Buying Property Investments Abroad

Buying property abroad, once the preserve of the truly rich, is now within the reach of the average guy in the street. It's a dream that you may aspire to and one that more and more of us are lucky enough to accomplish.

Thanks to the availability of cheap international travel, increasing affluence and a generally favourable exchange rate for UK nationals, the prospect and reality of owning your own holiday or retirement haven in the sun is truly within yours and your family's grasp.

Becoming a Landlord Abroad

Most people buying abroad don't want to live there permanently, at least not until they retire. So most supplement their income and help pay off their mortgage by renting out their home abroad - in other words they become a Landlord ABROAD.

We can all appreciate the pleasure in owning such an asset and the many happy carefree days you and your extended family will spend in the comfort and splendour of your home abroad.

But if you are to achieve this ideal there are some very important pre-requisites you must adhere to if you are to avoid the problems, indeed disastrous situations, that some unsuspecting investors have got themselves into. You must be absolutely sure that:

10 Key Points when Buying Property Abroad

1. You get good legal title to the property (land) that you buy.
   
   
2. There are no nasty shocks and surprises on legal, access and use, planning and zoning issues both now and in the future.
   
   
3. You are fully aware of the true physical condition of the building you are buying.
   
   
4. Services to the property are adequate, reliable and affordable.
   
   
5. You are not paying too much when compared to other similar properties in the area and the property is likely to maintain or better still appreciate in value.
   
   
6. The area, climate, transport links, culture and security are all suitable for family living and holidaying.
   
   
7. Demand for holiday rentals is there and fully supported by amenities such as sand, sea, scenery and sports, typically golf courses.
   
   
8. Your financial situation is such that you can support such an investment even during extended times when there may be no income from the property.
   
   
9. That you are adequately covered by insurance - both personal and family, third party and property risks.
   
   
10. That currency transfers and legal agreements are concluded in a safe and secure manner.
    

Planning and Managing your Move Abroad

These 10 key points don't just happen. They need to be planned for and properly managed.

In a foreign land, especially if it's a different language, the legal systems, terminology and custom and practice are sometimes very different from what we're used to in the UK.

You need to do some research - don't just rely on others to do everything for you - get out there and do some legwork for yourself. Travel around and familiarise yourself with the area, the amenities, the people and the property market.

Beware the Sharks

But there's a limit to how far you can go for yourself. It's vital that you get good advice and a team of people whom you can trust.

The incredible demand for overseas property has spawned a whole industry - people who make a living sourcing property and providing services for ex-pat Brits and others. Some are good, some are indifferent, and some are downright crooks - watch you back, and your front too - not all the sharks are in the sea!