All rental funds collected by the property manager will be deposited into your nominated US bank account.
All rental funds collected by the property manager will be deposited into your nominated US bank account.
Investors can invest in pre-vetted real estate investments, selecting an investment, signing legal documents and funding their investment. When an investment is made, the money is held at a US Bank. Once the investment target is met, the money is transferred for the sole purpose of the specific loan or specific property being invested in.
The best entity for both U.S. and foreign real estate investors is the Limited Liability Company or LLC. The LLC offers the benefits of both asset protection and flow through taxation. LLCs are affordable to set up and maintain and are the entity choice for real estate investors.
Big Wall Street-backed firms that own thousands of rental properties aim for a 5%-7% return on their homes. Individual investors, who don’t have to pay support staff, should shoot for at least 10%.
Expenses directly related to the rental activity will be deductible. For example, real estate taxes, depreciation, mortgage interest paid, condo maintenance fees, repairs, insurance, utilities, etc. If the property is owned by a foreign individual or foreign entity, the owner may elect to treat the passive rental income as effectively connected” with a U.S. trade or business. If this election is not made, the investor will lose all current deductions related to the rental activity (unless the owner is actually engaged in a U.S. trade or business with such real estate).
Absolutely. In fact, nowadays foreigner’s investors are the ones who are basically moving the economy in real estate since due to low prices, investors have a much better chance of acquiring quality property for great prices.
That depends on what you expect in return. Some people like to have the certainty of fixed income and therefore end up choosing an investment that will be rented with a minimum contract of one year. Others prefer to have the availability of the property so they can use when they are on vacation, but at the same time generate income, which in most cases ends up surpassing fixed income.
Townhouses, or townhomes, are individual houses that are placed side-by-side, where one or two walls of each house are shared between adjacent homes.
A duplex is a housing structure that has two unit dwellings attached to one another. Each unit has a separate entrance and is usually metered for its own utilities. Both units are located on one lot.
A single family means that the building is usually occupied by just one household or family and does not share a inside wall with another house. Most single-family homes are built on larger lots than the structure itself, adding yard around the house.
If the property is used for 14 days or more as a vacation home and the rest of the time rented to others, the foreign investor must prorate expenses incurred and split the activity between personal and rental. The proration should count the number of days the property is used as a rental property separately from the number of days the property is used for personal use. The expenses incurred on the property then multiply the resulting percentage. Expenses related to personal use are either limited or non-deductible.
This varies greatly but among them American, European, Canadian and of course Brazilian.
We always give our customers the option to make the disclosure of ownership, direct treatment with guests, coordinating cleaning at the end of stay, etc. By the fact that most of our customers are in Brazil, or simply do not want to deal with this type of function, always ask us to do this work. We take care of the entire process so that there is no headache or concern to them. We charge a percentage ranging from 10 to 30%, depending on the season, of the daily and guarantee a happy renters and the whole process will be done with excellence.
It largely depends on the size and location of the house. Let's use the example of a 5-bedroom house and 5 bathrooms in Davenport in Watersongs condo worth $ 350,000.00 and see all the monthly figures to make it easier to understand. The property tax would be in the range of $ 350. The $ 250 condo. Water and electricity on average $ 300. Cleaning the $ 95 pool. Telephone, Internet and cable TV in the average $ 130. Insurance of property and third party around $ 120. Administration $ 150. Rent and assistance to the guest would be 25% of the daily rate. If you add up all, a house of this size would have a fixed monthly average cost of $ 1,390.00 and variable than 25% of the daily rate. Say it rent for $ 300 per day and is rented for only 10 days of the month would be a total of $ 3,000.00, less expenses, would still have a positive balance of $ 855.00 per month. If to lease for 20 days would have a positive balance of $ 1,710.00 and rented for 30 days of the month $ 2,565.00. As you can see, have a house where you can have fun with your family but also to make money is a great investment, not to mention the property appreciation.
