In recent years, the United States has received a large number of Argentine investors and it is a growing trend. It does not matter what item it is or what amount they have to invest, there is a common point that unites them: choose the northern country as the destination of your savings.
Argentines are targeting different types of investment, from ATMs to trucks. However, the most popular option continues to be the traditional real estate, which offers several alternatives within the category, including EB-5 visa projects, condo-hotels, apartments, or houses. This way, Investors benefit from the appreciation of the property they acquire (since they obtain title deeds in most cases), from the profitability in dollars, and from the positive aspects that the country brings with it, such as legal certainty and stability. economic. For all these reasons, added to the need to diversify their savings, and to fight inflation, Argentines invest in the United States. But what is the profile of these investors?
We can divide Argentines who invest in real estate in the United States into three profiles:
Business people, entrepreneurs. In the first place, there are business people or entrepreneurs, who have enough savings to invest in properties in the United States, whether they are houses or apartments, and their main objective is to expand their investment portfolio and obtain a good return on investment. These are people who probably already have experience in the investment world, although perhaps not specifically in real estate. The most common is that they buy this type of property and rent it, either on their own or with a property manager, and obtain a monthly, quarterly, or annual return, in dollars. Likewise, it is typical of the investor with this profile and who rents in the short term, to take advantage of using the property for vacations, especially if it is a tourist city.
Families seeking to settle in a country with greater economic stability. Another type of investors that are often found in real estate in the United States are families that want to settle in this country, and therefore seek to invest large amounts of money to achieve it.
The most widely used method for this purpose is the EB-5 visa, which allows investors, their spouses, and their children under the age of 21, to apply to obtain permanent residence, that is, the green card. This process has several requirements, including investing in a commercial enterprise, and creating and maintaining 10 full-time jobs for US citizens.
Another method that investors use is to obtain an E-2 visa, although this is a non-immigrant visa, that is, it does not give the right to obtain residence, but it does allow you to create or buy a business in the United States – fulfilling certain requirements–, and remain in the country for the duration of the visa.
Young professionals. Young professionals are the ones who decide to invest in the United States to start developing an investment portfolio, with significantly lower entry fees than business people. They are beginner investors, who are thinking about building a better future, diversifying their income and that it be in dollars.
Among investors with this profile, the most popular type of property is condo-hotels, since they can be purchased for low amounts (from US$49,000). In other words, for less than US$100,000 they can obtain a property title in an economically strong country like the United States, receive an income in dollars, and additionally, have the possibility of having the property managed by a security company. management. This is especially attractive to young professionals, who typically have less time and experience to do it themselves.
Sometimes, too, young professionals look for investors with the same profile, to make investments together. For this, they open a joint venture (LLC), and with it they acquire the property.
There is a wide variety of foreign investors who want to invest in real estate in the United States, and each one has their needs. This country offers options for all of them, regardless of the amount, time, or experience they have.
Jose Maria Softa is Founder Partner of Konnectia, specialist in real estate developments based in Miami.
by Jose Maria Softa
