Frequently Asked Questions

What are the costs when buying in The US?

The commission for our buying service includes the following:

  • All property search services undertaken by us or our partner affiliates.

  • All sales management processes from both The US and The UK.

  • All Brokerage costs and legal work undertaken including contract and price negotiations.

  • The commission we charge depends on the location of your property and the agents involved - we can walk you through this during an initial Client Discovery call.

In addition are the following cost items:

  • A property inspection : c. $750 - $1,000 (depending on the size and type of property).

  • A land survey : c. $1000 - $1,500.

  • Typically in The US you will pay a one-time home warranty fee of c. $500 to cover your appliances (often with an air con unit in warmer States), if included in the sale, for the first year of ownership.

  • Earnest money - an amount paid to secure the property at signing : usually 1 - 3% of the property value. This is then removed from the total sale price. This can be refunded if there is an issue uncovered during the survey process and you do not wish to proceed with the purchase. The terms of this will be negotiated by us on your behalf.

    If you simply change your mind on your purchase however, this amount is paid to the seller. The positive side is this drastically reduces the number of transactions that do not complete, unlike in The UK where this is commonplace after an offer is accepted.

Taxes - what are they, and when do I pay?

  • Unlike The UK, the good news is there is no stamp duty or associated government sales tax to pay when buying.

    There can however be a real estate transfer tax - a one-time, state, or local fee imposed when property ownership changes hands, typically based on a percentage of the sale price.

    Rates and responsible parties (buyer or seller) vary by jurisdiction, ranging from zero (e.g. Texas) to 1% in high-cost areas (e.g. New York), often paid at closing.

  • There will be an ongoing, annual property tax. This is linked to the value of the property and is the equivalent of council tax in The UK.

    This annual tax is generally between 1.5% and 2% of the property valuation (as calculated by the County Tax department) and so is important to consider when budgeting long-term, before you have completed your purchase. It is possible to pay in arrears, but it will depend on the property and location.

How long does the buying process take?

  • From making your offer on a property, the process to completion can often be no more than 4 to 6 weeks.

    This is far quicker than in The UK - the house and land surveys can be scheduled in days, whilst ensuring any defects or problems are identified and addressed, should they arise.

Can I get a mortgage?

  • Yes - but as a non-US citizen it will involve a number of processes and we recommend seeking professional financial advice. In addition, we also recommend you explore this prior to commencing a detailed property search, as this may take a number of weeks to confirm.

    It can often be the case that the process is more straightforward with those banks with a presence both in The UK and The US.

  • Cash buyers are not affected by this and funds can be transferred securely when required.

Can I rent out my property and can you help?

  • Absolutely. Whether renting long-term or as a holiday let, it is a great way to generate an income, if you are not living in the property full-time.

  • As in The UK, for certain sorts of property e.g. condos in shared owner areas with shared facilities such as swimming pools or elevators, there can be some restrictions on rental options - we would identify those prior to purchase.

  • You will also need to complete a US tax return for any income you generate - we advise taking professional advice. The good news is due to the bi-lateral agreements in place, you won’t pay income tax twice, if it is due.