15 Best Countries To Buy Property as an American

Are you dreaming of investing in property abroad, but unsure where to start? You want a secure, high-return investment, but the idea of navigating foreign real estate markets feels overwhelming. What if I pick the wrong country? What if the laws and taxes end up working against me instead of for me?

Choosing the right country might be critical. You need to look at locations that will give you the best financial benefits, security, and lifestyle options. We’ve come up with a list of countries that can provide you with exactly that.

As an expert in real estate and international investments, Kredium has encountered this scenario multiple times. That’s why we have created a guide to help you navigate your potential real estate endeavor with confidence. This guide will teach you what to consider when buying property abroad, and introduce you to our top 15 picks of best countries to get property in as an American citizen. 

1. UAE 

US investors can buy property with absolute ownership rights in designated areas of Dubai and Abu Dhabi, the first emirate where the concept of freehold ownership took root. This means that you can sell, lease, or simply occupy the purchased UAE property indefinitely. This may seem like a given, but in many countries, like China for example, foreign buyers can only get a leasehold, so the total freedom given to you by the UAE is a major plus. 

With properties appreciating at a healthy 7% annually and rental yields between 5-7%, your investment will not only grow but can also earn you a pretty penny if you decide to rent it out. What’s more, you’ll also enjoy the benefits of UAE’s alluring tax system, which incurs no property, income, or capital gains tax whatsoever, which means you get to keep a substantial amount of your earnings. 

If you’re looking to settle down, the UAE also offers long-term residence visas. When it comes to the quality of life, if you don’t mind the year-round heat, you’ll enjoy the benefits of world-class infrastructure, low crime rates, and an expat community that makes up 80% of the population of cities like Dubai and Abu Dhabi.

RELATED: Buying property overseas is now more attractive for Americans thanks to a strong US dollar

2. Dominican Republic

U.S. investors in the Dominican Republic can enjoy the best of both worlds. Firstly, property prices in the Dominican Republic are much more affordable compared to other Caribbean islands. For instance, home prices in Punta Cana are about half of those in the Bahamas.

Secondly, the real estate market’s also shown remarkable resilience, which could be largely attributed to the booming tourist interest. The 2024 rental gross yield was 6.74%, with certain areas in Santa Domingo and Punta Cana showing even higher numbers. In May 2024, the average price of apartments increased by 7% year-over-year, while house prices rose by 5%. 

Another argument in favor of the Dominican Republic is the fact that it’s a member of the Central America Free Trade Agreement (CAFTA). As a signatory, the country offers protections such as non-discriminatory treatment, free transferability of funds, protection against expropriation, and access to dispute resolution mechanisms.

3. Spain

If you haven’t already been charmed by the natural beauties of Spain’s Sunshine Coast, then the Spanish Golden Visa program will surely do you in. This Spanish residency program sweetens the deal for US investors and is one of the main attractions of investing in this country. With an investment over a certain threshold, investors and their families can gain residency rights, opening the door to a life in this sunny, culturally rich country.

Thanks to a mix of ongoing investments in infrastructure and high demand, both local and international, Spain’s real estate sees consistent value appreciation. The rental yields are also quite appealing; Madrid and Barcelona range between 4% and 6% depending on the location, and these numbers can go even higher in Costa Blanca and Costa Calida in the summer. 

4. Mexico

In Mexico, foreign investors can own property near the coast and borders through a fideicomiso (bank trust). It allows them to manage, sell, or lease despite restrictions within 50 kilometers of the coast and 100 kilometers from the border. 

Properties in tourist hotspots like Cancun, Playa del Carmen, Puerto Vallarta, and Los Cabos are highly sought after and there’s also a perpetually high demand for short-term rentals. Furthermore, the lower cost of living, combined with Mexico's rich culture and warm climate makes it a particularly attractive vacation spot. 

