Out of Country ownership

[Santhosh Ramani]

Hi folks -

I'm about a couple of years into REI and own a few properties in AR, TN and TX areas. Never visited the properties - all are managed by different PM companies.

Im getting ready for the possibility of relocating to a different country (home country) due to personal reasons. 

I am considering owning these properties for the long term. I have my own set of concerns about this, but wanted to get some additional thoughts/perspectives.

1. Would you say this is an ok thing to do? 

2. What are some major considerations?

3. What conversations do I need to have with the PM companies?

4. Given, I'll not have a US mailing address, how will the important communications be addressed? Eg. Mails from county, mails from any legal teams for any violations (if at all), tax documents, etc.

5. Do I get taxed higher for continuing ownership for out of Country?

6. Any other considerations specific to any states?

7. Do I need a power of attorney ( a family relative or friend ? Or the PM company itself? If yes, How do I ensure it isn't misused?

Thanks in advance. I glanced though a few other posts but they were focused on property purchase from abroad. I'm not looking for that - it's more about running a self sustaining business.

Best,

Santhosh

[Nathan Gesner]

Yes, this is an OK thing to do. Many people invest in other countries.

This is 2022. Your PM should be able to do everything electronically so regular mail is unnecessary. However, they will need to know your address and there may be some tax implications tied with that. I'm not an expert, but I believe you will still pay US taxes on income earned and you'll pay a tax if/when you sell the properties. You may also be subject to taxes in your home country for any income earned in the US.

I don't think you would need a power of attorney. Again, everything can be done electronically and your presences in the US is unnecessary.

It wouldn't hurt to check with an attorney.