Watch the video on USA Visa

The question whether purchasing US property can help to obtain US residency status is somewhat confusing for a qualified yes and no answer applies and this often leads to conflicting views being provided.

Many people from all over the world have a desire to obtain US residency status and yet many are equally nervous about risking their financial savings in a qualifying investment business venture to help them to obtain a suitable visa.

The E investor is the most popular immigrant US residency visa for this provides a relatively simple and easy path by way of business investment and yet as with all financial investment careful research is necessary to ensure no costly mistake is forthcoming.

It was back in the mid 80’s when I was first involved with British buyers of vacation homes in Florida and soon after I realised that there was a common thread to the buyer profile. All were buying for a combination of rental, investment and holiday reasons plus many asked if their property purchase could help them to obtain US residency status.

I told them that a single US home purchase was no justifiable business investment reason and therefore this would not help them to obtain a residency visa.
However I soon realised that a business involving a carefully presented visa application with at least 4 homes together with submission of a comprehensive detailed business plan showing how the business would succeed, could provide a completely different answer.

When a visa application is poorly presented or it portrays a “passive financial investment” an application will be declined. However if the visa application is carefully presented by an experienced professional with a proven track record in knowing how to demonstrate hat an “active property business” will occur this has a real prospect of resulting in the issue of an E2 visa.

The application should clearly demonstrate that a “substantial financial investment” is made prior to the application being submitted and although no actual sum is detailed in any document in reality this should not be less than $100,000.
Property loans are allowed although when the case sufficient projected business profit margin will need to be clearly demonstrated for as the projected expense and risk increases so of course will the scrutiny from any issuing immigration official.

Of equal importance is the need to clearly define why you believe that the proposed business will be viable and the application must show that the proposed business can readily support the owner’s future living expenses etc
The supporting business plan should demonstrate a defendable reason why it will generate employment and as a guide the projected generated profits normally should not be shown as being less than $50,000 per annum.

Clarifying the property aspect as an integral part of the business plan will be essential as would be in the case with a similar business proposal such as one involving say a guest- house, hotel or even property rental firm.

Vacation rental homes that are purchased should be viewed by the issuing authority similarly to a hotel for the property purchased has a very similar function, however no rental homes purchased should be shown as being bought specifically for personal use!

Property assets purchased as part of a rental business do of course require regular maintenance and rental bookings are also a necessary business function. Appropriate personnel for the every day business needs will therefore be required either at the outset or at a later date.

In Central Florida, especially within the Disney catchments a constant demand for “good quality well run” property management firms still exists despite the number of holiday rental firms that already operate in this area.

The constant growing demand for good quality management results from the continuing cycle of firms that naturally grow when they increase their portfolio of homes. This seemingly can reduce some business operating standards, hence the constant demand for new firms.

This specific problem was the underpinning reason why I decided that my real estate business should NOT to enter into property management, despite an obvious attractive financial temptation.

Back in 1985 there were very few holiday property management firms operating near Disney for by and large it was hotels providing rental accommodation.
Over the years we dealt with several thousands of property sales to British buyers all of whom bought for personal holiday use plus potential rental income.

In view of the importance our buyers applied to the property management, we decided that it we should provide the best client service by remaining totally independent from any property management firm. Indeed many of our real estate competitors could not resist the obvious financial temptation and they did otherwise.

As a result of our independence nowadays we can track and monitor the performance of some 700- property management firms in Central Florida alone and the valuable information that we continue to gain helps our client buyers.

Currently there are over 50,000 British owned homes in Florida and of course many more properties are owned by other non –residents, both US and foreign.

It follows therefore that there is a constant demand for quality small to medium sized property- management firms in this particular region and this is naturally creating attractive and exciting investment opportunities for budding entrepreneurs in search of a new US way of life.

Anyone who is keen to keep their financial investment risk to a minimum and is somewhat nervous of investing cash into a new business venture may be hard pressed to find a better alternative than to invest in a property based management renal business.

