Home Buying in Venice>Question Details

Sidneylucy, Home Buyer in Venice, CA

Buying a house as a foreigner in California

Asked by Sidneylucy, Venice, CA Thu Mar 15, 2012

I'm a newbie in this property stuff. I'm planning my budget to buy a house between $500K to 1 Mil in California. I'm a foreigner and I'm planning to do all this in all-cash transaction and full payment.
I don't really know how all the mortgage stuff works.
1)Would I get any advantage or disadvantage when I buy a house, pay in full, and do that all in cash? Such as taxes or mortgage or credit score?
2)ow much should I expect to spend on bills every month just to keep the house and pay electricity, water, etc. bills for a 2-3 BR house on average?
3) How much is the home insurance for a house worth $800K?
4) I heard that if a foreigner spends more than $500K on buying a house in USA, they will be granted a residential visa. Should I then hire a lawyer before purchasing a property? Or can I apply for the green card (that includes hiring a lawyer) after buying the house?
5) What kind of documents would I need?

That's a lot of questions.. Thank you so much in advance!

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Answers

9
Rachel and Kathy Tyndall’s answer
Hi! First of all welcome we hope you like it here! If you pay in all cash you are a more desirable buyer to a home seller because you can offer them a speedy close of escrow. However, you do not get a discount in property taxes. Property taxes are roughly 1.25% of the purchase price. To find out roughly what you would be spending in utilies each month I would suggest you call the local service providers and get a quote. For home insurance call around and get different quotes. The company you hold your car insurance would be a great place to start. Please let me know if you need anything else. Best regards,
Rachel and Kathy
1 vote Thank Flag Link Thu Mar 15, 2012
There are number of steps involved when looking to a buy a house in the US, these are as follows:

1. The buyer will make an offer to the seller for the property, your offer will usually require you to also provide the following:

• A Check Deposit, also known as an ‘Earnest Money Deposit’
• A Pre-Approval Letter from your lender (The Bank)
• A Proof of Funds Available (Bank Statement)
• Identification Documents

It is normal practice for both the buyer and the seller to have a real estate agent or broker working on their behalf; the offer for purchase will be made by the buyer’s broker to the seller’s broker.

2. If the seller accepts the buyers offer to purchase the property, the buyer’s broker will then deposit the check deposit into an escrow account.

3. Once the money has been deposited into the escrow account, the buyer will then make arrangements to have the property inspected for such things as structural damage, termite infestations, roof damage etc., etc. Once the buyer is satisfied that the property meets their approval they can remove any contingencies to the offer. It is at this stage that the ‘Earnest Money Deposit’ becomes non-refundable.

4. The buyer will now need make a loan application to his bank or mortgage company for the balance of the purchase price. Before approving the loan application, the lender will perform an appraisal and valuation of the property; if they are satisfied with the property then the loan underwriter will approve the loan.

5. The buyer will then sign all the necessary paperwork in front of a notary public witness at the escrow company. This will include such documents as the loan application from the bank as well as documents from the real estate agents and the seller. The loan will then get transferred by the bank, the seller will pay off any monies they currently owe to their own lender and then the seller will transfer the property ownership deeds to the buyer. This grant deed will then be recorded by the County Clerk Recorder service and the buyer becomes the legal owner of the property.

