Naneh, Home Buyer in Arizona

I am an Armenian citizen and want to buy a home in US, Arizona. Does the US Law permits the foreign aliens to purchase real estate property in US.?

Asked by Naneh, Arizona Tue Jul 31, 2012

Help the community by answering this question:

Answers

13
I help my Canadian buyers do it all the time. In fact I wouldn't be surprised if it isn't easier in some respects because of several loan programs available. There are a few issues to resolve and I understand they are quite simple issues. A great lender sure makes life easier. Getting the financing issues out of the way makes it easier and much less stress looking for the home you will be buying. Best of luck!
1 vote Thank Flag Link Sun Jan 5, 2014
Naneh,

In most cases you will need a significant amount down 50-60%. If you are looking to get pre qualified call me anytime or email me to get started. I will need :
1 mnth paystubs
2 forms valid ID
2 years most recent tax returns
2 month bank statements to show reserves and down payment
This is just to get started. Below is a link to my website should you like to apply today.

http://www.newwestlending.com/EricLopez
0 votes Thank Flag Link Tue Jan 7, 2014
Absolutely! However there may be tax implications with your home country either upon purchase or upon sale of the home, and if you rent it out there will be taxes to be paid to the US government (IRS.)

When you sell the home, depending on your residency status, you may be liable for what is called a FIRPTA tax.

Speak with your tax advisor on any tax liability in your home country.

The other issue with foreign nationals buying, is that it may be difficult to obtain a mortgage in the USA. If you can buy with cash, that is the easiest solution. There are some lenders who lend to foreign nationals, typically demanding a higher down payment and a higher interest rate.

I am here to assist you anytime.

Ann Griffin, Realtor
Coldwell Banker Trails & Paths
480-789-9584
anngmesa@gmail.com
0 votes Thank Flag Link Mon Jan 6, 2014
Yes. Our office is in a location where a lot of our buyers are from Canada. They either pay cash or there are a few banks that do have loan programs for them as well. It didn't delay the process at all and we closed as quickly as if they had been a US citizen. It is so common in Arizona that the title companies are very familiar with delaying with foreign nationals.
0 votes Thank Flag Link Thu Feb 7, 2013
Yes you can purchase property in the USA.

We have loan programs for foreign nationals to obtain financing. Paying cash is the easiest if you dont mind the cash out of pocket. We can help you get pre-approved and qualified. This is good to have completed ahead of looking for the property to purchase. I am a Mortgage Banker in metro Phoenix, AZ. I lend in both Arizona and California . If you or someone you know is looking for financing options, please feel free to contact me or pass along my information. 623-340-0934 Korene Clopine-Seaman NMLS # 218520 KLCSLoanTeam.com We are Direct Lenders, WE CLOSE LOANS!
0 votes Thank Flag Link Thu Jan 24, 2013
I'm a Canadian and no one stopped me from buying in Phoenix.
0 votes Thank Flag Link Sat Oct 27, 2012
Yes you can. There are even some loan programs for foreign investors.
George Sargent
Real Living SJ Fowler Real Estate
602-318-1066
0 votes Thank Flag Link Sun Aug 5, 2012
Naneh

Yes the law does permit a foreign national to purchase property in the US. We always recommend that you speak to a Real Estate Attorney and a Tax Accountant that specialize in Real Estate. You will also want to get a Tax Identification Number (TIN).

Paying cash is the easiest way for a foreign national to purchase property here. There are some lenders that lend to foreign nationals but they may only allow a vacation home and/or one investment property. This is good to check ahead of time if you are not paying cash.

Best Regards,

Brenda

Ron & Brenda Cunningham
West USA Realty
602-980-3133
Ron 602-499-0694

*** Recognized in the Phoenix Business Journal as "One of the Top 50 Realtors in the Valley" ***

Search the Official, Active, FlexMLS for homes like a Realtor through our website for FREE:
http://www.CunninghamHomesAZ.com
0 votes Thank Flag Link Tue Jul 31, 2012
Yes, unlike other countries, Foreign buyers may buy second homes or invest in real estate in the USA including Arizona. Keep in mind that this does not impact your visiting visa status, a work permit or how long you may stay in the US. Check with the American consulate to get that information.

The federal tax implications of foreign ownership of U.S. real property can be divided into three main categories: 1) federal income taxation, 2) transfer taxation (estate and gift tax), and 3) Foreign Investment in Real Property Tax Act of 1980 (FIRPTA) withholding requirements.

If you are renting the property and when you sell the property, you will need to comply with the income tax requirements. http://centralazhomes.com/az-home-seller-resources/az-real-e…

Loren Hoboy-Realtor
Central AZ Real Estate
LHoboy@centralAZhomes.com
Your Local Expert
623-688-0004
0 votes Thank Flag Link Tue Jul 31, 2012
Hi Naneh, Yes you can buy property here. It looks like you are already in Arizona. If you are a permanent resident with a valid green card, there are no restrictions on buying or selling, as long as you are still in the USA at the time you sell.

If you are not a permanent resident, buying is easy, but when you sell there is a tax called FIRPTA that is based on the sale price. This is based on the assumption that you are leaving the country, and would otherwise not have to pay taxes that and American would have to pay, such as capital gains. The way to make this easiest is to apply for a Tax Identification Number well before you plan to sell the property. I have gone through this with past clients, and without the Tax Identification Number (or TIN) it can be complicated and frustrating.

If you are planning to rent the property, you will have to report the income to the IRS, and pay taxes on your net income. I strongly suggest you talk with a financial advisor before you take this step, since I don't know what laws there may be in Armenia that could also affect you.

If I can help you any further, please email or call me. Best of luck.
Ann Griffin, REALTOR, ABR, E-PRO, SRES
Coldwell Banker Trails and Paths
2913 N. Power Rd., Suite 101
Mesa, AZ 85215
480-789-9584
anngmesa@gmail.com
0 votes Thank Flag Link Tue Jul 31, 2012
You can buy real property in any state but there is a tax that is paid when you sell the property of 10% it is called a boot and it is on the whole sales price not just the profit. It is held for tax purposes. You can get it back if you did certain things from day one. To get more information about this I first would contact a Title company they can give you the basic rules than go to a tax attorney and they can be more Pacific so you know exactly what to do to avoid this. That is one reason you cannot own property inside of a corporation. I would check this out first that give me a call I can help you or find you and agent in any state that is aware of the rules for foreigns buying in the USA.
0 votes Thank Flag Link Tue Jul 31, 2012
Yes you can. However, you have to be careful about how you own the property, for tax purposes. One rule in the US is that you never own real estate inside a corporation.

You should also become familar with withholding taxes on rent and when you sell (the law is called FIRPTA). Be careful, there are default rules and exceptions to the rule. For example, the default rule is that there must be 30% withholding on the GROSS rents. However, you can file certain forms and/or make certian elections to avoid the withholding. There are also non-tax reporting forms that must be completed such as the BE-15 or BE-605.

Dale
0 votes Thank Flag Link Tue Jul 31, 2012
Yes, the law does permit non citizens to own property, both residential and commercial, in the US. We are a special nation.
0 votes Thank Flag Link Tue Jul 31, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer