Here are the basic questions and information that we would need in order to continue with the purchase of real property outside of the United States. I hope this assists you with questions regarding the transaction.
Will a Deed or a Fee Simple Deed be produced?
Deed - written document, properly signed and delivered, that conveys title to real property.
Fee Simple Deed - is an absolute title to land, free of any other claims against the title, which one can sell or pass to another by will or inheritance. This is a redundant form of "fee," but is used to show the fee (absolute title) is not a "conditional fee," or "determinable fee," or "fee tail." Like "fee" it is often used in deeds transferring title, as in "Harry Hadit grants to Robert Gotit title in fee simple…" or similar words.
What bank in the United States will be designated to receive funds on behalf of the seller? procedure when a client is making an investment outside the United States is to only allow funds to go to a bank located within the United States. . Because there are strict Patriot Act laws that require proper filings of this money movement, we leave that process up to the banking institution, the receiving U.S. bank. This is a process that they conduct daily.
The Patriot Act requires a financial institution to report monies sent outside the U.S. We require funds to be sent to a U.S. Bank so that the forwarding institution can comply with this federal requirement.
This bank account may not be set up in the clients name due to the fact that per Internal Revenue Code 4975 they are a prohibited person.
How will the property be valuated yearly? requires that the investment be valued on a yearly basis for IRS reporting Purposes.
**If the documents are written in any other language, the client will need to obtain a copy that is written in English. We review documents not for the legal or IRS content, but for Administrative Feasibility, which means: can we process the paperwork.
Will an Apostille or Authentication be required?What Is An Apostille And Authentication?
Apostille is also a French word which means a certification. It is commonly used in English to refer to the legalization of a document for international use under the terms of the 1961 Hague Convention Abolishing the Requirement of Legalization for Foreign Public Documents. Documents which have been notarized by a notary public, and certain other documents, and then certified with a conformant apostille are accepted for legal use in all the nations that have signed the Hague Convention.
States which have not signed the Convention must specify how foreign legal documents can be certified for its use. Sometimes two countries will have a special treaty concerning the recognition of each others documents, but usually not. When the country issuing or receiving the document does not recognize an apostille, you must usually take the document to the consulate of the foreign country that will certify it or to an honorary consular officer appointed by that country that is qualified to certify it. It may need to be certified by the highest government official in the country where it originated, such as the Secretary of State or Minister of Foreign Affairs, before being accepted by the consular officer of the foreign country, this process is known as chain authentication as an unbroken chain of government officials each certifies the signature (and seal in some cases) of the prior official in the first country and the consular officer then certifies that the document should be recognized as authentic in the country of destination. Usually that consular officer's signature can be authenticated in the country of destination as well.
The Following Is A List Of Guidelines For PurchasingLand In A Foreign Country:You must have an attorney in the foreign country.
The attorney must provide the original power of attorney (if the POA is not created in English, one will need to accompany the POA that is created in the foreign country’s native language).
You will need to submit a Real Estate Direction of Investment along with supporting documents (Example: Purchase Agreement).
You will need to submit a signed and completed indemnification form along with the POA(s).
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