4 Things To Consider Before Investing In Property Abroad

| January 17, 2015 | 0 Comments

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 If you’ve got a little pot of money and you’re looking to invest, try glancing overseas. Property has long been the preferred route of investment for many. In general, the property market rises year on year and provides steady income. Of course, there are occasional market slumps, you just need to know the right time to buy and sell. If you extend your search overseas, you are opening yourself up to even more markets.

Perhaps you’re just looking for a second home. Maybe you want somewhere to escape to and hide out from the cold winters. A beachside property in Spain or in the wine-filled mountains of France could be just what you need. Whatever your reasons, there will always be considerations to make. Buying abroad is not quite as simple as buying in your home country. And anyone who’s ever bought in their home country know that buying a house is never simple!

 

  1. Choose the right country

First of all, do your research and choose the right country. Make several visits to the area first and really embed yourself in the culture there. Learn the cultural practices of the country and begin to get behind the business structures. It will give you some sense of what lies ahead when buying. Countries that most investors choose are Spain, France and Italy. They are easily accessible for any problems and provide opportunity for additional income. These ‘safe’ countries help keep your budget in check.

  1. Overcome the language barrier

Before you start the process, make a serious effort to learn the language basics. When it comes to buying property abroad, you’ll be dealing with all sorts of people. From the estate agents to local government to tradesmen. You can’t guarantee they’ll speak your language. Especially not the specific language involved in house buying. Miscommunication can lead to huge errors and costly mistakes.

  1. What is the purpose of buying abroad?

If you’re simply looking for a holiday home, then things are a little easier. You are looking to satisfy your own criteria. You’ll know what you want from your new property. On the other hand, if you’re buying to rent, there are a lot of things to consider. You’ll have to anticipate the needs of your renters. Consider the location you are purchasing. Is there a good flow of tourists? Is the area accessible? Are there local amenities? Is there a holiday season and is the property likely to lay empty for months at a time? On top of that there are monetary considerations. Is the rental price worth the initial price of the property? Can you afford the upkeep and any downtime? Is there a more fruitful location to consider?

  1. Check the legal requirements

Buying property in another country opens up a can of legal worms. Dealing with the laws in another country can be very difficult. Often, they are wildly different to those of your home country. You’ll also need a UK notary public. This will certify all of your UK documents so that authorities abroad can testify their legitimacy.

These are simply the initial considerations involved in buying property abroad. Ensure that you do as much research as possible so that you feel confident investing overseas.

Category: Investment

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