Overseas Mortgages
Millions of Britons dream of owning a place in the sun that they can escape to for the odd holiday or on a more permanent basis. However when considering purchasing a property abroad compared to buying in the UK, the otherwise less than simplistic process can be further complicated. Different rules and regulations may govern the purchase process, there is often the language barrier to overcome and financing options are not always simple.
When buying a property abroad it is important that you use an experienced, fully independent mortgage specialist, to ensure that you are getting both a professional service and access to the best mortgage deals available.
Investaco are therefore proud to introduce our mortgage partner Overseas Mortgage Finder. The team behind Overseas Mortgage Finder have been arranging international mortgages for many years and offer an unrivalled level of expertise for property purchases in over 50 different countries. Some of the best mortgage deals they currently have to offer can be accessed through search facility below.
Even if you are at the start of the buying process and not yet found a property, their team of mortgage experts can help you identify how much you are able to borrow through their free mortgage pre-approval service. The service is designed to help investors buy with confidence and put them in a stronger position when negotiating with developers and property agents.
Legal advice
Before you sign any documents or pay any money, appointment of a lawyer/attorney to act on your behalf is essential. There are usually many local lawyers who speak good English or have English workers in their offices. If you are busy and unlikely to be around for the purchase process it may be necessary to instruct you lawyer to act in your absence. Remember it is not uncommon for legal, land registry charges and transfer taxes to add up to 15% of the cost of the property, so this will need to be factored into the purchase price.
Once you have purchased – what then?
Unless you plan to live in your new home full time you will have to find someone to look after it or rent it for you in your absence. Then what happens if you decide to sell up and move elsewhere? Well, properties abroad, generally speaking, can take longer to sell than in the UK and if the property was a second home there may be capital gains tax considerations to bear in mind, and local tax advice should again be obtained. As you may appreciate there are many potential difficulties and pitfalls in the purchasing procedure, and any oversights could prove extremely expensive.
In relation to foreign currency mortgages, changes in the exchange rate may increase the sterling equivalent of your debt.
The Financial Services Authority does not regulate offshore mortgages.
Changes in the exchange rate may increase the sterling equivalent of your debt.
For more information, please contact us