5. Greece

Here’s another country boasting a Golden Visa program. By investing a minimum of €200,000 in property, you become eligible for Greek residency and your Mediterranean dream life. If you aim at popular tourist locations, like Mykonos, Rhodes, and Santorini, you’ll be looking at a fantastic return on investment, whether you intend to rent or just let the value of your new home rise.

Although Greece does impose capital gains and property taxes, you’ll find the tax regime to be quite favorable. As a non-EU citizen, you can opt for a flat €100,000 tax on foreign income, regardless of how much you’ve earned. The property tax is as low as 3.09%. 

6. Panama

Panama offers complete freedom over your property, with full ownership rights. On top of that, its strategic location at the crossroads of North and South America makes it a real logistics and business hub - a characteristic that not only boosts property values but could even present opportunities for additional investments. 

If you’re looking to settle in Panama, the Friendly Nations Visa will come in handy. It allows expats from the U.S., among other nations, to secure residency with fewer hurdles if they invest or start a business, with a minimum investment of $200,000. 

On top of that, Panama’s tax policies are a big plus: there’s no income tax on money earned abroad, and there are appealing tax incentives for property investors. With the stability of the US dollar, a thriving economy, and the cost of living which is 32.7% lower than in the US, you would be well advised to invest here. 

7. Portugal

More and more high net-worth US ex-pats are looking into Portugal due to its special tax regime, the Non-Habitual Resident (NHR) program, which includes: 

• A flat tax rate of 20% on Portuguese income from certain ‘’high-value’’ profession

• A tax exemption on foreign-source income (capital gains, rental income, interest, dividends, etc.)

• A flat tax rate of 10% on pensions from a foreign source
  

The reduced tax rates and exemptions offered by the NHR regime can lighten the tax load, especially for those with high incomes or substantial foreign earnings. These benefits make a real difference, and let you enjoy more financial freedom and stability.

Portugal too has a Golden Visa program, requiring a real estate investment of at least €280,000. Its real estate market benefits from a stable economy and strong demand in key cities; look at Lisbon, Porto, and the Algarve region. 

8. Italy

From picturesque farmhouses in Tuscany to luxurious beachfront villas along the Amalfi Coast, Italy is an appealing option for U.S. investors due to its diverse real estate options, rich culture, and stunning scenery. You get full ownership rights from the get-go, and the flat tax regime for new residents is particularly appealing, as it allows for a flat annual tax of €100,000 on foreign income. 

Besides the obvious appeal of the climate, cuisine, and overall lifestyle, Italian property also tends to be cheaper than its equivalents in Portugal or Spain, and also often comes with lower transaction costs and higher capital gains. 

You might also make use of government plans that cover the costs of renovations which make properties more sustainable. This not only makes your new greener but drives up its value as well!

RELATED: Italy Golden Visa 2024: The Complete Guide for Italian Residency

9. Costa Rica

Far from only a beloved vacation spot, Costa Rica also has a strong real estate market which has been steadily attracting more and more US buyers. Most of the land is up for grabs, except for the maritime land zones, which is considered public land. It is, however, possible to lease some of this land, but rarely. 

Costa Rica offers favorable tax conditions for property owners. Property taxes are relatively low, and there are no capital gains taxes on the sale of real estate. You might want to look into the Pensionado and Rentista programs for foreign investors and retirees.

10. Malaysia

The country provides good opportunities for property appreciation, particularly in Kuala Lumpur and Penang. Foreigners can own property freehold, and Malaysia is known for its affordable cost of living, high-quality healthcare, and cultural melting pot, which makes it highly attractive for expatriates.

Furthermore, Malaysia’s My Second Home (MM2H) program offers long-term residency to foreign property investors who meet certain criteria. There are other incentives, as well, such as tax exemptions and the ability to import a personal vehicle duty-free.

Additionally, Malaysia is celebrated for its high standard of living at a relatively low cost. The cost of healthcare, food, and transportation is affordable, and the healthcare system is well-regarded, often featuring in the top ranks for medical tourism in Asia.