Property in the “Sunshine State of Florida looks set to keep rising in value for property prices are still lower than many comparable states such as California, where prices are almost 3 times as high!

Those interested in obtaining more information should contact Countryside International on UK number 08456 444 747 where a free DVD “The definitive guide to buying in Florida” is also available.

http://www.countrysideinternational.com/

Subscribe to Countryside International Newsletters by Email

Watch the video on Florida Mortgages

Foreign nationals who seek to obtain a mortgage when making a Florida property purchase, can do so, subject to qualification, in a relatively simple manner.

- Up to 80% of the purchase price or valuation (appraisal), whichever is the lower is normally readily obtainable.

- Fixed and/or variable rate loans of up to 30 years are normally freely available, regardless of ANY age.

- Some loans can be repaid in either US dollars or another currency and sterling loans often are available with fixed terms and currency exchange rates.

- Interest rates do of course vary according to the type and time of the loan;generally a foreign national /investor will pay 1% more than a US resident. Interest rates currently range between 1% and 8% (May 2007)

An applicant should be able to provide the lender with a list of certain documentation, as proof of ability to repay the property loan and normally the best available rates are freely obtained when supplying the maximum amount of documentation.

If you are planning a trip to Florida with a potential property purchase in mind, we recommended that you take with you a few important documents, which are listed below. Of course you may however have already supplied these dociuments to a suitable lender for a prior loan pre-qualification.

The recommended documents are:

Employed
A minimum of 2 years Inland Revenue P60s, plus copies of tax returns, if available and your most recent pay slips, covering the prior 30 days.

Self-Employed
A minimum of 2 years accounts, plus a letter from you accountant confirming Inland Revenue approval.

Employed & Self Employed

a) A minimum of 3 months Bank and/or Building Society and/or Stocks and Share statements. The statements should provide evidence of the whereabouts of your intended down payment (deposit) on your property.

b) Proof of title deeds to any unencumbered asset.

c) A copy of a full years-Council tax (rates) demand on your UK home. This is to prove that your permanent home is in the UK.


Non-income verification loans

- Non-status (self-certification) loans are readily available, although documentation similar to the above is still required without the income verification, which is merely stated. This is due to the loan being based on the strength of the asset.

- Although the maximum percentage of these loans varies from time to time, normally they are freely available up to 75% of the purchase price, subject to a satisfactory appraisal. In certain cases a possible 80% non-status can be arranged, although the interest rate is then loaded.

- US lenders offer a variety of flexible mortgages, which can be tailored to your particular needs. Interest rates vary just like they do elsewhere in the world. You can choose between a variable and a fixed loan, although most popular with overseas buyers is a loan capped on an annual basis, in intervals over the life of the loan. These are more commonly known as A.R.M.S. (adjustable rate mortgages) and they are normally available with capping options at 1, 3, 5 & 7 years.

The purpose of the capping is to control the interest rate within a specified percentage range, which can provide peace of mind when on a budget. The fixed rate loans are normally repaid over 15, 20 or 30 year terms.

- U.S. loans will normally cover the repayment of principal property taxes, interest and hazard insurance. Many carry no pre-payment penalties and should you decide to make additional payments each year, you can reduce your term substantially, which is well worth consideration!

- Interest only loans are available

Countryside International/Florida Countryside personnel have full knowledge of several independent lenders and brokers with expert knowledge in their field and a personal introduction to ensure the best possible advice is obtained is highly recommended.

A loan pre-qualification prior to any purchase is advised & is freely available upon request without any obligation.

Mortgage Approval

Once a mortgage application is presented at the time of any purchase agreement, normally a lenders acceptance confirmation is forthcoming within a 4 to 8 week period from the time of submission.

When the acceptance notice is received, you are required to sign the authority and if you have not already done so a 'down payment' is made which is normally the balance of 5 % 10% or sometimes even 20% (an initial holding deposit may have already been paid) the exact sum will of course depend on the contract terms.

