The global property market has always been an attractive prospect; full of potential for buyers from all over the world. Many people from varying walks of life view this market positively, as they know they will come away with a wonderful property at the end of the buying process. Whether this is to live in or let out to eager holidaymakers, they are finding much more success in this area in recent years since the recovery of the financial crash, which rocked the housing market a decade ago. Though there are a few things to be wary of when you invest, such as taxes, exchange rates, and local law, there are still a number of ways you can get involved with the global market, and make your dreams a reality.
Make the leap to move away
It isn’t just buying to let which attracts a healthy number of investors, as there is a huge number of expats living in Europe and beyond. In Europe alone, 1.3 million of the British population is living abroad with citizenship, and for residency and tax purposes; this number is much, much higher for the global expat community. There are limitless reasons as to why many make such a leap, with good weather, low property prices, retirement, and foreign spouses all being popular ones among the population.
Some people end up investing in a country where they’ve not got a feel for the community or the area that they’ve chosen to move to. Only you can figure out where is right for you to set up your permanent home. It’s wise to scope out both of these aspects as you are scouring the property market for your ideal home. Spending a few weeks or months in the area you’re interested in is a great way to do this, and will help you find friends before you move out. This way, you also won’t end up moving your life over to a home or an area that you’re not quite sure about.
When you are sure you want to make the leap and move to another country, you can find places which will feel like a home from the get-go. Though it’s right to worry about making friends and settling down in a new place, there is usually a strong expat community in cosmopolitan countries. Language lessons, expat meetups and school runs are all ways people end up finding their home in somewhere far away, but you have to make an effort, or you may struggle to find your feet.
Some real estate companies luckily offer ready-made communities with all the luxuries of a holiday home rolled into one. These are ideal for those wanting to emulate a summer holiday through their family oriented home. One of the best examples is Villa World, who boasts a stunning range of family homes in the increasingly popular Australian property market. As one of the places where British expats find a home from an early age, there is a strong chance you can do this if you’re hoping to immigrate later in life – especially in a place like this. By investing in a realtor like this, you can take away the worries of finding a great home and great friends at the same time. Also, by going with a transparent and trusted company, you can ensure that you won’t be tricked during the buying process.
Indulge in a holiday home
If you aren’t quite ready to move abroad with your roots lying firmly on UK soil, you can always invest in the global market by buying a holiday home. This is a great way to have a place you can always go to when you are looking to escape the hustle and bustle of everyday life but is also somewhere that you could set up shop if you’re hoping to move abroad when retirement calls. The sunny European country of Spain is consistently the top place that British holiday homemakers invest in, with low property prices and reliable weather.
Even though the buying process may not be as glamorous as an episode of A Place in the Sun, it’s worth making a short trip out there to connect with local property vendors, so that you don’t have a grainy computer image to base your preferences. By doing this, you can find a number of properties for your budget, and they may also help inform your decision on what area you choose to buy in. Many buyers prefer to invest in a holiday resort part of a town, but others like to live like a local when they visit for the summer.
If you want to ensure that you get a return on your investment, you can always put the time into decorating your property so that it’s suitable to rent out to others when you aren’t there. Being a landlord can be hard work, especially when you don’t permanently live there, but if you have the time and patience to put into it, you could create a successful rental property.
Yet, though having a holiday home doesn’t mean it’s your permanent address, it’s still a place that many consider being a place for all the family; one that their children will also be able to enjoy as they grow up and have families of their own. This is why whether you are letting it out or not, it’s always a good idea to invest time into making it feel like a home for anyone who walks through the door.
Buy to let
The number one reason people invest in property abroad is to let out their holiday home to travellers. Since issues regarding UK tax laws meant that investors could see a decreased yield from their rental properties, many have suggested that making a move into the European and global markets. The number of British people holidaying in Europe still reigns strong despite fears that Brexit would affect the way people enjoy their time off. It means that there is always a strong market for those wishing to rent out their homes to people.
Going with an agency is often the best way to make sure your property is in good hands when you’re not there, but you should take time in deciding on the best one. Though most will take a cut of the profits you make, it’s a good idea to weigh up the benefits they offer for such a service, and whether or not you could put time into doing this yourself.
In areas like Spain and Italy, investors can see an increase in the likelihood of their property attracting customers in the summer months, when soaring temperatures and sunny days are a promise compared to a British summer. To generate a profit all year round, it’s best to cash in on city breaks that happen in the winter months in central Europe, especially in tourist spots like Prague. Luckily, tools like Airbnb allow you to list your property on a user-friendly interface with a large amount of traffic, which means that your property is far more likely to be let. There are many sites like this which make it easier for people to let properties, where you don’t have to be an expert to do so.
However, there are some rules to bear in mind when you list your property on a site like this, which will mean that you are guaranteed an income. Clear pictures, clean interiors, and chic decoration are all ways that you can increase the rent price of your property and secure potential consumers. It will make the buy to let relationship much easier for both parties and could lead to a rejuvenation in the way you navigate the global property market.
If someone else is living in your property for an extended period of time, having a security deposit or an alternative way of processing utilities will mean that you’re not losing out on costs when you’re supposed to be making them. It will also mean that you have a sort of insurance option on the off chance a tenant was to damage the property in any way. One way of attracting the right kind of consumer is by targeting your property to the audience you most want to see renting from you. Before you list your property, establishing rules or property policies will sift out those who aren’t willing to comply.
One thing to be wary of when you move away is local tax laws, as well as utilities. If you aren’t making a move to live in the area, it’s sometimes best to recruit someone to help you out with your property. Someone local, or someone who has a good grip on the system where you have your property is the best person to turn to when you need someone there. This is where employing an agency could be the best option., and it will also help give your property a human face when holidaymakers turn up at your property’s doorstep.