11. France

It seems like a great mystery that only 64.1% of all real estate is owned by French citizens - nonetheless, this leaves plenty of room for expats. Especially in lively cities like Paris, France’s real estate market is a gift that keeps on giving. Properties always seem to be in demand and offer great returns. 

Be mindful that on top of the regular taxes, you’ll also have to pay notaire fees as well while you’re in the process of purchasing a property. Despite this additional expense, you should be able to get the money back in spades if you decide to rent or eventually sell. 

Of course, buying property in France is more than just a savvy financial decision. It also lets you soak in the rich culture, enjoy world-class cuisine, and explore beautiful landscapes. 

RELATED: Getting a mortgage in France as a foreigner

12. Thailand

Although US citizens technically aren’t allowed to own land in Thailand, what they can do is lease it for up to 30 years and build structures on the land. After those 30 years are up, you can renew the lease.

Property prices have been steadily rising ever since 2010, especially in areas like Phuket, Chiang Mai and Bangkok. The properties in these areas are in constant demand, as these areas are not only tourism hotspots but also growing economic centers. Thailand’s average gross rental yield stood at 6.27% in 2024’s third quarter.

The cost of living in Thailand is also relatively low compared to many Western countries. Daily expenses and maintenance costs will set you back far less than they do in the States.

13. Belize

Belize, the only English-speaking country in Central America, is a fantastic choice for property investment, offering full ownership rights to foreigners. From an administrative standpoint, the process of purchasing real estate is simple, since it’s quite loosely regulated. There’s not a lot of hoops to jump through; you don’t even need to be in the country when you’re closing the deal. 

Property in Belize is not only affordable but also comes with low annual property taxes. These typically stand at around 1% of the property's market value.

14. Turkey

You’ll find a range of options here, from sleek city apartments in bustling Istanbul to charming seaside villas along the stunning Aegean and Mediterranean coasts. Plus, property prices in Turkey are a bargain compared to other Mediterranean locations, and the cost of living is low, so your dollars go further.

Turkey’s citizenship-by-investment program lets you expand your global footprint into Eurasia. The minimum investment you’ll need to make is $400,000. 

Another benefit is the country’s unique location. The country straddles Europe and Asia, offering a delightful mix of cultures—from the food to the architecture. You’re also just a short flight away from European, Middle Eastern, and Asian destinations.

15. Cyprus

We’re finishing our list off with another Mediterranean hit with a delightful residency-by-investment program. The minimum amount is a bit more steep compared to the other programs - $2 million at least - but there are also absolutely no restrictions on owning property. 

In terms of financial benefits, Cyprus boasts one of the lowest corporate tax rates in the European Union at 12.5%, which is especially appealing if you're considering commercial investments or planning to set up a business linked to your property. Cyprus also does not levy inheritance tax.

How to Choose the Right Location?

Almost 40 percent of well-off Americans are considering buying a home abroad within the next year. Why? Because owning real estate is considered a smart investment. When you own an international property outright, you are opening yourself up to a lot of profit by renting, reselling, or using it as a vacation/holiday residence. 

If you are already determined about getting a property abroad, but you are still trying to figure out where to start and what to look out for, this is the right place for you. In the following paragraphs, we are going to discuss some important things to consider when opting for an international real estate purchase. Since this is not a small feat, you must know and understand the following aspects about the country you are looking for property in economic stability, residency and visa requirements, quality of life, cost of living, and taxes. 

Political Stability

Goes without saying that choosing a location with solid political stability is crucial for safeguarding not only your investment but also your well-being. Stay up to date with global news and dive into the recent political history of the area to get a feel for its stability.

Economic Health 

Look at factors like GDP growth, employment rates, and infrastructure development. A strong economy often indicates a robust real estate market with potential for property appreciation and rental opportunities.

If a country has poor economic stability or a passive real estate market, your purchase might turn out to be a big nuisance. You get the real estate for less money, but you should consider if it’s still worth all the trouble. The value of your home could suddenly drop, and you’ll end up losing money, instead of gaining on a good investment. 

