Foreign national loans can be a lucrative source of business.
The most recent estimate from the National Association of Realtors (NAR) says international buyers spend $53.3 billion annually on properties in the U.S. How can you direct some of that international business your way? Mortgage brokers looking to tap into the foreign national buyer market can mix and match from a menu of strategies to attract and serve this demographic.
1. Understand Foreign National Buyer Profiles: Research the specific needs, preferences, and challenges faced by foreign national buyers. To name just one example, buyers from China favor properties in California and New York, while those from Canada prefer to buy in Florida and Arizona, NAR reports. To tailor your approach, take into account factors like visa types, credit history, and legal requirements. Watch this video to learn how this foreign national was able to secure funding for his non-warrantable condo besides his unique borrower profile.
2. Build International Partnerships: Establish relationships with international real estate agencies, relocation services, and legal professionals who work with foreign national clients. These partnerships can provide referrals and a network for potential buyers.
3. Offer Multilingual Services: Employ multilingual staff or work with interpreters to provide seamless communication with foreign national clients. Offering services in multiple languages can enhance trust and understanding while making for a seamless transaction.
4. Provide Education about U.S. Real Estate: The complexities of the U.S property market are unfamiliar to many foreign buyers. You can fill in this gap by providing educational materials and resources that explain local real estate laws and regulations, market customs, as well as the mortgage process. This can help foreign buyers navigate the nuances of purchasing property in a new country. Education materials could include blogs, infographics, and, videos addressing common concerns and questions foreign national buyers have. LendSure is a great place to start your content search. You can find existing blogs and videos to help educate your clients on foreign national loans now!
5. Offer Flexible Financing Options: Partner with a lender who offers flexible financing programs tailored to the unique financial situations of foreign national buyers. This may include specialized mortgage products with different down payment requirements or terms.
6. Take Aim at International Buyers with Your Digital Marketing: Tap into online platforms and digital marketing to reach potential foreign national buyers. Tailor advertising campaigns to target audiences in specific countries or regions.
7. Attend International Real Estate Events: Educating yourself is crucial. Participate in international real estate events, trade shows, and conferences. Networking at these events can help brokers connect with foreign buyers and establish credibility in the global real estate market.
8. Provide Remote Consultation Services: Meet remotely with potential clients through video calls or online platforms. This lets foreign national buyers discuss their mortgage options and ask questions from anywhere in the world.
Mortgage brokers need to stay informed about international real estate trends and be adaptable to the changing needs of the global market. Additionally, compliance with local and international regulations is crucial when working with foreign national clients.
There are many benefits to serving foreign nationals. LendSure is here to help you understand this market and navigate regulations and client needs.
The LendSure Way
It’s simple. We make loans that make sense. We’re not in-the-box lenders. Of course, there are numbers ratios, and data to consider, but we know that behind every file, there’s an individual with a unique circumstance seeking a loan. We work hard to offer our common-sense take on lending to borrowers seeking funding for the home of their dreams, another addition to their investment property portfolio, or refinancing of a currently-owned property.
Are you ready to benefit from a commonsense approach to lending? Contact us today to learn more about non-QM loans and how partnering with LendSure Mortgage Corp. can help grow your bottom line.