Investing in the United States is an increasingly coveted objective for people around the world, mainly to improve wealth, generate profitability and even obtain residence. In Chile it has been installed as an important phenomenon in recent years. We tell you how to do it.
Chile is a country where investment in the United States has grown enormously in recent years. In fact, according to the Miami Association of Realtors (NAR), in 2021, Chileans represented 3% of total real estate investments in Florida, one of the favorite states to invest by foreigners.
In addition, according to data from Banco Santander de Chile, the most important destination for Chilean investment abroad is the United States (29%), followed by Argentina (15%) and Brazil (7%). The rest goes to other countries such as Mexico and Canada, but also to Europe (France and Spain).
But, what is the process to invest in the United States from Chile like? We’ll tell you then.
Ways to invest in the United States (from Chile)
Currently in the US there are different types of investment that can be accessed as a foreigner. Private capital to generate profitability in USD, real estate for rent or increase in equity, to obtain the American residence, which may include the first two, among others.
Among the most popular is investment in real estate, since it has become an increasingly requested market, and with rising rental prices.
There are many ways to invest in the United States, such as purchasing rental properties, commercial real estate, and land.
Types of investment in real estate
Currently in the US there are different types of investment that can be accessed as a foreigner. Private capital, real estate or to obtain American residence, which may include the first two, among others.
Investments in rental properties
Rental property is one of the most common types of real estate investment. By buying a rental property and renting it out to tenants, you can earn income from your investment. There are many different types of rental properties, including single-family homes, duplexes, triplexes, and fourplexes. And they can be rented or used as a second home for the owner/investor.
These properties can be found in almost every city and state in the US, but have different characteristics depending on their location. For example, a condo in the state of Florida would be worth much more than a condo in rural Texas, because more people want to live in Florida than in rural Texas.
Commercial Real Estate Investments
Commercial real estate includes any property that is used for business purposes, such as office buildings or warehouses. Commercial properties are often purchased by companies with higher budgets than those looking for residential properties. Commercial real estate has lower rates of return compared to residential investments, but it also carries less risk because it is typically less expensive than residential investments.
Income-producing properties are a broad category that includes anything from a rental home to an apartment building filled with tenants paying monthly rent. Income-producing properties are typically purchased by investors seeking income rather than capital appreciation.
Investments in land
Land investments differ from other types of real estate investments because they do not include any buildings or improvements on the land itself. Instead, investors buy greenfield land with plans for future development or resale at a later date, when prices rise due to demand in a particular area.
The type of property you choose will depend on your personal preferences, but there are some general characteristics that can help you decide which type of property is best for you.
In short, there are many different ways to invest in real estate, and each investment has its own advantages and disadvantages. The type of investment you make depends on your risk tolerance and your goals.
Step by step to invest in the US from Chile
For those who want to invest in the USA from Chile, the process is easy to carry out with the appropriate advice.
In the first place, because North American banks have very good views of Chilean investors, since they consider them to be financially educated, standing out among their peers for the permanent and timely payment of their obligations in the United States.
After understanding the financial profile of potential clients, the next step is to obtain a mortgage prequalification letter to accompany the offer to buy and sell the property, so that the seller sees that part of the process has already been fulfilled and accepts the offer quickly. .
To structure the credit, the documents that are usually requested as a requirement are:
Income Verification Letter
Recommendation of a banking institution
Copy of passport and visa
Demonstrate liquidity in any bank in the world
After 20 to 30 days from the delivery of the documents, the loan can be officially approved by the US credit committee, and 15 days later the mortgage disbursement can be made.
Investing in BAI Capital is investing in the United States
BAI Capital or Become American Investor LLC is a boutique firm with more than 12 years of experience specializing in raising, investing and managing private capital. Mainly, for capital investments in real estate development projects in the United States.
With a presence in the real estate sector in the states of Florida, Texas and New York, we specialize in generating value from the acquisition of land to the development of large-scale projects, such as residences for the elderly, student residences, multifamily buildings for rentals. and mixed-use, including condominiums and retail.
Our mission is to safeguard the capital of the partners and the own capital under the minimum risk exposure. With a safe development and going through all the stages: Land purchase, adjustment of urban zoning, commercial vision in architectural development and management of building permits. Then, we take charge of the capitalization, construction and exit with return of the capital and profits to the partners.
In this way, we guarantee fixed and stable returns for your client portfolio. In addition to having a confidential work protocol with encrypted web forms. Use of protected personal data and private meetings with our agents throughout Latin America.