan AmountLTVRate
U.S. Citizen$1,050,000$735,00070%3.35%
TermAddressProperty TypePurposeLoan Type
30 year fixedChicago, IllinoisCondoRefinanceResidential

America Mortgages saves Expat’s loan after getting denied by U.S. bank.

mortgage specialists international

After a 4-month process with a major U.S. bank, our Expat client gets denied due to lack of U.S. income. BUT, America Mortgages saved the loan with an even lower rate and closed in 30 days!

Our client is a senior partner at an U.S. law firm based in Hong Kong for the past 2 years. He was living previously in New York but grew up in Florida. In August last year, he decided to take advantage of the low interest rates and buy a second home in Ft. Lauderdale.

Our client has almost perfect U.S. credit and a high-income earner. He naturally goes to his bank in New York (let’s not guess here) and after 4-months of late night calls, not having emails replied back, speaking to call centers and having to explain that there are no zip codes in Hong Kong – his loan was rejected after finding out his income was actually earned in Hong Kong. Unreal, right?

We hear this story literally every day!

He did a search online and gave us a shot. Needless to say, being able to speak to a mortgage specialist in his own time zone was already a big deal.

We got him into a 30-year fixed mortgage at 2.75% at 80% Loan-to-value! He said the rate was even lower than he was quoted at his bank.

Since he had all the paperwork completed already we were able to fund the loan in under 30 days!

He’s now referred us to 5 of his Expat friends in Hong Kong.

America Mortgages, Inc. is a U.S. mortgage broker focusing only on U.S. Expats and Foreign Nationals living overseas. We offer over 150 U.S. bank and lender programs direct to our clients around the world.

America Mortgages is wholly owned by Global Mortgage Group Pte. Ltd. an International Mortgage Specialist based in Singapore with offices and partnerships around the world.

Speak to our U.S. mortgage specialist to learn more. [email protected].

U.S. Expats in Australia gets a 30-yr fixed mortgage at 2.85%!

mortgage advisors

The Client

Our client is a Healthcare Executive working for a U.S. biomedical company and living in Sydney.

How We Helped

He wanted to refinance his investment property in Virginia to take advantage of the lower interest rates. His current mortgage was 3.45% on a 30-year fixed.

He came to us informing that he was denied a mortgage from his hometown bank in Virginia – with whom he has an existing mortgage with. The bank informed him that as he moved to Sydney and is now making ‘overseas’ money, they could not offer him a loan-even as a U.S. Citizen.

Our loan officers found a lender to refinance the loan at 2.85%!!!!

Loan Details

NationalityProperty ValueLoan AmountLTVRateTerm
U.S. Citizen$750,000$525,00070%2.85%30-year fixed
StateProperty TypePurposeLoan TypeHome use
Great Falls,
Virginia		Single Family
Residence		RefinanceResidentialSecond Home

Non-income tax reporting Saudi citizen purchases home in Phoenix to earn rental income.

mortgage specialist

The Client

Our client has previously studied at the University of Arizona and loved the lifestyle, food, and culture. He’s now back in Riyadh, working at the family business. As with many Middle Eastern clients, he is not required to file income tax in his home country. Great for cash-flow, but bad for applying for credit outside your home country.

How We Helped

Our client was unaware that U.S. mortgages were available and had questions about the availability in Riyadh. We told them that only sanctioned countries are not allowed, and we work with clients in Saudi Arabia and around the Middle East regularly.

Because our loans reach across a broad spectrum of countries, we do not require tax returns to qualify. We allowed a letter from his employer stating his last three years and current income to qualify. Simple. Easy. Hassle-free.

Loan Details

NationalityProperty ValueLoan AmountLTVRate
Saudi Arabian Citizen$290,000$203,00070%4.875%
TermAddressProperty TypePurposeLoan Type
30 years fixedPhoenix, ArizonaSingle-Family HomePurchaseResidential

How To Buy And Manage A Long-Distance Rental Property If You Live Abroad.

Long-Distance Rental Property

Investors sometimes ask if it makes sense to buy a rental property in another country when they live so far away. They’re often curious about exploring other areas because there are few good deals left where they live, or they’ve heard that specific locations have excellent returns.

During the peak real estate years of 2003–2007, investors from worldwide were calling Realtors in U.S. states like Arizona, Georgia, and Florida, to snap up investment properties—often without even seeing the homes in person. Mainly the purchases were cash. However, if they would have applied for a mortgage, they could have been assured that a bank or private lender will not lend on a property that does not meet certain specifications or values. It is undoubtedly the best way to make sure you’re buying at the right price and in the right condition.

