Offshore Guidebook | Real Estate Investor Magazine Offshore Guidebook 2016 | Page 13

ADVERTORIAL “There’s never been a better time to invest in the us Residential Real Estate if you’re a Foreign National”. W ith such uncertainty underpinning the world’s equity and currency markets, and with fixed income yields near zero, where does the investor look to build an investment portfolio with safe, dependable returns and capital appreciation? The US is one of the few economies showing steady GDP and employment growth coupled with a stable currency. Within the US, residential Real Estate represents a unique investment opportunity for smart investors looking to capitalize on one of the most powerful long-term asset plays in the US. Based on the 2014 US Census Bureau demographic trends, demand for housing is forecast to outstrip supply by over one million homes a year, over the next ten years, as the booming cohort of Millennials age, marry and form families. This wave of demand will create a chronic shortfall in the supply for residential housing, with new homes within the $150,000 - $250,000 range in current construction most in demand by home owners and renters alike. This will underpin residential real estate as a smart asset play over the next decade and savvy investors who have done their homework are capitalizing on this asset play, right now. Finding a trusted firm to partner with is critical to successfully investing in US real estate. Crucial to your search, is a firm that works with investors from a wealth management perspective and one which has demonstrated a successful track record. Look for a firm that offers you the opportunity to securely acquire new homes, that offers a builder www.reimag.co.za Secure. Stable. Growth. warranty on all its properties, that can accurately forecast your investments and one which will help you securely scale your investments in the best locations for capital growth. Find a firm that has vetted the top lenders for international buyers looking to acquire investment property in the US and one which takes the appropriate steps to secure the required funding on your behalf. One of the major hurdles that a foreign investor must overcome is that it is difficult to open a bank account unless you can physically visit the US. Some firms have their own legal team to help organize and secure your Limited Liability Company, (LLC), and bank accounts, which will be used as the primary repository for your home loan and will be used for rental deposits and to draw from for associated maintenance and ownership fees. Your investments represent a powerful, legal tax-shelter. A reliable real estate investment firm emphasizing wealth management services should also offer a comprehensive US tax service to mitigate your income and capital gains liabilities to the fullest extent allowable, through deductions, depreciation, expensing, and 1031 Exchange programs. The final piece of an end-to-end provider is property management. Utilize a firm that will take the stressful day-to-day responsibilities of property management out of your hands. Greystone Residential is a US Residential Rental Investment Property firm that offers a complete endto-end investment solution. Offshore Handbook 2016 11