Foreigners can buy nearly any property type in New York. You can purchase condos, co-ops, townhouses, commercial buildings, and land across all five boroughs. The process has specific requirements for documentation, financing, and board approvals that differ from purchases by U.S. citizens.
Foreign investment lawyer in New York, Natalia A. Sishodia, helps international buyers throughout Manhattan. Our NYC real estate attorneys at Sishodia PLLC guide clients through contract review, FIRPTA withholding, and purchase structure decisions. Contact us today at (833) 616-4646 so we can explain how the process works and help you with every stage of the transaction.
This guide explains what property types you can buy, how financing works, the differences between condos and co-ops, tax implications, and ownership structure options.
Can a Foreigner Buy Property in the United States?
Yes, non-U.S. citizens can generally buy and own real estate in the United States. Federal law does not impose a blanket ban on property ownership based solely on citizenship. However, some states outside New York have adopted restrictions on certain foreign buyers or on specific categories of land, such as agricultural property or parcels near military installations.
Foreign buyers regularly purchase properties throughout Manhattan, from high-rise condos with skyline views in Midtown to brownstones on the Upper West Side. International investors also buy rental units near Wall Street and newly developed towers in Hudson Yards.
Can a Foreigner Get a Mortgage in New York?
Yes, foreigners can obtain mortgages from U.S. and international lenders. The process is available to non-citizens, including those with work visas, green cards, and foreign nationals without U.S. residence.
Manhattan banks and mortgage brokers are familiar with international investors. They regularly finance condos in New York City and investment properties in the Financial District. Foreign buyers face more documentation requirements than U.S. citizens.
Lenders require proof of income, employment verification, and substantial down payments. You may need to establish a U.S. credit history, though some lenders consider international credit reports. Down payments typically range from 25% to 40% for foreign national programs.
Mortgage terms and interest rates often differ from standard U.S. citizen loans. Additional costs may include higher interest rates or private mortgage insurance. Lenders pay close attention to loan-to-value ratios for high-priced properties.
Understanding the Difference Between Condos and Co-Ops as a Foreign Buyer
Condos and co-ops are the two main apartment types in New York City. Understanding their differences helps foreign buyers choose the right property.
Buying a Condo as a Foreigner
Condos offer direct unit ownership plus a share of common areas. Buyers pay monthly maintenance fees for upkeep and building management.
International buyers favor condos in Manhattan neighborhoods like Tribeca, SoHo, or near the United Nations. The Financial District near Wall Street also attracts foreign investment. Newer developments typically use condo structures rather than co-ops.
Condo boards generally do not require buyer approval. Most boards have a right of first refusal; they can review the sales contract, but rarely exercise the option to purchase. This makes condos more accessible to foreign investors and buyers who live abroad.
Buying a Co-op as a Foreigner
Co-ops are owned by a Cooperative Housing Corporation. Buyers purchase shares in the corporation and receive a proprietary lease rather than owning the unit directly.
Co-op boards have strict approval processes. They prefer shareholders with established U.S. credit, domestic employment, and U.S. tax returns. Boards impose stringent rules on renting, subletting, and renovations.
Foreign buyers face significant challenges with co-op purchases. The approval process is time-consuming and demanding. When you sell, the board must approve your buyer and can reject offers without explanation.
New York City Foreign Investment Lawyer – Sishodia PLLC
Natalia A. Sishodia, Esq., LL.M.
Natalia A. Sishodia is a New York City attorney who helps clients in real estate, business law, elder law, estate planning, and taxes. Fluent in English and Russian, she often advises clients from countries like Russia, Switzerland, Japan, Canada, the UK, the UAE, India, and more on New York-based matters.
She has handled hundreds of transactions and is known for being prepared and keeping closings as smooth and “stress-free” as possible. She helps private clients protect and pass on wealth across state and country lines. Her work includes cross-border tax and estate planning for individuals, businesses, and trusts.
