NEW YORK CITY REAL ESTATE FOR FOREIGN BUYERS P.II (New York)
Having an attorney is also absolutely crucial. Attorneys are needed to obtain insurance, perform a search on the title, and research any violations or lieus on the building, in addition to negotiating the contract, the initial agreement that goes hand-in-hand with paying the deposit.
Appraisers are needed in order to research a New York City property’s fair market value. Surveyors, as experts of the technical sides of buildings, are needed to research the condition of the property. Architects are needed to check a property’s measurements. Finally, the mortgage brokers are needed in order to help the buyers obtain their needed loans. Nest Seekers International will help international buyers connect with all of the professionals they need to make the process go smoothly and successfully.
Tax abatements are programs that allow taxpayers to be granted a reprieve from paying a certain tax for a period of time, for either a total or a percentage of that tax. As such, they are intended to encourage real estate developers in New York to keep building and enhancing neighborhoods. The tax status a building qualifies for is dependent on the specifics of any given building. Nest Seekers agent are able to advise an owner about the his or her property’s tax status.
Tax Exemption Program—Covering new buildings and some specific renovations.
421-A—Intended for new buildings, this program’s purpose is to phase out tax exemptions over a period of 10 years. Real estate tax increases by 20% each 2nd year until it reaches maturity. For example, 100% exempt for the 1st and 2nd year, 80% exempt for the 3rd and 4th year, until it reaches the 10th year.
421-G—Intended for new buildings, this program applies to one specific area, namely below Manhattan’s Murray street. The buildings that are eligible in the area get tax benefits for 14 years. This lowered payment applies for the first Protected content and is gradually phased out till it expires in the 14th year.
Other Incentives—Many New York City buildings can qualify for abatement periods that range between 15 to 25 years. A building’s eligibility will be influenced by factors including the availability of units that are reasonably priced, location, and receiving assistance from the government in the form of grants and loans.
Obtaining a Mortgage
It is not as difficult as one might expect for a foreign buyer to obtain a United States mortgage. Most of the banks in the United States now have programs in place intended for foreign buyers. International purchasers are able to finance Protected content % of their loans, up to $1 million and 60% of their loans that fall in the range of between $1 and $2 million.
In general, foreign buyers are asked to provide a number of specific documents. These include:
At least 4 Credit References, which must be from professionals who work in finance, such as
Foreign Passport or Visa
Adequate Funds for Closing
Proof of Mortgage and/or Rent payments for a period of at least one year
Proof of Employment
Though some banks waive this requirement, buyers are then charged higher interest rates. Nest Seekers will provide you with a mortgage specialist who will get you the best deal possible.