Freedom Home Loans are an incredibly unique service, offering mortgage advice and services across multiple continents.
With a significant decline in US property prices over the past couple of years, the demand for purchasing and holding residential real estate has rarely been stronger.
Whilst the impact of the Global Financial Crisis has seen property values decrease significantly in many States, it has also lead to a lack of capital available for lending. So while demand from investors in particular is peaking, the availability of mortgage finance options for investors is incredibly limited.
US citizens and residents
Almost all mortgages in the US are funded through Fannie Mae and Freddie Mac. What this means is that your bank is bound by the criteria that these agencies operate under. One of the severe restrictions these agencies impose is the restriction of the number of investment properties that they will allow financing on. One of them limits the number to four. The other one is currently ten. What this means is that if you want to finance more than ten investment properties, then you will find it impossible.
The answer is private funding.
A range of options are available to borrowers who wish to purchase and rehab property (whether that property will be sold on completion or held for a longer term), or just to buy as a turnkey property for holding for the future.
Enquire here about the range of loan options available
Foreign National Borrowers
A true foreign national borrower is an individual that is not a US citizen or resident, but one lives and works in another country. The borrower does not have a Social Security Number, and typically has no US credit history.
If you have already started the process of looking for a mortgage, you will most likely have discovered that the process seems an impossible one. Especially if you are buying properties in some of the markets that have been hardest hit and have low purchase prices.
As you will have read above, even the strongest qualifying us residents have a difficult time purchasing multiple investment properties. Non-residents find it much more difficult.
Before you do anything further, you should educate yourself on how financing in the US works.
Click here to receive your free e-book:
Once you have done this, you will have a greater understanding of what your options are.
If you would like some free advice around what the best option may be for you, take 2 minutes now to provide us with some basic information to assist.