Buying Properti Abroad

Buying property abroad

It is said that no two countries in the world have the same legal systems, nor are the systems and policies that rule the acquisition of property the same. Unfortunately, people who are buying property abroad often assume otherwise, making them susceptible of getting into a mad run with the legal intricacies of a foreign property market.

But thanks to the European Union you can now take some comfort in the knowledge that the foreigner buying property abroad are now subjected to the same rules and regulations as the locals or any othe EU citizens for the matter.

But don’t be so relaxed because even though the EU have already systematized the property buying procedures there are still some amendments done locally so this mean no single EU country has the sa,e buying procedures. Individual countries have their own property laws.

One good example of this is Spain, in this country outstanding debts attached to a property becomes the responsibility of the buyer or the new owner. And if you purchase a farmhouse or a villa with agricultural land in Italy, your farming neighbors could have the right of pre-emption. This mean they could buy back the land for less than its usual purchase price.

“This is a complicated area of tax and law” warns international estate agent Knight Frank. So it would be much better to get someone who is really good at these things to be able to make your “buying property aboard” excursion a satisfying one.

Another complication is not only countries but different regions too have their own specific property regulations. For instance, the National Spanish Law on development was revamped and passed by the Valencian Legislature in 1994 which gave local developers in certain specific circumstances the right to demand payments for infrastructure improvements or to obtain repossession orders.

Outside of the EU - from Eastern Europe to Down Under and the United States to South Africa - the legal aspects of buying property are equally variable.

In Croatia for instance, for the time being and pending the anticipated entry into the EU as early as 2006, permission to buy a property must be granted by the Ministry of Foreign Affairs before a purchase contract can be finalized. This can take anywhere from three to 12 months which is a very long time already.

In Turkey, foreigners are not allowed to buy property in villages, rural areas or in the vicinity of military land.

In New Zealand there are limits on where and how much land non-citizens can purchase, while in Australia, outsiders are restricted to buying new-build properties.

The United States presents its own set of purchase proclivities, for instance, although Britons can feely buy a US holiday home, there are restrictions on how long they can remain in the country each year, for example, 90 days unless an application is made for a B2 visa.

And in Florida you will confront restrictions in certain areas that limit the number of days per year that you can rent out your property.

While South Africa does not restrict foreign property ownership, ‘non-residents’ whose nominal place of residence, domicile or registration is outside the common monetary area of South Africa have to declare any money they bring to the country to the South African Reserve Bank.

The exigencies of buying property around the globe are hugely variable. But wherever the location, you should take great care over fundamental legalities - ranging from local taxes, registration fees, and stamp duty to zoning laws, death duties and tax treaties.

Take double taxation treaties. These international agreements limit the tax liability for a citizen of one country who is resident in another - and thus prevents the same income being taxed in two states. Out of more than 1,300 tax treaties worldwide, the UK has the largest network, covering over 100 countries.

Furthermore, do not ignore local property terms. Escrow, ‘tapu’, ‘il rogito’, or settlement may be unfamiliar, but if you are buying property in the US, Turkey, Italy or Australia respectively, these terms are integral to procedure.

And do not assume that a particular housing term in one country will have the same meaning in another 'Project homes' in Australia refer to ‘off-the-peg’ architectural designs while in the US a project home refers to government funded, and sometimes called ghetto housing.

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Essential Tips on Buying Properties

Essential Tips on Buying Property

Buying property is the biggest financial commitment of our lives.

With inventory diminishing daily and multiple offers being extremely common, it is of great importance that you position yourself to have the "Best Chance" to get your offer accepted. You enhance your chance of buying property of your choice by doing the following:

Get pre-approved for the purchase. This takes very little time and is of great value. At this time, identify the price range for which you qualify and which fits your lifestyle.

Submit a strong competitive offer. Submit the offer as if there will be multiple offers.

Include substantial earnest money deposit. Acceptance of an offer is sometimes determined by the amount of the deposit. A larger amount may signify a bigger commitment to the seller.

Minimize or eliminate contingencies. The fewer contingencies when buying property, the stronger the offer will be.

