Real Estate

Buying a property in the US with a relative

  • Last Updated:
  • Aug 20th, 2019 1:23 pm
[OP]
Banned
Nov 23, 2018
592 posts
513 upvotes

Buying a property in the US with a relative

Hi,

I am planning on buying a rental property in the US with a relative of mine who is a US citizen.
The requirement is that we both put up 50% of the 40% down payment required, and we will mortgage the rest.

So where do I get a mortgage? Apply at a US bank or Canadian bank?

Anyone have gone through such procedure before?

In case someone would like to point out that co-owning a property with a relative is a bad idea. I would like to say that there is a higher chance of me double crossing him than he double crosses me. It will not happen.

Thanks.
6 replies
Deal Guru
User avatar
Mar 23, 2008
10005 posts
6333 upvotes
Edmonton
BRKAMZN wrote:
Aug 7th, 2019 2:01 pm
Hi,

I am planning on buying a rental property in the US with a relative of mine who is a US citizen.
The requirement is that we both put up 50% of the 40% down payment required, and we will mortgage the rest.

So where do I get a mortgage? Apply at a US bank or Canadian bank?

Anyone have gone through such procedure before?

In case someone would like to point out that co-owning a property with a relative is a bad idea. I would like to say that there is a higher chance of me double crossing him than he double crosses me. It will not happen.

Thanks.
AFAIK, typically both people would be on the same mortgage in a case like this, not two separate mortgages (one for each person). Is the US relative in a position to get a mortgage for the entire 60% in his name, and you just make payments to him? Have you tried talking to one of the brokers in this forum?

C
[OP]
Banned
Nov 23, 2018
592 posts
513 upvotes
CNeufeld wrote:
Aug 7th, 2019 3:24 pm
AFAIK, typically both people would be on the same mortgage in a case like this, not two separate mortgages (one for each person). Is the US relative in a position to get a mortgage for the entire 60% in his name, and you just make payments to him? Have you tried talking to one of the brokers in this forum?

C
I am just asking here. No idea how that works. Most brokers don't have exposure to the US market, or do they?
Member
Jun 10, 2008
408 posts
281 upvotes
Halton Hills
We bought a condo in a Florida 2 years ago and used RBC and RBC Bank (US RBC). Did everything at local branch and over the phone. It went very smooth.
Jr. Member
Sep 11, 2017
159 posts
98 upvotes
thisischris wrote:
Aug 7th, 2019 10:47 pm
We bought a condo in a Florida 2 years ago and used RBC and RBC Bank (US RBC). Did everything at local branch and over the phone. It went very smooth.
How did the financing work? % of downpayment required?
Member
Jun 10, 2008
408 posts
281 upvotes
Halton Hills
FedExpress wrote:
Aug 7th, 2019 11:41 pm
How did the financing work? % of downpayment required?
We put down 20% and the mortgage is based in the US. I can give you the contact of the RBC guys we used. They were very helpful.
Newbie
Jun 12, 2017
17 posts
22 upvotes
doyou mind pming me the rbc contact? my us mortgage is coming up for renewal

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