You heard right. 95% of condo in Orlando and cities such as Windermere and Winter Park do not allow a seasonal rental only in the long run. When looking for vacation home your best option would be the cities of Kissimmee, Davenport, Clermont and Reunion. In these cities the rule is on the contrary, 95% of the condos accept the season rentals. The best way to not waste time looking property that will not serve its purpose is to talk to a local broker who knows the area and can assist you in your search.
When your vacation home is rented, a deposit is always collected from the guest and will be retained until the end of your stay. In this way both owners and guests can rest easy.
The process is the same just like any other reservation. They would have to reserve with Florida Scandi at www.floridascandi.com.
Based on your income, debt and credit history, your pre-approved mortgage amount will give you a clear idea of what you can afford, so you can search for houses in your price range. It will also put you in a better position to make a serious offer when you find the right house.
A Loan is a relationship between the lender and borrower. Lender are also called creditor and the borrower are also called debtor.
A Mortgage is a secured loan that is specifically tied to a real estate property, such as land or a house. The property is owned by the borrower in exchange for the money that is paid in installments over time.
The timeframe from credit application to closing is approximately 4 - 6 weeks on average (depending on the credit model and on how quickly you can provide your documentation). The better you are prepared, the shorter the processing time.
After submitting your application, a Loan Administrator will contact you to review your application and to answer any questions you may have. You may be asked for additional information required to make a decision about your loan. A few days after you apply, you'll receive an application kit. The application kit will contain papers for you to sign, the appropriate disclosures, and a list of items we'll need to verify. We'll order an appraisal from an appraiser who is familiar with home values in your area. Once we receive your completed application kit and the appraisal, we will make a decision on your application. Your Loan Administrator will keep you informed along the way via e-mail. Status information is also available online 24 hours a day. Once your loan has been approved, you will be contacted to coordinate your closing date. Once the title exam is complete, we'll contact you to schedule your loan closing. If you are purchasing a home, we'll also schedule the closing with the real estate broker and the seller.
Normally the banks will loan about 60% of the value of the home.
Yes, via what’s called a Foreign National Loan (FNL) product. All loan rules vary from state to state. As the situation improves these loans will become available again.
Credit report from home country (if possible), proof of income (written statement from the tax accountant or employer and pay check stubs), 3 references from local banks and/ or credit card companies, proof of sufficient assets for down payment, closing costs, and reserves (i.e. 2-3 months bank statements- must verify large deposits). Some banks require tax returns from Home County.
We offer our customers two options. Cash transactions will average 15 to 30 days to close, if financed, 30-45 days.
Yes, all financed properties that are done with our partners for our clients can be settled ahead of time, without any problems or fine. We insist on it being that way and only work with banks that can assist us like this.
Just to have an idea, consider a 30-year loan with annual interest of 5.6%. The PITI, which would be principal and interest, property tax and insurance would be around $8 for every $1,000 financed, so an average of $800 per month for every $ 100,000 financed. These numbers could be higher or lower but this will give you an idea.
You have 3 options for financing your property: 1) 5/1 ARM - Interest rate fixed for 5 years, variable after the fifth year in accordance with the index 1 Year LIBOR + 2.25% will be amortized in 30 years. Interest rate today is around 15.4% / year. After the fixed period, the interest rate reset but will have a ceiling of 2% per year and 5% in the full life of the loan. 2) 15 Years Fixed - Fixed interest rate repayable in 15 years. Interest rate currently around 5% 3) 30 Years Fixed - Fixed interest rate repayable in 30 years. Interest rate currently around 5.6% Keep in mind that the interest rates quoted above are for financing under $417,000 and are subject to change in accordance with the market value and financing. None of the funding programs have pre-payment penalty. So you can make the early repayment or discharge of the debt without penalty or fee whatsoever.
In some of the cases no, because is consider personal property. Some condominium offers properties already with the furniture, but they are part of a resort, so in this case yes you can include the furniture.
Yes. When two people decide to buy property together, they sometimes wonder if it can be bought in both their names. There's no law against unmarried couples jointly purchasing and owning any property they'd like. As long as they agree on its ownership and financing, few problems result. Typically, unmarried persons to purchase property together use one of two forms of property ownership: joint tenancies and tenancies in common.
