In recent months, the Boston real estate market has been nothing short of on fire. For local buyers that means looking at lots of houses and knowing that when they find that perfect place they need to be ready to pounce. Pre-qualification is paramount for buyers these days, as properties leave the market almost as quickly as they come on. For international buyers this creates some extra challenges.
Recent lending laws have made it a challenge to find financing for foreign nationals so if you are planning to buy in Boston expect to pay cash. Cash gives you an advantage when negotiating and it makes it easier on how you can structure the ownership of the property. If cash is not an available option for you, Back Bay Realty Group has been able to find loans for clients that are looking to make this kind of purchase. Our extensive group of lending partners have been able to provide loans to foreign national clients, but they do come with some hefty costs. International Buyers shouldn’t expect to pay the 3.5% that US residents are currently getting on their mortgage rates. For foreign nationals the rates are generally 6% interest on a 5/1 Adjustable Rate loan. Right now there isn’t a market for 30 year fixed rate loans for international buyers. International buyers looking to get a mortgage should also expect to put down 40% of the purchase price to get this type of loan.
If you are living abroad and thinking of purchasing a vacation home or investment property in Boston call our office at 617-449-3642 or send us an email firstname.lastname@example.org and we can over information specific to your situation when it comes to buying property in Boston.