This stage is the US equivalent of the UK's 'exchange of contracts' and pre-payments and closing costs together with the additional deposit balance are payable at closing.

Purchasing a property with cash

If you pay by cash, there is no requirement for any pre-payments and the closing costs are reduced.

Closing (Completion)

When a new property is being built, prior to closing an orientation (walk thru) with the builder takes place. This involves either you or your representative (brokers like us often provide this free service for their clients) checking the property to ensure entire buyer satisfaction. (snagging list).

The 'Title Company' then conveys the title (a title insurance policy is issued) & ensures that the appropriate monies are distributed to all of the relevant parties. They do not act for either seller or buyer and you can rest assured that the money is protected and dispersed correctly. The closing costs are similar in many ways to the items we pay in the UK Stamp duties, etc. Although the main cost is attributed to the mortgage loan.

It is prudent to allow up to 4.5% (four & a half per cent) of the total purchase price, to include disbursements (this is the maximum sum it should cost you). A cash purchase should reduce this sum to a sum ranging from 1.5% to 2%.

A breakdown of the estimated associated costs is provided by the lender once details of the property chosen is known.

Taxation

- Property taxes normally amount to approx. 1.5% (one & a half per cent) of the property's value, which is commonly paid on a monthly basis along with the mortgage payments.

- A sales tax is charged on all rental income and currently is 12%. It is the equivalent of the UK's VAT. A tax treaty between the UK and USA means that double income tax is avoided although all rental income must be declared.

- As a guide; all relevant expenses including the mortgage interest can be off set against any due tax from rental income and once all of the appropriate expenses are taken into account, in certain cases often the tax is wiped out completely; this of course will depend entirely on the individual personal circumstances.

It is recommended that ALL buyers obtain expert professional advice regarding taxation and Countryside International/ Florida Countryside personnel are happy to make introductions to an appropriate qualified accountant/taxation lawyer upon request.

Interested to know more? Contact Countryside International on UK number 08456 444 747 or visit www.countrysideinternational.com

Subscribe to Countryside International Newsletters by Email

Furthermore loans are relatively easy to obtain; we can introduce potential buyers to specialist mortgage brokers who normally can arrange 80% mortgages for foreign nationals with 30-year terms.
Most loans will have no pre-payment penalties arising and there will be a variety of fixed 1 3 5 and 7 year adjustable rate loans to choose from. There is a further bonus too; there are some mortgages that can be fixed at a Sterling exchange rate and so those acting NOW can also take full advantage of the great current £ to $ exchange rate conditions!!!!

As an alternative to buying a home in Florida, some of you may wish to invest in land that is located in the mountains and lakes of Tennessee; here prices start from around £25,000 for a large tract that could be possibly sub divided at a later date or may be a brand new home in Panama in Central America is more you’re your type of investment. In Panama we have sourced some fine property with prices starting from as little as £85,000; the US dollar purchase is of course entirely yours to consider!!
Wherever and whatever, my advice to you any interested party is to ACT now if you are looking to try and make some real money!

Graham Pyle

To obtain a free DVD “The definitive guide to buying in Florida” call the UK number 08456 444 747 or e mail us with any questions about this subject at enquiries@countrysideinternational.com

www.countrysideinternational.com

Besides tourism, Central Florida’s prospect for growth is now due to the vast employment opportunities ; forty one thousand new jobs were created in the region over the past twelve months and therefore it is no wonder around 360 people net are moving into the area every day.

The “US sunshine state” attracts around 80 million visitors annually and a staggering 52 million of them stay inland, away from the coast!

With an estimated 50,000 + British people now owning property in Florida and most of them buying for rental investment and personal holiday use, what is surprising for many, is to learn that rental restrictions exist throughout the State.

In Central Florida where the Orlando Disney catchments exist, there is of course a considerable rental demand for short- term accommodation, however great care is needed in this area to avoid possible mistakes, for less than one per cent of the total land mass in central Florida is zoned and approved for short- term rentals.

