Non residential investors

3 Replies

Hey guys!

I'm from Israel and I want to ask if in case I haven't American citizenship could I get mortgage for financing my first property purchase?

There is in here investors non us residential like me that already got mortgage and purchase properties?

Thank you for you help! :)

Originally posted by @Harel Shalom :

Hey guys!

I'm from Israel and I want to ask if in case I haven't American citizenship could I get mortgage for financing my first property purchase?

There is in here investors non us residential like me that already got mortgage and purchase properties?

Thank you for you help! :)

The challenge will be the credit check. The folks outside the USA are unlikely to have much of a credit profile in the USA systems. In addition, the lender's ability to go after the individual is limited. If the borrower was a USA company with assets and its own credit history, fine. If the loan amount was at a low LTV so the lender would only need to foreclose on the property and they would recover 100% of what they are owed, with all the costs rolled in, they may choose to take on the loan. It would be priced to reward the lender for the risk.

So, if you wanted to build a presence in the USA and are prepared to put in significant cash in the early deals, you can definitely get there. 

I invest in the UK and USA, starting out with the USA while I was living there. In other words, not exactly your situation. That said, I know a lot about what you need to do. Fire away with questions if you like.

It will take a few years before you will be on a really competitive footing in the USA (rates, terms, LTV). Well worth it if that is what you want to do long term.

@Harel Shalom - there are options. If you're needing short term money like rehab, bridge, or ground up, then the lending options are greater. If you're looking for permanent financing, then the lender pool shrinks considerably. Either way, the LTV will likely be restricted to 60-65%. And you'll need a US based corporate entity and bank account.