Frequently Asked Questions
Frequently Asked Questions
Can I have a bank account in USA?
Yes, we can set you up with US bank Account that will grant you access to Internet banking and provide a Visa debit card for that account.
How is my ownership structure set up? What do I need to do? Will I be issued with a title deed?
Based on your personal circumstances an LLC (Limited Liability Company) will most likely be set up for you. Our US attorney will structure everything in the most favourable way. We will set up your LLC, Bank accounts, and provide annual tax and accounting advice with our CPA. We will also guide you through the process for settlement and closing where you will receive title to your property.
Is there any stamp duty on the property I buy?
There is no stamp duty on the purchase of houses in the USA.
Who will manage my property and how much is the management fee?
Our experienced property management team will manage the property at a flat rate of 10% of gross rent.
What tax will I pay?
With an LLC your tax burden is 10% to 15% of the gross rental income. You also have access to tax deductions, like depreciation, which can lower this rate.
Will I pay double tax in USA and my country?
Australia and the USA have a tax treaty which limits the possibility of double taxation. You will still have to lodge a tax return in Australia declaring your foreign income. Due to the treaty, a credit would be issued for any taxes paid in the US to avoid double taxation.
Can I finance my property purchase?
There are financing options available for our investors, we will be happy to explain and refer you to banking professionals.
Will I pay capital gains tax?
Capital gains tax is 15%, but if you sell and reinvest within a certain time period, there are no capital gains.
Will my USA property purchase help me get a VISA?
Your purchase may assist you with a travel visa to inspect your property, and your trips to the USA are tax deductible. Please seek professional advice from an immigration lawyer in relation to all other VISAS.
How long will a tenant sign a lease for?
12 months minimum.
Do I need to travel to USA?
No you don’t. Everything can be done from here.
What is the best way to transfer money to the US?
We work closely with a Foreign exchange company that handles all the FX transfers for our clients.
Should I visit the USA before I make a purchase?
Our clients rarely visit the USA before they make a purchase. This decision is entirely up to you, and if you make a purchase your trips to the states are tax deductable.
Can I use my Superannuation money to buy more USA Properties?
What if I can’t find a tenant?
All the properties are sold to you with a long term lease in place, already renovated. When you need a new tenant, the property manager will handle that for you.
How do I choose where to invest?
At this stage we deal predominately in the states of Illinois and Missouri. As part of our 10 step qualifying criteria we look for landlord friendly states, economic growth past and present volume of properties available, and prices. Based on our tried and true research process research and proper due diligence in these areas we have been able to identify specific neighborhood pockets we believe show the best investment prospects.
We only deal in safe and well established neighborhoods with desirable demographics with an affordable mix of family homes. Most importantly we have built relationships with reliable local professionals we can trust and who will protect your capital by sharing accurate local information. Invest USA will assist you in conducting your own due diligence. Your key person is our property manager, we source and train trustworthy team members who deliver excellent service. Taken all in all these ingredients reduce your risk, providing a safe and secure investment in the US.
What if my counties currency goes down against the USD?
The currency exchange rate between the USA and Australian dollar is very favourable at present. In addition, the costs of exchanging Australian funds into the American dollar are low. If the Australian dollar was to reduce back down to 60 to 70 cents, moving rental income back to Australian currency will work in your favour, i.e. increase your overall net return.
Why should I work with Invest USA?
- We take the guesswork and risk out of investing in a foreign country
- We make it easy and simple to acquire property and income
- Diversify your long term portfolio
- Hedge against uncertainty
- Work toward a comfortable retirement
- Guaranteed income at purchase
How does Invest USA make their money?
Invest USA purchases properties at the lowest prices, we renovate and sell at a fair price, our payment is at the sale. Unlike other foreign investment companies we do not charge a service or membership fee for our services. Our emphasis is on repeat sales and building client relationship by helping you achieve financial freedom through investing in US Real Estate.
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