Ms. Sishodia believes in giving back through service and education. She has contributed to work connected to the United Nations. Her honors include an Award for Outstanding Achievement in International Law and the Avvo Client’s Choice Award, and she is admitted to practice in New York State.
Should You Buy in Your Name or Through an LLC?
The ownership structure affects your liability, privacy, and estate planning. Both options have advantages and requirements.
Personal Ownership
Buying under your own name is straightforward. You hold the title directly and close faster with less paperwork.
Personal ownership exposes you to liability risks. If someone sues you, the property can be targeted. The property passes through probate when you die, which adds time and expense.
LLC Ownership
A Limited Liability Company separates personal assets from the property. This structure may protect you from liability if claims arise involving the property.
New York requires transparency in LLC property ownership. LLCs buying or selling one-to-four-unit residential properties must list all members or managers on state and city tax forms (TP-584 and NYC RPTT). These forms are filed with New York City’s Department of Finance when deeds are recorded.
Starting January 1, 2026, the New York LLC Transparency Act adds reporting requirements. Every LLC formed or registered in the state must report beneficial owners to the Department of State. New LLCs have 30 days to file after formation, while existing LLCs have until January 1, 2027.
LLCs require ongoing maintenance, including biennial statements and filing fees. The structure provides privacy but comes with administrative responsibilities.
Trust Ownership
Trusts work well for estate planning purposes. A revocable trust lets you maintain control while alive and helps heirs avoid probate later. Trusts require upfront legal work and documentation. The initial effort saves time and reduces stress when transferring property to beneficiaries.
If you want to integrate management of your real estate with a broader estate plan, an estate planning attorney can help you choose the right structure and draft the documents to carry it out.
What Are Common Challenges for Foreign Buyers?
Foreign buyers face specific obstacles that differ from the challenges U.S. citizens encounter. Understanding these helps you prepare properly.
Financing Hurdles
Lenders are cautious with nonresident borrowers. Manhattan’s high-demand markets attract scrutiny from mortgage underwriters.
Down payment requirements can start at 25% for foreign nationals. However, some investment properties may require 40% or more down payment. Interest rates on foreign national programs can exceed standard mortgage rates.
Property Type Restrictions
Strict co-ops facing Central Park or buildings with detailed house rules may not suit overseas owners. Co-op boards often reject foreign buyers who cannot demonstrate U.S. employment and credit history.
Tax Withholding Requirements
FIRPTA (Foreign Investment in Real Property Tax Act) requires withholding when buying from a non-U.S. citizen seller. The buyer must withhold a percentage of the purchase price at closing and remit it to the IRS.
Credit History Issues
U.S. lenders prefer borrowers with domestic credit history. Foreign buyers without U.S. credit files face additional verification requirements. Some lenders accept international credit reports, but the process adds time and documentation.
| Property Type | Financing / Down Payment | Board Approval / Ownership Requirements |
|---|---|---|
| Condominium (Condo) | 25% to 40% down payment | No board approval required; right of first refusal rarely used |
| Co-operative (Co-op) | 25% to 40% or more down payment | Strict board approval; prefers U.S. credit, tax returns |
| Townhouse / Land | Similar financing requirements | No board involvement |
| Investment Property | May require higher down payment and interest rates | Varies; rental restrictions depend on property type |
Consult a Top-Rated New York Foreign Investment Lawyer Today
Buying property as a foreign national requires careful planning. You deserve guidance through documentation requirements, financing options, and tax implications.
Experienced foreign investment attorney in New York, Natalia A. Sishodia, has helped international clients purchase homes in Brooklyn neighborhoods like Park Slope and new developments around Hudson Yards.
At Sishodia PLLC, our NYC real estate lawyers handle high-end real estate transactions throughout Manhattan and New York City. We negotiate contracts, manage FIRPTA withholding, structure LLCs and trusts, and coordinate with lenders and title companies. Call (833) 616-4646 or schedule a consultation through our online contact form.