Web Reference : http://www.globenetrealty.com
0 votes Thank Flag Link Wed Aug 21, 2013
Greetings to you in the
name of the Lord, Thanks for your loan
inquiry and yes, we are WILLEMSMITHLOANINSURA
NCEPLC@GMAIL.com, an
international private
money lender an approve
and license by the Government, i can help
you and i give out loans at
an interest rate of 2%, i
really want to help you
because i do not want you
to fall a victim of those heartless scams on the
internet and this is the
reason why i give out
loans at an interest rate of
2% not for the profit so
that it can be affordable and bring about global
happiness. We like to let
you know that we can
help keep your dream
going and stable.
We received your mail and understood the content
but first your information
is required to approve the
loan before we can
continue with the loan
offer. I want you to please fill the form and
return urgently.
Hence you will be
required to send us your information before the loan will be
insured and approved.
Contact us for financial aid our company
Web Reference: http://waptrick.com
0 votes Thank Flag Link Fri Oct 5, 2012
Greetings to you in the
name of the Lord, Thanks for your loan
inquiry and yes, we are WILLEMSMITHLOANINSURA
NCEPLC@GMAIL.com, an
international private
money lender an approve
and license by the Government, i can help
you and i give out loans at
an interest rate of 2%, i
really want to help you
because i do not want you
to fall a victim of those heartless scams on the
internet and this is the
reason why i give out
loans at an interest rate of
2% not for the profit so
that it can be affordable and bring about global
happiness. We like to let
you know that we can
help keep your dream
going and stable.
We received your mail and understood the content
but first your information
is required to approve the
loan before we can
continue with the loan
offer. I want you to please fill the form and
return urgently.
Hence you will be
required to send us your information before the loan will be
insured and approved.
Contact us for financial aid our company
Web Reference: http://google.co.uk
0 votes Thank Flag Link Fri Oct 5, 2012
Hi

1)Would I get any advantage or disadvantage when I buy a house, pay in full, and do that all in cash? Such as taxes or mortgage or credit score?
-- it is easier to buy in cash, there is only a few banks that lend to foreign nationals. The interest rate is higher and the down payment typically is around 50%.

2)How much should I expect to spend on bills every month just to keep the house and pay electricity, water, etc. bills for a 2-3 BR house on average?
--This depends on the location, usage, etc. a few hundred dollars probably

3) How much is the home insurance for a house worth $800K?
-- fire insurance is quite reasonable, you can get a quote from Farmers, AAA, etc.
-- I would say around $1k roughly

4) I heard that if a foreigner spends more than $500K on buying a house in USA, they will be granted a residential visa. Should I then hire a lawyer before purchasing a property? Or can I apply for the green card (that includes hiring a lawyer) after buying the house?
-- There is a bill proposed by senator Charles Schumer on this subject.

5) What kind of documents would I need?
-- To get a loan, you would typically have to document your income, assets, etc.
-- Just to buy in cash, you only need a passport, visa to USA.

refer to http://www.BuyHomeInUS.com for more information for foreigners wanting to buy a home in USA,
0 votes Thank Flag Link Sat Apr 7, 2012
I am an agent specializing in Venice, CA properties, and have dealt with many foreigners in the past. There are too many issues to respond to in this forum, but if you email me at noelvietor@sbcglobal.net, I can help
answer your questions.
Best,
Noel
0 votes Thank Flag Link Thu Mar 15, 2012
Dear Newbie,

Please contact me via email at agsimca@earthlink.net. I can help you with the housing part (as well as answer your questions about real estate) and put you in contact with a lender that handles foreign loans, and an immigration attorney to answer you questions about the order in which you should do things.

Regards,

Angie Simpson
Coldwell Banker
818-795-5590
agsimca@earthlink.net
0 votes Thank Flag Link Thu Mar 15, 2012
Hello,
I would contact a Realtor in your area for advise since all states have different rules and regulations to go by. Those are all good intelligent questions and I f I knew the California law, I would attept to answer them. That is my best advise to you. Sorry I couldn't be much more help to you but I thought I could steer you in the right direction.


Best Regards,
Mike Stawizky
Keller Williams Realty
Commerce Market Center
(248) 980-4406
moveinnow.org
Visit us on trulia.com
0 votes Thank Flag Link Thu Mar 15, 2012
These are great questions each one could be explained very easily please send me a direct e-mail to homes@endrebarath.com for a detailed explanation. FYI I am a Relocation Specialist and have represented many buyers from various European and countries. BTW where are you moving from?
Web Reference: http://www.endrebarath.com
0 votes Thank Flag Link Thu Mar 15, 2012
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