The ‘Buy-To-Let’ or ‘Jet-To-Let’ market has boomed over the last decade, not just in the usual holiday markets such as Spain, France, Italy and Greece, but now there are endless possibilities in other countries such as Turkey, especially now with the recent Turkish Government announcement that the country wants more foreign investment. Right now purchasing […]
The ‘Buy-To-Let’ or ‘Jet-To-Let’ market has boomed over the last decade, not just in the usual holiday markets such as Spain, France, Italy and Greece, but now there are endless possibilities in other countries such as Turkey, especially now with the recent Turkish Government announcement that the country wants more foreign investment. Right now purchasing Kalkan Properties look like a fantastic option for owning a holiday home in a tranquil resort with a superb Mediterranean atmosphere.
A small peaceful Mediterranean resort and fishing town on the beautiful Turquoise Coast of Turkey, Kalkan has not been touched by mass tourism. More sophisticated than the usual resort town, Kalkan appeals to travellers looking for more than a “sun and sea” holiday.
Buying the right property abroad and letting it out can potentially provide you with a good source of income and a holiday home. You will need to establish how the income will be taxed in both that country and in the UK.
Buying a property in another country is a lifelong dream for many property investors. With the promises of a better climate, cheaper property and a lower cost of living, it is easy to see why many investors are opting for a life-changing move abroad.
However, with the property market suffering in the UK and abroad, it is important to make sure you are getting the right advice and making the most of your money. Buying abroad can be a complex process and there are many investors who have made mistakes along the way.
There are several factors to consider which might enhance the potential of a successful buy-to-let property. The ideal area should attract tourists and have a fully developed tourist infrastructure, with lots of airports, regular budget flights and international attractions. Investors need to consider their purchases carefully, and determine the demographic market they wish to attract.
Property investors purchasing in a foreign country need to decide if they want to attract sun worshippers, golfers, families or retired couples? Would investors prefer a short but high rental season or a lower but steadier year round income? Foreign rental properties by the sea tend to experience short bursts of high rental yield, interspersed with periods of no rentals at all, dependent on the tourist seasons of the location.
Inland rental options, on the other hand, tend to provide lower, but continual rental returns. Obtaining information on the area and the potential rental income achievable is essential before you buy, and investors are urged to conduct thorough Due Diligence.
At some point you will need to convert your UK currency (GBP) into another currency to pay for your property, or to pay your overseas mortgage. It is important to remember that a change in the exchange rate between deciding to buy a property and the final payment could substantially increase the cost of the property purchase.
Each year, thousands of would be property investors head abroad without a definite idea of what they are looking for. At best they waste time; at worst they waste money and end up purchasing a property with which they are not entirely happy with. To work out whether the dream of buying a property abroad can become a reality, you first need to consider your investment objectives.
• Why do you want to buy abroad?
• How much will it cost?
• Can you afford it?
• What are the tax implications?
• Do you have a particular country and region in mind?
• Are you looking for a holiday home, a buy-to-let, an investment property or a permanent home?
• What size house are you looking for – how many bedrooms?
• Are you looking for a modern development or a more traditional property?
The more decisions you make now and the more research you do, the more you can narrow your search and be better equipped to save time and money later on.
For more on buying property abroad please visit our property sourcing overseas information pages