Real Estate Buying Real Estate in Florida - Page 16
Frequently Asked Questions
What are the tax implications for foreigners owning U . S . property ? Many and varied ! There are income tax implications if the property is to be rented , capital gains tax considerations when the home is sold , and possible estate tax issues . It is important to consider these BEFORE you purchase a property , and to take the appropriate professional advice on how the property should be titled – your name , a limited company , cross-border trust , etc . The approach will vary , depending upon your citizenship and personal circumstances . Your sales associate will be happy to refer you to a professional who specializes in international taxation .
As a buyer , why should I work with a Realtor ® ? In your home country , you may be accustomed to working with several real estate agents to be sure you see all properties that are available in the market . Here in Florida , you have the benefit of a computerized Multiple Listing System ( MLS ), which contains details of almost all properties available in a specific market , and can be accessed by licensed Realtors ® . This allows you to choose a Realtor ® you feel comfortable with and who has knowledge of the local market , as well as the issues you must be aware of as a foreign buyer . Some services your Realtor ® will provide include negotiating the best possible terms for your purchase , protecting your interests in the contract , and introducing you to and coordinating with other professionals who will be needed for a successful transaction . A real estate agent who represents a buyer is usually compensated by the agent who lists the property , so these services are normally offered to buyers at no charge .
Will I get a better deal if I work directly with the listing agent ? This is a common misconception . Remember , the listing agent works for the seller of the property . The seller pays the listing agent a commission , which is shared with the agent who brings the buyer . The seller pays the same commission , whether there is one agent involved or two . Having your own Realtor ® representing you in the negotiations will ensure you are provided with impartial advice and objective analysis of the property and its price , condition , location , etc .
What about buying new construction ? Is it better to work directly with the builder ? When working with a salesperson in a new construction environment , be aware that they are employed by the builder to sell homes . It is not their job to educate consumers objectively on the area or the pros and cons of their particular development . The idea that a buyer will get a better price from the builder if the builder does not pay a Realtor ® commission is a myth . Many builders pay Realtor ® commissions from a separate marketing budget , so they are not factors in discounting a property . Realtors ® know how much each ( cont .)