Mortgage for non-residents

US banks lend to non-residents very reluctantly or under higher interest rates. The minimum floating rate for Russian citizens will be 8% per annum, on average, the same amount to about 10%, since lending to Russian banks in the US due to increased risk.

To obtain a mortgage loan you need to collect a large number of documents, and have money for a down payment. American Mortgage Association (Mortgage Bankers Association) recommends that the potential borrower to collect the amount from 10% to 25% of the value of the acquired property. Yet he needs a passport to open a US visa to visit the United States.

The basic package of documents includes:

- One or two letters of recommendation from the bank, foreign or American, confirming at least a two-year history of cooperation with the client;

- Credit history from a credit bureau - the US or country of residence;

- A document confirming the availability of the required amount in the account in order to make a transaction within 3-6 months from the date of the contract;

- Certificate of employment for certain permanent income or financial statements if the borrower its business;

- Documents necessary for the transaction (contract, transaction confirmation, etc.).

It should be borne in mind that each potential client banks individual approach, therefore the necessary documents have to be formed in each case may be.

Redemption rate in the US is calculated for two basic models - either it is a fixed rate or floating. Maturities generally range from 15 to 30 years. Mortgage floating rates - a common practice in the US, because it is beneficial to banks. Credit institutions themselves determine and change the rates, tying them to the US Treasury bond prices, the rate of LIBOR and so forth. The models for calculating floating interest rates a lot, but the most common so-called hybrid when a certain number of years (usually from one year to 10 years ) The Borrower shall pay a minimum flat rate and then over the remaining period of repayment (the average from 15 to 30 years) rate changes at certain intervals. So, for example, the formula stands for 5 5/1 years of payments at a fixed rate, and then it changes once a year.

The most expensive real estate in the United States - in California. Among the most inexpensive in terms of real estate - Georgia, Arizona, Michigan, Ohio, Philadelphia, New York.