Tenant in Common- It’s a form of co-ownership where two or more persons own property at the same time. The proportionate interests and right to possess the property between the tenants in common need not be equal. Upon death, the decedent's interest passes to his or her heirs named in the will who then become new tenants in common with the other tenants in common.
Joint Tenancy- A form of co-ownership where two or more persons own property at the same time in equal shares. Each joint owner has an undivided right to possess the whole property and a proportionate right of equal ownership interest. When one joint tenant dies, his/her interest automatically passes on to the surviving joint tenant(s).
In order for them to be granted a loan in the US, they will have to develop a suitable credit history, which can take a while. The credit history of a person is formed by the credit bureau, which gathers information from several different sources, determines if the finance will be approved, as well as how much the taxes will be and how much down payment you will need.
For one, the parties present at a closing for a refinancing are different (and there are fewer of them) than those at a purchase closing: There is no seller (it's a refinance of your existing loan) or real estate agent present, and sometimes it's just the owner of the home and a representative for the lender. Furthermore, at a closing for a refinance loan, you'll get something called a rescission period. This is a three-day window during which you can walk away from the refinance loan without penalty. The lender must then refund the fees you paid and give up its rights in your property. If you do not decide to rescind, your lender will fund your new loan, and the closing agent will use the funds to pay off your previous mortgage loan.
Don’t spend a lot of money. Implement a self-imposed “spending freeze” as much as possible. You obviously have to buy groceries, gas for the car, and other necessities. But don’t spend anything beyond that. Keep things as stable as possible until after you close on the home. Its best to avoid any major purchase during this period. Your lender might have certain cash-reserve requirements for the loan. So a major reduction in assets could hurt your chances of getting the final approval. Don’t open any new credit lines, such as credit cards. The same goes for buying a car, applying for a store credit card, etc… these things will change your debt ratio, which could cause problems with your final approval. Mortgage lenders hate surprises. Don’t switch jobs before closing, unless it’s completely unavoidable. A new job usually brings a change in income, as well. If your income goes down, it will alter your debt-to-income ratio in a bad way. A change in employment will also require a lot of paperwork changes. Some lenders will verify your employment again, just before closing day.
Your purchase contract is now wrapped up, and your long and winding road to home buying successfully ends on the day of closing (also known as escrow closing, or settlement). . You will go to the title company to sign your mortgage and other documents to transfer ownership. All or some of the key players who have had something to do with the contract — the seller, real estate agents, mortgage lenders, attorneys, title company closing agents, surveyors, insurance agents — will be there on your big day.
Closing- You and the seller finalize all the terms in the contract — and the property is all yours! The seller gives you the title in exchange for the contract purchase price. He also delivers a deed, title evidence and insurance, the property’s plat of survey, leases (if applicable) and proof of any required repairs based on the home inspection. It’s recommended that you attend the closing with an experienced real estate attorney.
Escrow closing- When all the aspects and documents related to the transfer of the property from the seller to you is finalized (similar to a closing). Escrow agents may be title companies, attorneys, trust or escrow companies. Check with the laws in your state to see if escrow closings are legal, and if so, what the procedures are for holding one.
Survey- You should receive a new property survey, or plat, when you buy a home. This diagram legally confirms the exact property boundaries and dimensions of your home.
Title- The legal document that says you owns the property. Inquire about the different ways you can hold a title in your state (for example, owning a home with someone else).
Title insurance- This is given to you, and then you have to deliver it to your mortgage lender. The insurance policy is issued after a search for a property’s public records, which includes liens, conditions, restrictions and other matters that might affect the marketability of the title.
Deed- The document that conveys the title of ownership of a property.
IRS Form 1099- The closing agent must report all real estate transactions to the Internal Revenue Service.
Real Estate Settlement Act- A form known as the HUD-1 statement, or the Uniform Settlement Statement, is required in all residential real estate transactions with full disclosure of all settlement costs. This form applies to those loans financed by all U.S. government-related mortgage loans.