Regardless if you live in Singapore, Hong Kong, Shanghai, or Seoul, investors must be prudent and take certain precautions when purchasing global assets. As one of the only Asia-based U.S.-centric mortgage brokers, America Mortgages can assist you with honest advice and guidance on financing these investments.

Why be a Long-Distance Landlord?

There are pros and cons inherent with long-distance real estate investing. Let’s take a look at the pros first:

1. You have the freedom to invest in more affordable areas. By not restricting yourself to the area you live in, you open up a whole new world of investing possibilities. Many investors in high-cost-of-living countries such as Singapore, Hong Kong, Tokyo, or Seoul can no longer afford to buy investment homes where they live but find the Midwest and Southern U.S. states to be much more affordable. In addition to lower sales prices, these areas also have lower taxes and dwelling (i.e., rental property) insurance premiums.

2. You can fund your future retirement home. Some global real estate investors buy a home in a retirement town to live there or as a second home one day. They may buy a condo near the beach or a ski cabin in the mountains. Then they rent the house out with either short- or long-term leases, and in the process, their tenants pay down the loan principal until the investor is ready to retire or visit. By then, the mortgage might be fully paid off.

3. You may gain new tax deductions. Many parents have children who attend college in the U.S… state. Instead of spending a fortune on a dorm room and semi-annual visits, they buy a modest three-bedroom home near campus. The student lives in this home and rents the other two bedrooms to some friends. The parents save on dorm fees and offset a good part of the total mortgage payment with the other students’ rent (or better yet, their parents). Furthermore, each time that the parents travel to visit the child, 50% of their total trip expenses can be legally written off on their income taxes because they’re also inspecting their property (please consult your U.S. tax advisor).

Handling the Disadvantages of Long-Distance Real Estate Investing

Make no mistake: owning rental property far from home can be a complex undertaking. There are several challenges long-distance landlords often encounter:

  • – Lack of knowledge about the area in which they’re investing
  • – Lack of familiarity with good local service providers
  • – Relying on others to take care of day-to-day problems or repairs
  • – Difficulties in getting the rent paid on time

But these obstacles don’t have to prevent you from purchasing a long-distance rental property. America Mortgages has Asia-based associates familiar with either the U.S. or Australian market. They can answer questions you may have and often refer you to agents who have worked within these areas.

Here are some ways to make your global real estate investment a success

1. Do your homework and learn about the area. Begin by hiring a good Realtor from the area you’re interested in. You can browse websites such as Realtor.com, Zillow.com, or Trulia.com to get the names of several Realtors in the area who regularly sell investment properties. Interview each Realtor by phone, and ask those you like best to send you listings of homes for sale that meet your criteria. Browse rental properties online to get a feel for the return that you can expect on homes in your price range.

2. Because there are more expenses involved in buying and managing long-distance real estate—such as the travel expenses you’ll incur to visit the property—don’t rule out foreclosures, short sales, and other distressed properties that can be purchased at a substantial discount to comparable homes in the area. This type of home probably won’t be move-in ready, but after you make the necessary improvements, it should yield some start-up or “sweat” equity. It is essential to keep in mind that in order to obtain a good mortgage, the property must be in “liveable” condition. If you find a great deal and it needs work, America Mortgages has several non-citizens, foreign national mortgage programs that can give you the purchase and the renovation financing.

3. Find a reliable and affordable property management agent. It’s not very difficult to make the necessary calls as problems arise, but if you find that landlord duties such as managing repairs and collecting rent is becoming too stressful, ask your Realtor or search online for reliable and affordable property management services. The monthly fee for property management will range from 10%–12% of the rent. Do your homework and research their reviews, fees, and responsibilities.

4. Automate or simplify rent collection. There are a couple of ways to handle collecting rents on time. Some tenants can have their rent automatically deposited into your bank account. You can also have tenants deposit the money into an account at a local bank—you’ll get the rent faster than if they mailed you a check. To encourage timely payment, send them an email or text reminder as the first of the month approaches.

Once you’ve rehabbed the property and your tenants are in place, your rental should run on autopilot for quite a while. If your tenant calls with an occasional repair problem, you can simply pick up the phone and put them in contact with your property manager.

