It doesn’t matter if you plan on buying a property in Milan or in the Maldives because you should never part with your cash until you are absolutely certain that you are making the right decision. If you need some help with that, then you can find out everything you need to know, right here.
Never Trust a Sales Rep
You have to make sure that you never trust a salesperson. After all, you have to remember that it is their job to sell you your dream property and when they have done this, they will go away with your commission. If you want to make sure that you are getting the best result out of your experience, then you have to make sure that you do your own research.
If your sales rep has promised you something then make sure that you find out if this is true, or if it is possible. When you do this, you will soon find that it is much easier for you to feel confident in your purchase overall.
Do Your Research
As mentioned above, you need to make sure that you do your research when it comes to your sales rep, but at the same time, you also need to do your research on the property you are buying as well.
You need to check out the developer if you are buying a new property. You also need to see how long they have been around, how secure your deposit might be, and what would happen if they happen to go bust before you are handed the keys.
With any property, you need to find out how much stamp duty you are going to be paying, if there are any disposal costs, and even if you need to look into capital gains tax rules. If you would like to build a swimming pool eventually, are you going to be able to do this with the local planning rules?
Little things like this can make a huge difference to your investment overall, so make sure that you look into this so you can then capitalise on the results you are able to achieve.
The airway provider might fly directly to your second home right now, but think about it, what would happen if they dropped the destination from their schedule? How much would it cost for you to fly there through another airline? How often do you plan on escaping to your second home?
If you know that it is going to take a full day to get there and then back again, you may start to wonder if staying in your second home at the weekend is a viable option. It’s vital that you look into things like this when you look up a house for sale so you can then begin to plan out the rest of your investment.
Make Sure That The Numbers Work
If you know that you are going to be exposing yourself to some degree of currency risk with your overseas property then you need to allow some cushion for exchange movement. If you repay a foreign mortgage out of the currency you have now, then this may look good on paper, but if things happen to swing 20% either way, are you still going to be able to afford the payments?
Things like this have to be taken into account because if you don’t, then you may find that you end up struggling more than you think in the future. You can easily hedge the amount of exposure you have by taking a fixed rate out in advance. There will be a charge for this though, so you have to make sure that you weigh up your options as much as possible.
Professional investors will always have some kind of exit strategy before they even think about buying a property. You should as well. You may have fallen in love with a property that is 45 minutes away from the nearest transportation route, but will this put off potential buyers when it comes to selling? Probably.
If you want to get around this then you need to make sure that you take things like this into account before you even think about making your investment. If you do, then there’s no reason at all why you shouldn’t be able to come out on top while also making a good profit in the long run. If you are renting your property out, then hiring a property manager may be a good idea so keep that in mind.