Well, buying abroad is not an easy task, with caution and you should at least follow five rules before making an investment.
Burned by the financial markets, our citizens are interested in real assets like gold and real estate. Given the price of the stone in Europe, some are considering for their old age to buy an apartment or a villa abroad. And these are not offers that are missing. Advertisements boast of accession to property in Marrakech in Miami, or in Thailand and many other countries.
The first rule: go there
It is a note of common sense that few apply, however, then recall the: go! You should never buy on a catalogue, regardless of the beauty of the brochure or the technique used (often, you will be approached at a meeting privateInvitational with a cocktail in a grand hotel – a technique that reminiscent of that employed by the touts of scammers.
And if you try, you must go to the country first. For example on the occasion of holidays. It is much more cautious. You can thus collect much useful information, get you an accurate picture of the quality of the property, any nuisance and the political context of the country.
Second rule: to learn about the law
The notion of property can differ from one country to the other. For example, in Thailand, unless you are a citizen of this country, you will not, as a person physical, directly purchase land. You will be the owner of the House but not the ground, which will not facilitate the resale as you can you imagine. To have an interest in the land, you will need to implement an often civil society with one or more Thais. Another example, Morocco. Make sure assets available do not obey Quranic law because such property can be acquired only byMoroccans. Each time you take all useful information on the applicable law.
For this, please feel free to consult a notary.
Third rule: well to decrypt the loan offers
You can take out a loan on the spot but be sure to properly decrypt the loan offer. Is this a fixed rate or variable rate loan? Many laws are much less the borrower abroad than in Europe, and you need to be careful. Preferably, try what is not easy to get a loan at fixed rate in Europe. Sometimes there is no notary, and the Act is done under private seal.
The fourth rule: pay attention to scams
Many commercials invite you to offer you the price of the dream villas in the United States, particularly in Miami. With promises of resale in realising gains of 100% over a period very short.
With the bursting of the housing bubble, subprime and financial crisis, many Americans found themselves on the street, and it is their goods which are offered for sale. Nothing says that at one time or another you will not be a procedure for purchase at low prices and will not be worried by a “class action”, perfectly legal in the United States.
The fifth rule: inquire about applicable tax treaties
The country in which you want to buy your property entered into a bilateral tax agreement with Europe? If you rent and in the absence of agreement, you will pay a tax in Europe and foreign countries. In Morocco, the TFR does not exist, but this property will be added to your global heritage, and suddenly, you will become perhaps liable for this tax in Europe. In Switzerland and Spain, the owner is imposed by the enjoyment of his property. In Portugal, there is a flat-rate taxation of land net revenues.
Buying a property abroad cannot be improvised.
Feel free to talk to a notary to your banker before making a decision. This is the most important advice that you should remember.