Foreign National Tidbits

In today’s market, foreign national buyers are under increased scrutiny, more than in the past several years. Many foreign buyers are required to produce income, employment and assets in order to purchase a home in the United States. Many banks or mortgage brokers you speak with will tell you depending upon which country the buyer is coming from makes a big difference. Some lenders will only fund loans for those coming from certain countries or require a larger down payment if proof of documentation is not possible.

As an alternative, hard money is now an option for many foreign buyers. The foreign buyers inability or unwillingness to prove documentation leaves them no alternative. The thought is they just take the hard money loan at a higher rate and after several years of ownership they will refinance into a more “stable" loan.

Something else to consider is the currency exchange rate for foreign buyers. With the value of the dollar fluctuating, the amount of down payment will differ as well. Finding and working with an exchange company, one that explains the process and your buyers options is of vital importance.

Should you need contacts for foreign national financing, hard money or a currency exchange company…do not hesitate to contact me.