In summary, there are many advantages to buying long-distance real estate. While there are some disadvantages, they can be easily handled if you’ve done your initial research and set up a network of reliable resources. If you are a non-citizen or an expat and thinking about buying U.S. real estate with a mortgage loan, we can help. America Mortgages only focuses on buyers who either do not live in the country they intend to purchase or do not carry the passport. We do this every day, all day.

One of our associates or partners will be happy to answer any questions you may have regarding mortgage financing for your investment.

For more information, drop us a message at [email protected].

Real Estate Investing For Your Children’s Future

Residential real estate | Mortgage Lenders Of America

One of the most unique and inexplicably happy events of life is having a baby. This little bundle of joy keeps everyone on their toes, creating madness around the house and your lives, but somehow, it all seems worth it.

As a parent, you likely already have a retirement fund under your belt, but have you considered alternative and traditional ways you can invest your extra cash in protecting your children’s future? In fact, it’s easier than ever to invest in Real Estate with technology and options for obtaining mortgage loans even if you’re not a citizen of that country.

Investing in property is largely seen as a safe way to build wealth, but it is a long term strategy. The younger you start, the more effective it is, thanks to leverage (borrowing from a bank) and the power of compounding (time). For example, if you acquire a property for $500K at age 20 and it grows by a conservative 5% per annum, it will pretty much double by the time you are 35 to $1 million. How many people have $500K of equity at this young age? And by age 50, it will be worth 4 times what you paid for it, at $2 million. If capital growth is 7%, then the property will double in value every 10 years, thus dramatically accelerating your portfolio.

Should I invest in my own home country, the United States, or emerging markets?

All the investment opportunities available can be overwhelming. We understand. So, to help you filter out the noise and make informed decisions, America Mortgages has mortgage options parents should consider as great places to invest in Real Estate for your and your children’s future:

Commercial real estate

We often think of real estate investing in homeownership or maybe “house flipping.” Still, there are lucrative opportunities in the commercial side of the industry that are no longer exclusive to ultra-wealthy investors. Online real estate platforms make it possible to invest in commercial real estate without ever stepping foot inside a property or country it is being sold in. Of course, there needs to be a “trust” issue with investing in an asset. However, through online reviews, personal recommendations, and proper research, these risks can be mitigated.

A recent survey asked global participants to choose how they would invest $10,000, and real estate was the second most popular choice among millennials, Generation X, and baby boomers. Nearly 23 percent of those surveyed said they would pool their $10,000 with money from other investors to purchase Real Estate.

When you’re first starting out, a smart strategy focuses on one type of investment, whether it be apartments, offices, retail, land, etc. A popular type of commercial real estate is student housing units — the very places you might be paying rent to when you send your kids off to college. Student housing in many University locations throughout the U.S. can be extremely lucrative investments.

Residential real estate

As a global citizen, if I wanted to invest in Singapore, Hong Kong, Seoul, Bangkok, Shanghai, or any of the major global cities such as New York, San Francisco, London, or Sydney, the barrier to entry would be my purchasing power and the ability or inability to obtain leverage from a bank or private lender. However, as an example, in smaller cities around the United States, there are millions of Real Estate options for investors that never imagined they could own Real Estate, let alone be a Global Real Estate Investor.

America Mortgage’s only focus is on sourcing the best options for non-citizens or Expats looking to obtain a mortgage loan to purchase or refinance Real Estate on a global scale. As many of your children may attend school in the U.S., obtaining a mortgage loan to purchase residential (or refinance) property in the U.S. just became that much easier. Our partnership with institutions and private lending partners has made us the premier “go-to” source for real estate investors. Residential homes are the easiest to qualify for and a great way to build your portfolio.

The difficulty is the starting point, as young people rarely have enough for a large down payment for a first property. The good news is, most of our U.S. and Australian mortgage loans only require a minimum down payment of 30%. Note, that is 30% of a property with a purchase price far less than you could buy in Hong Kong as an example. The opportunity is amazing to build and grow a viable Real Estate portfolio without a huge capital expense. If well researched and with the right advice, a property can be cash-flow neutral or positive in the current market. If held over time and as rates will likely increase globally, changing the current economic model from buyers to a renters market should remain quite manageable.

If you acquire several properties over time, manage properly and leverage smartly, imagine the amount of equity you can build up by the time your children are an adult or when you’re ready to retire!

For more information on mortgage loans in the U.S., please email America Mortgage’s – [email protected].