Closing statements- Part of the HUD-1 statement, this lists all itemized payments and credits of a buyer-and-seller transaction. Real estate brokerages or attorneys prepare closing statements.
Proration’s- Some expenses or items related to the property or mortgage loan are prepaid or paid in arrears must be prorated between the buyer, seller or mortgage lender at closing. Real estate taxes, condominium assessments and utility costs are common expenses that are prorated between the parties.
Homeowner’s insurance- Most mortgage lenders require that you bring proof (known as a “binder”) that you have homeowners insurance on the property you’re buying.
Keys and automatic-garage-door openers- The seller must bring you all the keys of your new home, including the one for the mailbox, and the garage-door openers. Handing over the keys to the buyer at the end of closing is known as “delivering possession of the property to the buyer.”
Certified checks- Most closing agents require certified checks for any payments due at closing. These checks are proof that the money is available when the check is presented.
Photo identification- All closing agents require you to bring a photo I.D. to a closing.
In every closing there are common costs the seller and buyer are going to have to pay: Title, Title Insurance, Recording fees, Mortgage, Attorney, Real estate transfer taxes, Homeowners Insurance. The cost is between 4%-5% of the value of the home.
A HUD-1 is the closing document that shows all financial disbursements of a property transaction. It is important to keep this document for your US tax return.
Yes, it can. It's entirely possible to be denied by a lender before your scheduled closing. It happens all the time, actually. That's what people mean when they say a house "fell out of escrow."
Obviously, it would be unfortunate for you as the homeowner. It's tough to see your property value drop, especially when you haven't even moved in yet. But from a lending standpoint it might not be a bid deal. If your mortgage lender has already appraised the home (and the appraisal amount was equal to or greater than the purchase price), then the loan should still go through. On the other hand, a low appraisal could cause problems for you.
All property purchased in the USA, financed or not has what's called closing costs. Obviously these costs are higher if the property is financed, as you will have costs of the bank, in addition to the normal fees such as registration fees and title. If we use the example of a property valued at $350,000.00, if paid in cash for the closing costs would average $5,047.00. If the same property were financed this cost would be around $8,019.00.
When you buy a house, you have to pay annual property taxes on that home. The amount you pay is determined by the value of the home and land. Be prepared for this expense.
Capital Gains tax- taxed on income resulting from the sale of US real property.
FIRPTA ( Foreign Investment in Real Property Tax Act)- buyer must withhold 10% of purchase price if seller is a foreign, but not required if seller is a US citizen, green cardholder or resident alien.
Income Tax- has a flat 30% federal tax rate on gross rental.
Property tax- is a requirement as a additional cost of real property ownership, payments can be added to a loan or paid directly to the taxing agency.
Title decisions- is a serious decision that could affect their ability to transfer the property and the financial and tax implications both during the property’s ownership and upon sale.
Perhaps when you sought your original loan you decided to have a second mortgage because of monetary constraints. Refinancing will allow the consolidation of the two or more mortgages into a single payment. Perhaps these second or more mortgages were shorter-term loans with a large lump sum payment at the end of the loan. A refinanced mortgage will eliminate these other loan conditions and a homeowner will enjoy the security of one payment for a set duration of time. Refinancing offers the additional option of extending or reducing the length of your home mortgage. Many people choose a thirty-year mortgage that allows them affordable monthly payments. Other refinancing options may exist such as ten, fifteen or twenty year mortgages which will result is a faster payoff of your loan, and save thousands of dollars in interest payments. An additional advantage to shortening this loan by continuing to your original payment, you will accelerate your home equity because the additional money would be applied to principal and not interest.
All persons or entities that earn income in the US must file a US tax return.
Whether you’ll pay taxes it depends on how long you’ve been in your home. If you’ve lived there for at least 2 of the last 5 years, you can pocket up to $250,000 in profits tax-free; $500,000 for couples filing jointly. Anything over that, you’ll pay capital gains taxes. For assets owned less than a year, you’ll pay taxes at your regular tax rate. Long-term gains are taxed depending on your income; nothing up to $72,500 (couples), 15% up to $450,000 above that it’s 20%.