The short- term approval allows use of property built on the specifically zoned site to be used like an hotel and the reason for this is simple; local authorities control the supply of such rental homes to protect the residents from possible neighbour nuisance, however this does of course also help potential investors, for it reduces the competition from similar like minded property owners.

It is of course a competitive environment, and homeowner still have to contend with the hotels, although many people do prefer to stay in a privately owned home.

Historically most British property buyers in Florida look for a villa with its own pool in favour of a condominium, for many British renters think likewise.

A villa with its own private swimming pool does of course have its attraction and yet it can also have a few disadvantages, such as more responsibility and in some cases a higher maintenance cost than a condo.

The majority of Florida visitors (some 85%) are either Canadian or US citizens and most after hotel accommodation will almost certainly seek to rent a condo (condominium), in favour of a villa.

Condos although best described as similar to a UK flat or apartment are normally starting from as little as £80,000 and most are spacious and can even be as large as many villas. The resort facilities normally on offer and the associated running costs rival the villa counterpart.

A villa can of course be a wise purchase although normally the price of a new or established home will commence around the £130,000 mark. Lower priced homes are available although the age may well mean that some work is going to be required.

Says Graham Pyle Managing director of UK & US based real estate specialist Florida Countryside; “Since I commenced the extensive marketing campaign of Florida real estate to British buyers, some 20 years ago, I have been constantly reminding our clients to first seriously consider the main reason for them buying.

This should take place from the outset of the interest, for most primarily buy for investment and holiday reasons and in that order. Many would otherwise undoubtedly let “their hearts rule their head” and they would end up buying a home that is more suited to them living in on a permanent basis.

In reality most will require a home for short- term vacation stays which can financially work for them during their absence and at any given time we are fully equipped to establish he very best available property that is for sale at the most completive price, specific for any client's need!”

“Most UK based Florida homeowners only stay in their home up to 4 weeks annually and the remaining time they try to seek tourist rental income.

I should point out that we believe the best way of achieving a great result is to NOT rely on others to make you money.

We always help by educating our clients how they can successfully achieve the desired investment result by way of holiday lets and regretfully this does involves a degree of work. There will never be a free lunch and the more owner effort, the better the result.

You really only get out of it what you put into” says Pyle and we constantly aim to help clients achieve their goals, with total professional guidance.

A “permanent home” has an entirely different criterion to that of a potential rental home and I personally believe the two definitely conflict.”

A suitable “permanent home” often has a higher purchase price tag than a holiday home, plus it can sometimes even have a high running cost, for the homeowners association fees can be excessive, especially when it has associated facilities such as prime golf course within the community.

A suitable primary home will normally carry a 3 or 6 monthly rental restriction that operates within the community and therefore this will have no flexibility for the owner’s personal use, which will prove to be a problem in itself, if it is planned to ever rent out the home during the owner’s absence.

A good rental investment should have the potential to provide a healthy yield together with a good prospect for strong future capital growth and this is currently highly possible in Florida, subject of course to careful research by locating the very best available property at any given time.

Florida Countryside offer a client buying service that can achieve the best possible result, for they have access to every listed property for sale in the region.

A licensed agent has a fiduciary duty of care to protect the client and yet the associated real estate fee is always paid by the buyer and collected and distributed by the title agency.

For a free DVD "The definitive guide to buying in Florida" plus more detailed information regarding properties currently for sale or to obtain an invitation to one of the information seminars being held throughout the UK call 08456444747 or visit www.floridacountryside.com

Strategically located just a 4- hour flight away from the UK Turkey is indeed a “rare jewel”.

This vast country has a diverse culture with many different regions that enjoy a range of varying climates. In the popular tourist areas an agreeable climate exists that sees long fine days of warm sunshine last for most of the year.

