Go to ...

Vinnies Blog

The Morning Small Business Chronicle

RSS Feed

International Real Estate Investing

Economic conditions can be precarious at times. So can the U. S. job market. Many Americans are turning to offshore investing in top floor apartments to build a security nest for unstable times.

Many Americans are still holding on to the American Dream—own a home, own a car, and become financially independent. Economic conditions can be unpredictable, however, and so can the U.S. job market. Americans unprepared for stormy days will soon find the “dream” drifting behind the clouds.

Lay-offs in the workplace and homeowners facing foreclosure will probably turn the American dream into a nightmare for some. American citizens are looking for a way out–a different pocket in which to deposit their hard-earned dollars. A key to financial security. For many, international real estate investing has become the solution. The shrewd American realizes that offshore real estate investing may be the best way to protect their assets, their family, and their life.

What is Offshore Real Estate Investing?

International real estate investing refers to a variety of investment strategies that can be capitalized in the investor’s home country. Investing offshore simply means investing in locations other than where someone lives. Investing in commercial property is particularly lucrative. “Compared to other investment types such as cash, equities and government bonds, commercial property tends to provide high yields provided that inflation remains low,” states Anthony Rommens, Managing Director of New York InvestmentNetwork [Angel Investor Magazine, 2007]. Offshore lands can provide high financial returns. According to Bellflower Business Group, purchasing property in an international market showing upward growth potential can provide a viable solution to a financial crisis.

Features of Offshore Property Investing

One of the greatest benefits of offshore investing is a profitable and continuous cash flow. Investment in international real estate also offers diversification. Investors can transfer their assets to legal entities via foundations, trusts and established corporations. An investment of this nature can result in entities via foundations, trusts and established corporations. Such investments can also result in a reduction on U.S. taxes. (Countries invested often offer a tax reduction to the foreign investor). Current policies of the IRS include taxing American citizens on global income. It should be noted, however, that although the IRS does not have access to financial documents of international assets, they are seeking means of bringing undisclosed bank accounts onshore through programs such as the FBAR program.

Offshore investing provides confidentiality. Having financial transactions unknown to the masses is a definite security of privacy. Ownership can be transferred, securing wealth and property from debt collectors as well as domestic issues and seizures.

Building Offshore Properties

Certain financial requirements must be met in order to open an offshore account. Expensive corporate and legal fees can be a deterrent but a financial adviser can help establish a budget that will maximize profit. Financial help can also be solicited from a reputable financial entity, such as a broker, bank or portfolio manager. Professional advice is recommended for protection against scams and unnecessary risks and the purchase and study of an investment guide is beneficial.

Bargain properties in other lands render a worthwhile investment for conscientious investors. Purchasing quality lands in locations near developments with considerable expanding potential is key. Americans looking to offshore real estate as a primary investment to securing assets or expanding their pension can find a security measure. Offshore investing can turn the American dream into a tangible lifestyle.