It depends on the property. The heir may have to pay a variety of state and federal taxes, which may be due immediately or when the property is sold later. Besides the property tax they may also be estate tax and capital tax you may have to pay.
If you pay cash, hazard (fire) insurance is optional. However if you finance it, the bank usually requires that there’s fire insurance on the property.
Basic coverage: Includes vandalism, theft, explosions, fire, lightning, windstorms, hail, window, glass breakage, and damage from vehicles, aircraft and smoke.
Broad coverage: Includes damage from ice, snow, sleet or falling objects; bursting or freezing of pipes; heating or air-conditioning systems and appliances; electrical malfunction to electrical systems and appliances; and structural collapse.
Liability coverage: Coverage for a loss sustained inside a condo unit or on a single-family home property — for example, a guest slipping and falling in a bathtub and someone falling on an icy sidewalk.
Replacement costs insurance: Covers the cost of replacing a structure but not the land. Look for a guarantee of 80 percent of full replacement costs.
Deductible: The amount of loss expenses you must pay before insurance payments kick in.
Actual cash value: Replacement costs minus depreciation.
When we talk about insurance, it is difficult to say what is enough. We always recommend full insurance of the property and the bank requires when it is funded, but when the view is entirely the decision of the owner. The administrator usually requires insurance against third only.
Much depends on the value of the property, but usually around $ 1,000 to $ 1,500 per year to the total. The third will also depend on the size of the cover but usually around $ 500 per year.
As well as car insurance, home insurance also has a 100% franchise less the deductible.
If the house is financed, one of the requirements of the bank is that an insurance policy is made if something serious was to happen and the property was lost or damaged. If the property was purchased with cash, insurance is not required, but always recommended. If you are renting the house to other families, Liability insurance, is also recommended to prevent any problems that may occur in the future due to a guest getting hurt on the property and deciding to come after you in court.
Yes. Some banks and builders offer that type of insurance. They may pay all or half of your mortgage for a limited time. In the case of death usually there is a life insurance that could cover it.
You can get accidental insurance, however you and your family are not covered. Homeowner’s insurance policies do cover personal injury claims, but the coverage is solely for injuries sustained by friends, neighbors, delivery persons, and others invited onto the premises.
A home inspection is an objective visual examination of the physical structure and systems of a house, from the roof to the foundation.
Is always best to have one done. Your first clue that a home inspection is important is that it can be used as a contingency in your purchase offer. This contingency provides that if significant defects are revealed by a home inspection, you can back out of your offer, free of penalty, within a certain timeframe. The potential problems a home can have must be pretty serious if they could allow you to walk away from such a significant contract.
Inspectors vary in experience, ability and thoroughness, but a good inspector should examine certain components of the home you want to purchase and then produce a report covering his or her findings. The typical inspection lasts two to three hours and you should be present for the inspection to get a firsthand explanation of the inspector's findings and, if necessary, ask questions. Also, any problems the inspector uncovers will make more sense if you see them in person instead of relying solely on the snapshot photos in the report. A really great inspector will even tell you about routine maintenance that should be performed, which is a great help if you are a first-time homebuyer.
Just for you a general idea what to expect: Exterior walls, Foundation, Grading, Garage or carport, roof. Interior plumbing, Electrical, HVAC, Water Heater, Kitchen appliances, Laundry room, Fire safety, Bathrooms.
The inspection fee for a typical one-family house varies geographically, as does the cost of housing. Similarly, within a given area, the inspection fee may vary depending on a number of factors such as the size of the house, its age and possible optional services such as septic, well or radon testing. Do not let cost be a factor in deciding whether or not to have a home inspection or in the selection of your home inspector. The sense of security and knowledge gained from an inspection is well worth the cost, and the lowest-priced inspection is not necessarily a bargain. Use the inspector’s qualifications, including experience, training, and compliance with your state’s regulations, if any, and professional affiliations as a guide.
