Buying real estate in the US

Florida is the recliner seat of the US. Many US citizens move there after their retirement. The state is still a popular destination for Germans as well. However, you need more than just the necessary money. If you want to buy real estate there, you will also need a good lawyer. The same applies to California and increasingly for the south-eastern states as well. Officially, there are no limitations for foreigners who want to acquire real estate, but the regulations fro this may vary from state to state.

You can find a suitable realtor via a realtor's association, such as the National Association of Realtors (NAR). The brokerage will usually be paid by the seller. The sum must be agreed upon in written form before the transaction. Don't buy anything spontaneously. Many foreigners calculate the prices according to the standards in their home country, in other words, too high. The consequence is that they find objects to be a bargain that would be considered extortion by US citizens. Lawyer Peter Koch knows that especially in rural areas, prices paid are often twice as high as usual on the market in general.

Please get the support of a local lawyer before signing a contract of sale and purchase. That way you may avoid legal pitfalls that may turn out to be quite expensive. With a title search it will be determined whether the seller has the rights for the piece of real estate.

Since bona fide purchase is unknown in the US, it is advisable to have a title insurance against potential deficiencies in title. In case a third party has already acquired the object, you would at least receive compensation. Only the signatures on a contract of sale and purchase will be notarized.

We would like to point out here that, contrary to what other sources are saying, the ownership of real estate has no effect whatsoever on your chances for a residence permit. Some realtors and lawyers use this as an incentive for buyers. Property in the US does not give you a legal basis for a residence permit. On the other hand, retired people who can prove they have a house in the US may hope to be granted a six-months stay with their tourist visa (which will not permit them to engage in employment). And without a green card it is absolutely impossible to live in your holiday home all year round.