Harborside Partners Works With Foreign Investors Interested In U.S Real Estate
The attractiveness of U.S real estate as an investment class for foreign investors is diminished once potential investors realize the extensive process of registering with the Internal Revenue Service (IRS), incorporating their investment entity (LLC) and transferring funds into the U.S from abroad. Real estate being a very tax-driven asset class requires tax preparation from an accounting firm that is experienced in handling foreign investors.
Harborside Partners walks investors through and connects them with our team of attorneys, accountants and bankers to make the process as straightforward as possible. Once you and your entity are setup in the U.S, you can easily and quickly invest into opportunities as they present themselves.
Obtaining an ITIN
Be guided through the process of acquiring an Individual Taxpayer Identification Number (ITIN), as an international investor.
Accounting & Tax Preparation
Connect with our network of accountants specialized in comprehensive tax planning for foreigners with investments in the United States.
Optimization of entity structures for foreign investment in the United States, maximizing asset protection and tax efficiency.
Limited partners investing with Harborside Partners are never required to apply for or obtain U.S financing. Our team will secure all debt financing.
Inexpensive Fund Transfers
Introductions to our banking partners who assist foreign investors with; large fund transfers, opening U.S and foreign bank accounts, U.S credit cards and more.
How to Passively Invest in US real Estate as an International Investor
For international investors that want to passively invest into U.S real estate; here are the steps you will need to complete:
- CPA. Speak to a U.S certified public accountant (CPA) with international client experience (a cross-border tax specialist). This will be a long-term relationship.
- Incorporate. Most international investors will be setting up either a Limited Liability Company (LLC) or a Limited Partnership (LP). Your CPA will assist you with setting up the correct corporate structure to coincide with any tax treaties between the U.S and your country of tax residence. When your corporate structure is properly setup; you will maximize your potential returns, while minimizing the taxes you need to pay.
- Apply for your ITIN. Your CPA will assist you with applying for and obtaining your Individual Taxpayer Identification Number (ITIN). CPAs and attorneys are usually able to fast track the application process.
- Obtain your EIN. Your CPA will assist you with the quick process of obtaining your Employer Identification Number (EIN). This will register your corporation with the Internal Revenue Service (IRS).
- Open a U.S bank account. Once you have your ITIN, EIN and corporation setup; you can now open a U.S business bank account.
- File your U.S tax return. Each year, you will receive a schedule K1 from Harborside Partners. The K1 will contain your substantial tax benefits in order to minimize or eliminate taxes on any cash distributions you received throughout the year. Just send the K1 to your CPA; they will complete your annual tax return, and file it with the Internal Revenue Service (IRS).
Important Disclaimer: We are not attorneys or accountants. The overview above is designed to be a helpful guide for international investors interested in passively investing into U.S real estate. A U.S certified public accountant (CPA) and/or an attorney, with international client experience, will be required to appropriately prepare you to invest into U.S real estate. Always consult your; attorney, accountant and financial advisor prior to investing.