Even the most experienced homeowner lacks the knowledge and expertise of a professional home inspector. An inspector is familiar with the elements of home construction, proper installation, maintenance and home safety. He or she knows how the home’s systems and components are intended to function together, as well as why they fail. Above all, most buyers find it difficult to remain completely objective and unemotional about the house they really want, and this may have an effect on their judgment. For accurate information, it is best to obtain an impartial, third party opinion by a professional in the field of home inspection.
No. A professional home inspection is an examination of the current condition of a house. It is not an appraisal, which determines market value. It is not a municipal inspection, which verifies local code compliance. A home inspector, therefore, will not pass or fail a house, but rather describe its physical condition and indicate what components and systems may need major repair or replacement.
Typically, a home inspector is contacted immediately after the contract or purchase agreement has been signed. Before you sign, be sure there is an inspection clause in the sales contract, making your final purchase obligation contingent on the findings of a professional home inspection. This clause should specify the terms and conditions to which both the buyer and seller are obligated.
While it’s not required that you be present for the inspection, it is highly recommended. You will be able to observe the inspector and ask questions as you learn about the condition of the home and how to maintain it.
No house is perfect. If the inspector identifies problems, it doesn’t mean you should or shouldn’t buy the house, only that you will know in advance what to expect. If your budget is tight, or if you don’t want to become involved in future repair work, this information will be important to you. If major problems are found, a seller may agree to make repairs.
With the loan conditionally approved and a purchase offer accepted, you must make sure that an appraisal is ordered from a lender-approved provider. The appraiser’s report will evaluate the property in terms of its replacement cost, marketability and physical condition to guarantee that, in the case that it has to be foreclosed, the lender may re-sell it quickly with minimal loss.
An appraiser’s report relies on several techniques to determine value, but the most common and important means of valuation involves the assessment of comparable properties. The appraiser’s task is to examine all the data on recent, nearby sales, and to select the three, four, or five properties that most closely mirror the property being appraised. When this is done, the appraiser tries to determine a fair price for the subject property, accounting for differences in the size and features of among the comparable. Other factors that could impact value include age, condition, desirability of location, and amenities like swimming pools or good views. When an appraiser comes up with a comparable-based assessment, each of these things is taken into consideration.
The earnest money is deposited into the Escrow Account. The deposit becomes a credit to the buyer and is applied towards the purchase price.
EMD stands for Earnest Money Deposit. This is the money you place into escrow at the start of a transaction to show good faith of your intention to precede with a purchase.
Yes, but a good Realtor has a number of items they write into a contract to protect their client and their money.
We use an English company called Money Corp in all our transactions as simply love the quality and speed of service and the fact that the capital is available in just two days, besides having no fees as the banks do and the rates are much more attractive.
Superior asset protection is achieved by placing one property in one LLC. That way, if a tenant or vender sued you over the real estate, they can only reach the equity in the one property held by the LLC. By contrast, if you had ten properties in one LLC and a tenant sued over one property they could reach the equity in all ten properties owned within the LLC. A key strategy for asset protection is to segregate assets into separate LLCs.
While it is always good to be as prepared as possible, these structures cost money to create and administer annually. Because the equivalent of stamp duty / transfer duty is virtually zero.
There are possibilities of obtaining visas, for example, the L-1. This will be through a request for transfer of the officer or member from a foreign company to the American company, which will be an extension of the company abroad, if this company will be operated in the United States and will generate income for the country.
As you've probably noticed, things in the U.S. are much less bureaucratic than in most countries. Almost everyone has a legal entity use as an actual business on a daily basis or just for asset protection. Getting that started is fairly simple and the cost for maintain relatively low.
Buying a new house you can design it the way you want it by choosing: the of flooring you want, layout that works for you, the house would be under warranty, energy savings, low maintenance, community amenities, latest technology and designs, safety and the home would just have that new smell and look to it.
Older homes have old world construction paying attention to details, larger yards, more characters like: craftsman bungalows, Victorian style, Greek Revivals, Tudor, Colonial, etc., established neighborhood, mature trees and vegetation, etc…
The benefits of owing your own home is you get to build equity, good investment, you paying for something that’s yours, gain tax advantages, stabilize your payments, have a secure place for your family and be able to have a sense of community.
