Foreign National

For foreign nationals aspiring to invest in real estate in Florida, understanding the nuances of Foreign National mortgage loans is essential. The U.S., known for its robust economy and appealing lifestyle, attracts numerous foreign nationals, many of whom dream of owning property in the country. While non-US citizens can obtain mortgage loans, they face unique challenges such as ineligibility for conventional mortgages and the complexities of verifying overseas income. However, creative loan programs with flexible documentation and terms are designed to overcome these hurdles.

Program features: 

• Loan terms: there is a vast range of options, including fixed and adjustable-rate loans with terms from 5 to 30 years. They cater to a wide array of property types, covering residential and commercial real estate from single-family homes to condominiums and even vacant land. Loan amounts can vary widely, with some programs offering up to $25M or more.
• A down payment of at least 30% is generally required, with higher down payments leading to more favorable rates and terms.
• Interest rates for foreign national loans are typically a few percentage points higher than those for conventional loans, reflecting the increased risk perceived by lenders. These loans are often used for purchasing non-owner-occupied residences like investment properties and vacation homes and are not suitable for properties intended as primary residences.
• Income: For non-US citizens, the loan requirements vary based on employment status. Self-employed borrowers need to provide an accountant’s income letter and CPA License, while salaried borrowers must present an employer’s income letter. Other essentials include company’s articles of incorporation, credit card reference letters, bank reference letters, and recent bank statements.
• Occupancy: Foreign nationals must align their property occupancy with their residency status, using their US property either as an investment or a second home. Specialized loan programs such as the Debt Service Coverage Ratio (DSCR) program and fix-and-flip bridge loans cater to the unique needs of foreign real estate investors.

Florida remains a top destination for foreign real estate investments, but other states like California, Texas, New York, and Arizona are also popular among foreign investors. These states are chosen for their diverse economies and strong real estate markets. At Expansion Mortgage, we say YES to foreign national borrowers.