Make a buyer profile available. When buying property always make these things available in your profile time on the job, flexibility, reason for purchasing seller's home, etc.

Be prepared to preview a new property quickly. When buying property time is gold so be sure to always be prepared and ready to be on the go. Homes sell sometimes in hours. Be prepared to make decisions quickly and be accessible to change the terms instantly.

When buying properties it is a must that buyer and agent must have instant communication access. Maintain instant access to each other via office phone, voice mail, fax, pager or cellular phone.
Whether you are buying property for investment or to live in extreme care should be exercised to ensure your purchasing experience is stress free and risk free. These few buying tips will make you aware of some of the pitfalls and ways to avoid them.

Think about why you are purchasing the property.

If you intend living in the property does it really suit your needs? If you have young children or elderly people living with you, you might wish to avoid stairs and prefer a level block. Do you intend to install a pool in the future? Is the garden too big or too small? Will you need more bedrooms in future?

Be sure to have reports for building inspection and pest inspection prior to committing to the purchase.


If you are buying a villa, apartment or townhouse you may be sharing a common wall with your neighbors. It would be advisable to check noise levels if possible.

Try to meet your new neighbors. They may not share the same values as you.

By researching the real estate market in a particular area you will be much better informed on property values.

If a property has been renovated recently you might wish to check with the local council to ensure planning or building permits were approved.

Deciding how much to offer can be difficult. You might wish to make your best offer up front or start with a lower offer and be prepared to negotiate up. However, purchasers who make higher offers might secure the property without giving you the opportunity to increase yours.

If you wish to avoid someone else purchasing the property you have decided to buy, be prepared to exchange the contract with a cooling off period.

It's important that the estate agents regard you as a serious applicant. Show willing and be eager to view, and you'll be top of the list when something new comes on the books. Call them regularly - they'll think of you first when a property comes on the market.

Gazumping - outbidding rivals at the last minute - is a horror estate agents are powerless to stop, even if they wanted to. Unless you're lucky enough to live in Scotland where there are laws to protect the buyer.

Under the Estate Agency Act, estate agents are obliged to pass on all offers they receive, although a determined buyer will probably go straight to the vendor.

There's little you can do to repel a determined bidder, but there are ways to lessen the chance of it happening, or at least reduce the impact if it does.

When buying property you can offer the full asking price and request the property be removed from the market. Be flexible with the vendor and don't quibble over minor points. Make it clear you're willing to complete on their timescale, not yours.

Be nice to the vendor, if you've established some kind of relationship with them, it should be harder for them to let you down. Take out insurance - you must do this before you instruct your solicitor, but then if you're gazumped, you can be refunded the cost of your various fees.

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Buying Properties In Spain

How is Buying Property in Spain Done?

One of the best places in Europe to buy a property is without a doubt, Spain. The weather is great and the lifestyle is better than most places in this region. But for those people that are into property investments the road can be troublesome at best.

As you know there are three important words that you should remember in buying a property – location, location and location. Yes we all know this but it is sometimes quite amusing that most people who are buying property in Spain miss this fundamental point.

Carried away by the views and a pushy sales pitch from a local property seller, foreigners usually falls into buying there dream home only to find out later that it is in a very badly chosen location.

The number one law in real state buying is; never close a deal after your first viewing of a property. Take down notes and photographs if possible and go away and think about it hard but with a cool head, after all that excitement is flushed out.

However much you want the property, don’t rush into it, real estate is a long term property that also needs long term thinking. Think about whether there are any drawbacks, Will you be able to have a phone line installed? Is it near to shops, bars, restaurants and other facilities you may regard as essential? Does it have letting potential? What's the area like out of season?

Take note of all the questions that you have in mind and go back to visit the property. Put your questions to the estate agent, the owner and preferably someone completely independent.

You can also find a friendly local bar where some of the regulars might be able to give you a better picture of what it's like to live in the area.

Ideally you should make two or three visits to your chosen area at different times of the year. Some Spanish "urbanizaciones", where large numbers of foreigners have their holiday homes, become virtual ghost towns in the winter months.

