New York Real Estate Tips for Foreign Investors

Foreign buyers within the city of New York often face a market they are not familiar with, which leads to the need to seek sufficient information and real estate investment consultations. This article aims to shed some light on the subject, so you can get ahead and closer to your goals.

One of the first things you must always remember about New York is that what makes it a major center of culture and finance is its incredible diversity. This particular trait typical of New York has been achieved over many years due to the influx of foreign investors in many fields, one among which is real estate. This is a large piece of the total investment percentage for the city, and the number of such investments is growing each year due to the centralization of money, corporate interests and influx of people willing to live in the city. You may need some help navigating the local real estate waters when you’re dealing with the New York market however and we are glad to provide a helping shoulder with the following tips:

The process of buying a residential property for foreign buyers often starts out in much the same way as any other real estate purchase. There are some subtle differences however, as there are different forms of ownership that deal with different types of buildings. Due to the easier way of purchasing and dealing with management and transactions, condominiums are the more popular choice among foreign investors for the city of New York.

New York Real Estate Tips for Foreign Investors

Despite that however, foreign investors should think of all the options ahead, as condominiums do tend to be more expensive if they are in new development, both in purchase prices, property taxes and other charges. Co-ops also offer some great solutions, especially in the long run, as they have a pretty substantial net worth as well as purchasing without financing. Some of the greatest and most prestigious rental properties around the city of New York are co-ops. They have lower prices than condominiums and they also have lower monthly expenses to deal with as well.

New York Real Estate Tips for Foreign Investors

Smaller, single-family town houses can give their owners more control and privacy over larger properties with multiple families. Using the extra money from such smaller properties can be used to maintain and even purchase other small properties, allowing more control for smaller costs. While these types of housing are often overlooked by foreign investors, they have great advantages as well that should never be ignored in the long run.

One of the first mistakes foreign investors make is to underestimate the entirety of income and capital gain taxes in a cross-border scenario. The taxation and gains are more complex when you’re making the payments from an entirely different country altogether. Although there are treaties between the US and other countries about double taxes, foreign investors should make sure they buy from an advantageous position, tax-wise. A tax advisor will be of great help when dealing with the details around such a purchase, so it may be a good idea to find one before you close the deal that seems most lucrative.

 

A Guest Post from: Moving&Storage company Wimbledon via Linda Baker

Linda Baker is a freelance freelance real estate broker and blogger. She has a professional background in buying and selling properties. She loves reading crime novels and traveling.