Purchasing overseas real estate investments can provide a well-rounded portfolio. Consider these tips before making your first foreign investment including the ability to obtain a national or Texas commercial mortgage.

Live and Invest Overseas prepared their top foreign real estate investments for 2017. These unique locations were recommended due to their bargain value and rental yields. A few of their top choices were the coastal town of Algarve, Portugal; the undervalued and expanding tourist market of Cali, Colombia; and Playa del Carmen in Mexico due to its growing rental demand and strong yields; and Cape Verde, a beautiful archipelago in the Atlantic Ocean off the western coast of Africa, is continuing to make its mark in the tourist industry. 2016 saw visiting tourist numbers rise by over 13 percent.

Before you buy real estate overseas, understand that it can be a complex process. Because of this, it’s essential that you obtain a local attorney as well as an international buyer’s agent. In addition to these professionals, learn the nuances of the particular area you’re considering. For instance, in some locales, the “square footage” is considered both the indoor and outdoor space as compared to America where this measurement usually defines the actual building. Also, foreigners are not allowed to own property in some countries. Don’t let yourself be hoodwinked by a fast talking realtor that forgets to share this important fact with you, only after taking your down payment. Make sure your CPA is knowledgeable in foreign investments and understands the Foreign Account Tax Compliance Act.

Foreign investing can offer several benefits including more property for your money, depending on the exchange rate, lower cost of ownership and tax havens. On the other hand, local real estate laws can be complex and some countries can be mired in political or economic instability. Just as in America, be sure you know the market before you sign on the dotted line. Even if you are highly knowledgeable in investing in real estate in America, understand that there can be a remarkable difference in the laws, requirements and regulations of just about every other country. Work with respected professionals in the area of your choice.

Funding

Finding professionals in the area of lending is another important consideration. You can often obtain the funding by working with an institution that has a presence in the country where the property is located as well as the United States. Even so, many national and Texas commercial mortgages are hard to obtain for oversees’ projects.

Finding the right financing for oversees’ projects can be particularly challenging.

One solution is to obtain a Texas commercial mortgage on your current residence or business in America. A cash-out refinanced Texas commercial mortgage may just give you the money you need to develop your oversees’ portfolio. At Level 4 Funding, we provide private hard money bridge loans that can help you obtain the funding you seek. These collateral-based loans provide a bridge from one asset to another.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

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