You must be on the lookout for countries with positive market trends and strong property values. This will lower the risks of losing on a poor investment which is an important factor to strive for when looking into an international real estate purchase. Additionally, since you will be making your purchase in US dollars, it is greatly advised to get informed about the exchange rates with the local currency. 

Residency and Visa Requirements

If you want to buy foreign real estate, consider this: some countries offer visas, residencies, and paths to citizenship if you buy their real estate. Needless to say, countries that are simpler to deal with when those factors are taken into account are usually the ones a lot of people choose for their foreign property. Some of those places are Spain, Greece, and Montenegro, which are all beautiful, desirable places to have at least a vacation home in! 

However, when it comes to the other side of the coin, some countries are particularly difficult, and much less generous with their residency and visa requirements. They either require a pre-existing residency, a residency permit, or a permit to own residential property to make real estate investments. They might allow you to purchase commercial real estate (New Zealand, for example), yet be very reluctant to sell residential real estate. 

RELATED: Residency by investment – Global country list

Quality of Life and Cost of Living

Safety, healthcare, climate, and local infrastructure are essential to think about before you decide to buy an overseas property. Before choosing your potential forever home, or simply a place you would go to a few times a year, you need to try and learn as much information about its culture, and way of living. 

As a US citizen, you must have experienced immense shock when you realized that there are places around the globe that are so beautiful, yet so cheap! This is going to be one of your biggest upper hands: the lower cost of living when buying property abroad! That property can help you save money by living and thriving with a reduced cost of living - which in turn, increases and heightens your quality of life. Some examples are Mexico and the Dominican Republic since their utilities, groceries, and transportation are extremely affordable. 

Furthermore, if you have a family, and children, and are considering getting real estate abroad, one thing you should pay attention to, is the cost and quality of education. Make sure you are informed about public and private schools in the area, potential private tutors, online school programs, and the overall learning environment for your kids. For example, in South America or the Caribbean, expat children mostly attend private international schools which can be expensive, whereas in Western Europe, there are many satisfactory public schools. 

Tax Policies

When you have found your chosen country, or at least made a decent selection, you must look into the tax implications of real estate ownership. It is important to note and remember that foreign property taxes are not deductible for tax years 2018 through 2025. If you are buying property abroad, remember that you may be required to file several US tax forms, like a Report of Foreign Bank and Financial Accounts (FBAR), Form 5471, Information Return of US Persons concerning Certain Foreign Corporations, and Form 8858, Information return of US Persons concerning Foreign Disregarder Entities and Foreign Branches. 

Each country has its specific taxes and regulations. On the one hand, Panama offers favorable tax laws with low property taxes and incentives for foreign homebuyers. On the other hand, there are countries with high taxes that may decrease the profitability of the investment. 

Make sure to avoid double taxation by taking a tax credit on your US tax return for any taxes that you paid to the foreign country. If you sell your property at one point, you might be eligible to get a foreign tax credit. You will need to do thorough research and find the best solution for you.

Your Needs

Align your choice with your personal or business needs. Whether you’re looking for a vacation home or property to generate income, make sure the location aligns with your long-term plans. Consider factors like climate, accessibility, and community when making your decision.

Finding a Dream Destination - Next Steps

In the broad market of foreign real estate, finding the perfect destination for your needs seems like an impossible task. Local attractions, different cultures, and customs, financial benefits, and investment returns of the countries you are considering can leave you with more questions than answers.

Finding experts to help you in your never-ending search looks like a daunting task you keep putting off. In addition to our extensive range of overseas projects, our website features the most accurate mortgage calculator, allowing you to check the payment for your new home.

Well, lucky for you, you have come to the right place! At Kredium, we offer personalized advice and answer all of your questions about the best potential international real estate. If you want to learn more about the aspects to consider before purchasing a property in a foreign country, or which country to focus on per your needs, wants, and finances, Kredium is your best bet.

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