Individual- A natural person, an individual (man or women), from birth until death.
Legal Entity- It is an abstract entity with legal existence and responsibility. For example: Association, Company, etc… Also it is also a group of people or assets, having its own legal personality, constituted according to the law, for the purposes of implementing in common. This personality is given from the registry in the competent bodies.
Yes, there is no withholding required if the sales price is $300,000 or less and the buyer (including family members) intends to use the property for personal purposes as a residence for more than 50% of the time the property is in use for the first two 12-month periods following the transfer. The days the property is vacant are excluded in the 50% calculation. Vacant land is specifically excluded, even if the buyer intends to build a residence on the property. In order for this exemption to apply, the buyer must be an individual, as opposed to a partnership, corporation, estate or trust. The buyer must also sign an affidavit, under penalties of perjury, that he meets the requirements for the exemption. Even though the seller may be exempt from the 10% withholding, the seller is still required to file a U.S. income tax return to report the sale and pay any applicable income taxes on the profit on sale.
Among all the available types, the most common are Single Family Home, Townhome that is a kind of property where 4 or more units are attached to one another, Duplex Homes which are which 2 properties attached to one another and also Condo or apartments.
We always recommend our customers who are buying property in the U.S. to have the property under a legal entity. It is extremely advantageous not only when it comes to asset protection but also for tax benefits, as well as privacy for the individual, as any search by property address on Google will reveal the name of who owns what.
Closing costs usually includes registration of title, insurance, property tax, notary transaction fee of real estate, etc. (around 5-6 % of purchase price). You might have other costs such as opening an LLC, inspections and appraisal but that is all based on a case by case.
It is important to have a specific plan in case of death of owner, because the state can retain up to 50% of the property value and take up to two years to release the inventory process if it is under an individual name.
The exemption from withholding "Foreign Investment in Real Property Tax Act of 1980 (FIRPTA)" requires collection of 10% of the total sale of the property at the time of closing to cover the tax due Gain estate from the foreign investor. With the creation of the legal entity you will not be subject to withholding and pay only the net value of the estate tax gain on the sale next year, besides already having the deductions allowed by law because this property was used as a “business” such as water, electricity, telephone, condominium, financing interest, etc.
A homeowners association is the governing body of the development or complex. They are common in some single-family housing developments, as well as condominium and townhouses complexes.
It Depends. When you buy a property governed by a homeowners association, you automatically become a member of the association. The purchase of your home becomes a contract with the HOA.
This can vary depending on the property. One distinction worth noting is an “original” condo complex vs. a “conversion”. If an apartment complex is converted into individual private ownership of the units then this is called a “condo conversion”. These can be different in that the utilities (electric, water, sewer, etc.) were likely originally set up for common billing among all of the units. It can be difficult and expensive for the developer who converts the complex to separate these out per unit. For that reason the condo dues may include one or more of these items. A condo complex originally built to be condos is much more likely to have these items separately metered “per unit”. If so, the owner will be responsible for these items individually. Regardless of type of condo, common items like property maintenance, blanket insurance coverage, exterior structure maintenance and repair, roof maintenance, etc. are covered as part of the condo monthly or quarterly dues. Additional insurance, for this reason, is very inexpensive (because it’s mostly covered in the condo dues). Fees and coverage vary widely however. Always check.
Drim Properties has a partnership with Florida Scandi, which manages varies vacation homes. They advertise the houses on their website www.floridascandi.com as well as in third party websites, travel agencies and big traveling sites.
No matter how big your house is, how many times you use it during the year or how many bills we have to pay for you; our fee is always the same. The management fee includes everything you can imagine such as payment of water, electricity, telephone, condo, alarm, etc. Also, coordinate cleaning as well as home maintenance, pool cleaning and lawn mowing services since some of theses are done by others and we need to make sure that everything was well done. They will take care of the house as if it were their own, ensuring that everything is always running the right way. The management fee is $ 150/month.
