Top Tips when buying a home abroad
Buying a home abroad is an exciting experience. But, it can also be a risky one, so we’ve pulled together some top tips to help you avoid some of the pitfalls.
Understand the Paperwork – buying a property always involves a lot of paperwork.
It’s worthwhile doing a little research to better understand what this entails in the country you’re buying it. It’ll help you make sure you have everything you need as well as what you’re likely to be presented with. If you’re planning to do work to your new property, you’ll also need to think about local planning laws and regulations. Understand what paperwork you’re going to need upfront and if you’re in any doubt, seek a local expert to advise you.
Tax planning – it might sound dull, but it’ll be worth it to avoid any nasty surprises. As soon as you buy abroad, you’ll be liable for tax there as well as in the UK, so make sure you account for both liabilities and plan accordingly.
Seek out good advice – reliable, independent legal and financial advice when buying abroad is essential. Property law varies country by country, so find yourself an expert in local rules and regulations. Someone who knows how things work and what your obligations are. If they aren’t local, make sure you’ve properly checked their credentials to ensure they fully understand laws and procedures in the country you’re buying the property.
Securing a Mortgage – the process of securing and servicing a mortgage differs by country, which is why financing a property overseas can be a little trickier than in the UK. Again, make sure you do your research to understand the process in the market you’re looking to buy. And, if you feel unsure about it, seek out an expert to help you through the process.
Understand the impact of exchange rates – buying a property abroad means moving your money abroad. It’s not just the initial lump sum to secure your new home you need to think about, you also the ongoing payments – like your mortgage. These ongoing transactions can and will be subject to currency exchange, which means that inevitable fluctuations in the exchange rate will impact the value of your money.
Without proper planning, it can quickly become an expensive, time-consuming and stressful experience. Which is why finding a specialist partner, like CurrencyUK// with the experience and foresight to help you navigate this new reality could make all the difference.
Read more about how we can help you reduce the stress of moving your money abroad.