Dear Sirs,

My name is D. T. from Switzerland (Europe) and I would like to know more about the financing possibilities of an apartment in the Fountain Hills area.

Me and my wife would like to buy a smaller apartment (i.e. 2-bedroom) with a price for not over $180,000.00. We are frequent visitors of the area and would like to own something not just for us, but also for renting it during the busy months between November and April with the help of an agency (e.g. Century 21). Of course, we do neither have any residency or working permit in the U.S., nor do we have (except the future rental income) any income in the U.S. You can start with the assumption, that our credit record is OK (i.e. no legal collections ever, income above $120K, rental income would be held in an escrow account at the lender's institution, etc.), but of course, it's not an American one. We are planning to have amortized the mortgage within 10-12 years from the borrowing year. In other words, our own share on the purchase would be some $30,000.

My questions:

- Would you - in principle - finance such a deal, provided that the credit record is OK and the purchase price is not excessive (i.e. market value is not lower than purchase value)?

- Would you accept debenture or do you have other instruments for collateralization of the mortgage?

- Up to how much do you finance (i.e. 80 % of object's market value)?

- What would your average rate for such a deal (e.g. 15 years with fixed amortization) be?

Thanks in advance and best regards,

D. T.

Answer:

There are several programs available for non-US residents. However, the terms and rates depend mostly on the available credit that can be developed. Meaning, a foreign credit report, or better yet, established US credit. Down payment is usually 20% or more, again, depending upon availability of credit. I have a few programs that quote "No Score. No Social. No Visa. No Work Permit. No Green Card...95% LTV (Full Doc. O/O)". Meaning, as long as we can verify your income, we are ok with only 5% down. I must warn, however, the interest rates on these programs are less-than attractive. Without more specific information about the customer, it will be difficult to offer much more...

Scott M. Monroe
Director of Sales and Marketing
American Mortgage Specialists, Inc.
4115 E Valley Auto Drive #208
Mesa, AZ 85206
Phone 480-545-9232
Fax 480-545-9232