No problem. That is the biggest reason why our company exists. We realized there was a great need for honest companies to do such work. After the sale, we get your home ready to be rented and our specialize partners take care of not only the maintenance of your property but also the bookings, to make sure you home generates the maximum income. They will take care of things such as payment of the condo, water, electricity, telephone, etc. Also take care of the whole process when the guest is in your home to ensure it is fully satisfied and come back again.
Through your own owner’s site, you can make your reservation whenever you want. There is no need to let management know. The whole process is automatic.
Depends on the size of the house but can range from $ 50 to $ 200. However, the host's who usually pays. If the guest would like additional cleaning during your stay it can communicate it to administrator.
Lake Nona, Celebration, Dr. Phillips, Windermere, Winter Garden, Winter Park and Subdivisions: Davenport, Lake Mary, Kissimmee and Clermont.
It depends on the way the offer is made on the property. Generally used properties are offered with furniture that is already on the property. If the property is new, just the kitchen and its appliances come with the house. We have a great partner that takes care of all the decoration of the home for the convenience of our clients and offers a free interior designer, so all the work is done by them, and get a much better cost benefit than if you were doing it on your own.
No. The simple fact of having a property in the U.S. does not grant any type of visa or even permanent residence.
That's the best part of buying a home in the U.S., you are not responsible for the commission of your agent. Most people who buy property here do not seek the help of an agent because they think that they will have additional costs if they do this way or can even get a better deal by not using one. Actually, it's quite the opposite. The agent is the only person who will be representing you and not the person who is selling the house, so your agent will do anything to make sure you get the best deal possible and that all documents are good before you sign anything. The person who is selling the house pays the commission of both agents, so at the end of the day, you will have a professional defending your interests and this will not cost you a penny.
Absolutely not. This is one of the major differences when buying a property in the United States, because the realtor can show all available properties in the market that meet your criteria of choice, due to the MLS (Multiple Listing Service) system. It is important to have that loyalty with your broker, because he/she represents your best interest. From the moment you select your broker he/she will be devoting dozens of hours in searching, analyzing and visiting the properties with or for you. All this work will only be paid at the time of closing and not even by you, but the seller. This is one of the few professions that professionals will only receive compensation when the deal is done, so it's not fair that you have several people devoting time and efforts to believing that they will be paid. Trust the professional you chose.
Mortgage rates are priced with rebate, a credit towards closing cost, or discount points, an additional cost paid to reduce the interest rate (Note rate). The amount of the rebate or discount is based on a percentage of the loan amount. The difference in pricing (rebate or credit) varies throughout the day, just as mortgage interest rates change. In fact, it’s not so much that the mortgage rates change throughout the day, it’s actually the cost or credit associated with that rate. Rebate pricing works nicely with a refinance scenario since it helps the homeowner break even on closing cost much quicker. With how low rates are today, many may decide they would like to have their rate priced with enough rebate to cover all of the closing cost and are still dramatically reducing their mortgage payment. This also works with purchases and if a homebuyer is receiving a generous contribution towards closing cost from the seller, they may opt to buy the rate down with discount pricing.
Yes, you definitely can. You will need 2 forms of ID, proof of address, and answer a few questions. When you open the account you will get a temporary debit card, deposit slips and the agreement and terms and conditions about the account.
Without a doubt! One of the best advantages that our clients have is that we offer everything they will need on the process of buying a house. Is difficult to say how much the cost maybe to furnish a home, because it depends on the size, your style and the quality of the product, but it could cost between $25,000 to $50,000.
Just like any other business, your house will also generate income and expenses, so yes, it is necessary to do the bookkeeping, licenses and taxes every year. We do offer that service to our clients; because we understand it will a peace of mind to you.
Everyone knows, that are varies ways of sending money to the US, some are wrong (not necessary illegal) and the correct way. I say this a certain way, because when we send money elsewhere we are subject to not only the exchange itself but also the rate the company charges to do the service. We already work with MoneyCorp for many years and we know what quality is when we see the work being done, not only because of the fact they do not charge this fee, but by offering personalized service to our customers.