Every year, thousands of overseas investors purchase properties across the US. Many others wish to, but find it difficult to fund their investment dreams. Some investors borrow back in their home countries to purchase properties here in the US. Others simply wonder if it is possible to apply for a mortgage loan in the US at all.
The short answer is, yes. A mortgage for a foreigner is certainly possible, but the pathway is complex and littered with hurdles. However, many foreign investors do get loans in the US although it is not always straightforward.
There are a few basic factors that can make your US mortgage loan application successful even if you are a foreigner.
A solid credit history
The most important criteria for a successful loan application is impeccable credit history. The higher your credit score is, the easier it is for you to push your loan application across. Even then, the success of your application cannot be guaranteed because American lending institutions view foreign credit scores with skepticism. You might be asked to furnish additional information, documents, and even certified statements from bank authorities in your home country. In short, having a good credit history abroad is no guarantee that you will get a mortgage loan in the US. However, it is a crucial factor.
Prime property in your home country
If you already own a property in your home country, and if it commands a prime resale value, your application might receive a second glance for a refinance loan. Banking authorities in the US still view overseas properties with a pinch of salt. In addition, it is difficult for lending institutions to verify how valuable your real estate is in your home country. While owning a prime property up your chance of receiving a loan to purchase real estate in the US, it is not a promise. Expect obstacles.
Stable source of income
This goes without being said. Mortgage for foreigners is only disbursed if the lending institution is convinced that the applicant is able to make regular monthly payments. Unless you have a stable source of income that is guaranteed by a reputable company or organization, you may not have a very good chance of getting a loan. Even if you have other sources of income such as a business, a fixed deposit, or a retirement fund, American banks will make their own evaluation based on many factors.
Your demographic data
If you are young, employed, and successful, your chance of getting a loan is higher. The older you are, the lesser is your chance of getting a mortgage loan for foreigners. Banks in the US scrutinize demographic data before handing out loans for foreigners. A youthful age enhances a person’s credibility as the bank may believe that they will be around for a longer time to make the monthly payments. If you are above 50 and would like to apply for a loan for foreigners, the bank may offer a shorter loan term.
There can be deadlocks even after sending in a strong application
These factors indicate that while it is perfectly possible to apply for a mortgage loan in the US, it is not always an easy process. There are a number of hurdles along the way, and you may be asked to furnish a number of documents. In addition, some applications simply reach a deadlock even if everything seemed to be going all right.
Yes, the American loan market is highly advanced, and loans for foreigners are available. Thousands of people successfully avail mortgages for foreigners in the USA, but many more don’t. The only way to make sure your application is processed successfully is by contacting a reliable and experienced mortgage lender.
Avoid impasses, hire professional mortgage lenders
Mortgage lenders such as USA-Mortgages.com quickly and efficiently process your application. The initial steps are almost automatic and take place seamlessly. Further down the line, our consultants use insider information to find the best loans for you and assist you in making your application strong and formidable.