Buying real estate in another country is easier than you think.
In the UK overseas real estate has been hot since 2000 with over 800,000 people now owning overseas real estate. The boom has been fuelled by people wanting a better lifestyle and an alternative to the stock market for capital growth investments. As the UK is a small island, prices of property have sky rocketed in the last few years, so people are exploring the possibility of buying property in other countries. In the US this phenomenon is not as large as the country is huge and has varying climates, landscapes and property markets. However more and more US citizens are looking at the investment and lifestyle potential of buying in countries like Canada, Panama, the Caribbean and even as far as Europe.
So here are some due diligence points to note:
- Treat buying real estate in another like you would in the US, don’t leave your brain on the plane!
- Decide why you are buying; is it for investment or for lifestyle?
- Do your research before you venture to the country. Go to exhibitions, read magazines and newspapers and above all search the net for a mountain of information.
- Manage your expectations? Make sure you are realistic about what it is you are trying to achieve.
- Speak to friends, family or people in online forums to see what their experiences have been like.
- Seek independent legal advice and always check the differences in tax regimes to see what you will be liable to pay.
Above all have fun and don’t rush into anything, there is always another property for you to buy!
Post contributed by Adam Samuel of Nubricks blog.
