Our colleagues in New York note the increase in foreign investor purchases, motivated by the record low financing cost. Today, a foreign investor can borrow at as low as 3,5% per year. In case of 50% LTV, one can make cash neutral or even cash positive investment. If you are frequently in NYC and pay US income tax, you can use the mortgage interest and property tax payments to lower your taxable income. Buy to let properties are particularly attractive now, as rental rates have reached and for some property types exceeded per-crisis levels, so rental yields are quite high for such a developed market.

Luxury new developments, which allow for reduced property tax payments, and command higher rents are very popular with foreign buyers. More adventurous investors may consider other property types, particularly the ones that need work and are offered with a discount. In general, such discount is considerably larger than the cost of actual works needed. Newly renovated apartment for sale or rent on the contrary commands a premium. Our NYC office offers a wide range of services to support investors and will be happy to refer mortgage brokers, lawyers, architects and other reliable professionals to support your endeavors. If you have questions on buying or renting in NYC, we’ll be happy to meet with you in Moscow and answer those questions. In the meantime, please have a look at the some exciting investment opportunities in New York:

Grand Residence in Ritz Tower on Park Avenue and 57th street