The country enjoys an amazing contrasting landscape that comprises a mixture of scenic mountains, lush green woodlands and extensive tracts of undulating beautiful lakeside countryside plus an extensive coastline enjoys numerous sandy beaches that gently are lapped by the warm seawater.

The Turkish people are friendly and hospitable, which together with the country’s many virtues is why Turkey is so fast becoming a seriously popular holiday destination, especially with British and European tourists, many whom believe they are discovering the “new Spain”.

The country offers superb property value plus a low cost of living, which alone makes this a most attractive lure for overseas property investors and sun-seekers.

Many who flock to buy are encouraged by the favourable accolades yet all foresee a good prospect for strong future capital growth and certain “hotspot” regions have become a property investor’s paradise.

Across the region from places such as Bodrum and Marmaris, on the Agean coast, southwards down to the warmer climes of Side and Alanya, overseas buyers are snapping up property.

Side is located in the Antalya region along the Mediterranean coast a 45 minute drive from the International airport, which is the 2^nd largest in the country and is open all year round. Nearby in Belek a golfers haven is being created with 12 championship courses that would not look at all out of place in Florida!

Property prices along this coast are still very affordable, although this will undoubtedly change with the passing of time.

Countryside International who have offices in the UK and Turkey are offering spacious new 2- bedroom apartments (800 square ft) close to the beach in historic Side from £50,000 whereas new large detached 4 bedroom 3 bathroom villas of Mediterranean style (1900 sq ft) with a private swimming pool within the same area are costing between £130,000 & £145,000.

Such property if it were located in the Costa del Sol of Spain would cost at least £500,000 making these homes absolutely wonderful value!

Everywhere you travel to in Turkey you will find Roman ruins; Side was once a favoured romantic meeting place for Cleopatra and this one time fishing village with its amphitheatre and fine ancient ruins is now one of the most popular holiday destination, whereas nearby Aspendos has one of the best preserved amphitheatres in the world and here they still present major music festival events and live theatre concerts.

A popular ski resort in the mountains near Antalya is a mere two and half hour drive from Side enabling visitors to take a dip in the sea in the morning and to then drive to ski in the afternoon, a fine combination to keep you fit and healthy!

Call Countryside International in the UK on 08456 444 747 to obtain more detailed information regarding property for sale in Turkey plus learn about the information seminars to be held throughout he UK. Alternatively visit the website :

www.countrysideinternational.com

Subscribe to Countryside International Newsletters by Email

Countryside International is the parent firm of the well respected overseas real estate specialists Florida Countryside, Turkey Countryside & Panama Countryside.

The Managing Director & founder of the business Graham Pyle, was possibly the first UK estate agent to recognise the potential of the Florida property market involving British buyers; in the 1980’s he introduced an extensive UK marketing programme with numerous public information seminars detailing the virtues of Florida real estate taking place throughout the UK and Europe.

Graham sold his chain of UK estate agent offices to the Abbey National in order to concentrate on his overseas property business, which was retained from the sale and nowadays he and his son Simon spearhead the Countryside International sales & marketing team.

The “very best value” property available for sale at any given time is sourced by careful research and a thorough due diligence approach within the specialist countries and this has resulted in the firm amassing a large client following of discerning investment and second home buyers alike.

Key Countryside International personnel have been filmed on many occasions for various national and terrestrial television channels such as BBC ITV Channel 4 and Sky digital.

Graham's US based real estate partner Allen Jackson has some 23 TV appearances to his credit on the specialist property programme “I Want That House” (ITV) and an interview with Graham was recently the feature of "Property Kings" on Sky. The firm originally were specialist advisers to the TV company producing “A Place in the Sun”.

Each year Graham is a guest speaker in an expert capacity at different property exhibitions such as “A Place in the Sun live” “Property Investor” and the “Homebuyer” plus he writes features for specialist journals such as “Escape to Florida” and has had many articles published in the national press.

Countryside International UK Office :
Tel : 08456 444 747

www.countrysideinternational.com