Key Takeaways
- The U.S. offers unmatched stability and profitability – With 30-year fixed-rate mortgages and steadily rising rental rates, the U.S. remains one of the most attractive real estate markets for foreign investors.
- Choosing the right ownership structure is critical – Setting up a U.S.-based LLC helps foreign investors minimize tax exposure and simplify compliance with American property laws.
- Effective property management is the key to success – Overcoming challenges like time zone differences, tenant screening, and maintenance delays requires a trusted local team and the right technology.
- A local property manager is your best ally – Hiring an experienced property manager ensures smooth day-to-day operations, legal compliance, and tenant satisfaction, even when you’re overseas.
The US remains a favored investment destination for property investors across the world because the US market offers certain advantages that most countries don’t. Among other things, foreign investors in US properties are not only assured of a high rental rate, but also of the possibility of a fixed-rate mortgage for 30 years.
The combination of these two factors means that foreign investors who buy US properties don’t have to worry about fluctuations in their mortgage payments throughout the duration of the loan. At the same time, however, they can be sure of making more money from their investments, as the rental rate for the property increases over the years.
Few countries offer foreign property investors this kind of edge. This is why, even as the rate of foreign investment in real estate slows down across many major cities around the world, foreign buyers keep viewing the USA as a viable real estate investment destination.
Buying a rental property in the US is just the first step. After acquiring your property, you need to figure out how to manage it. Keep on reading this guide by TXC Realty to learn more about being long-distance landlord or foreign investor!
A Property Management Guide for Foreign Investors
The first thing to think about when buying property in the US is the ownership structure you want to use. This singular decision can have an outsized effect on how taxes and US laws impact the investment. What is the best ownership structure for non-resident buyers of US real estate?
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