If you're planning to live there all year, you may find yourself feeling a bit isolated from October to April.

If you're buying a Spanish property as an investment, rather than as a permanent home, you'll probably be looking for a villa or apartment with good letting potential.

After all, you may as well enjoy the income from it while you sit back and watch your capital grow.

Spain is a big place. Consider the location first and foremost. Decide on a particular town, village, development or hillside where you'll want to spend a lot of your time, or even live permanently.

This involves a whole series of individual choices. Research the area to find out what it is like in different seasons, what facilitates are available and the travel times to different places. And ask yourself, would you be happy living there? Look at estate agents in the region and find out the prices that you would expect to pay.

Think about the kind of property you are looking for - The area, size, and number of rooms. But keep an open mind. It could be worth looking at different types of properties in different residential areas. By looking at a variety of homes you'll build up your knowledge of the present market values in the area you are looking.

Research all legal issues and costs involved. Find a Solicitor or abogado to advise and assist you - Before you have decided on a property in Spain it is important to be fully aware of the legal process and costs involved in your property purchase.

Obtain professional. Advice and check your finances take account of these additional costs. Whatever housing option you choose, your experienced solicitor should anticipate all contingencies
The solicitor will take care and assist you in all the different steps involved in the transaction. There are many excellent English-speaking solicitors in Spain.

Choosing the right solicitor is your guarantee that Spanish legal requirements are met, the property is registered in the vendor's name and that it is free of any mortgages, charges, encumbrances, debts or other liabilities. Clear everything with your solicitor.

Do not sign any contract or agreements with an agent, get them sent to your solicitor. They will negotiate and discuss the purchase terms with the seller's solicitor. The terms should not be limited solely to price but should cover in detail all your requirements like the completion date, the form of payment, etc.

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Buying Propeties in Bulgaria

Processes in Buying Properties in Bulgaria

Before diving deep into real estate fiasco discussion let us first highlight some important basic information’s regarding Bulgaria. As you would know Bulgaria is located in southeastern Europe.

Bulgaria is situated in the east-central portion of the Balkan Peninsula, bordering the Black Sea. Covering an area of 42,823 square miles and is almost rectangular in shape. Its position makes it a natural crossroad between Europe and Asia.

Bulgaria has been noted as the third most popular world destination for property investment and holiday homes behind Spain and France. So what does buying properties in Bulgaria give you?

Aside from the scenic views and welcoming neighborhoods and sunny climate and broad sand beaches, Bulgaria also boasts a low cost of lifestyle living, it is so low that you can enjoy the same living status 30 years ago in the Mediterranean.

Bulgaria boasts an exceptionally diverse landscape with hundreds of kilometers of Black Sea coastline and some of Europe's most promising ski resorts that are now providing indisputable competition to the more familiar locations in the Alps.

It is partly this remarkable diversity that has made Bulgaria such an attractive choice to property investors in recent years, with commercial investment similarly lucrative in winter, as it is in the summer months.

Part of the appeal is the fact that it is an emerging market and this has always proved to be an attractive factor for property investors looking for an exciting and potentially money-spinning challenge.

Another plus factor in buying properties in Bulgaria is the unification of Bulgarian to the European Union which is due in 2008. This is significant because it will be launching Europe’s first US style real estate investment trust or the REIT.

These trusts are tax-friendly property funds that have to pay out most of their income to shareholders. The aim is to broaden and deepen the real estate market.

Bulgaria's finance ministry has opted to give up tax revenues in favor of persuading investors to accept professional management of real estate assets. Its REIT’s legislation, part of financial market reforms launched by a liberal government, is based on similar frameworks in the US and France.

Bulgaria's fledgling REIT’s market is still too small to attract attention from big international players. But none the less REIT’s have become popular with Bulgarian pension and mutual funds, as well as increasing numbers of retail investors, according to local brokers.

National Statistical Institute or the NSI data published on October 21 showed that Bulgarian housing prices in the third quarter of 2005 rose by 2.9 per cent compared to the previous quarter of 2005.

The average housing price rose to 751.50 leva a sq m between July and September, up from 730.50 leva in the previous three-month period.

Bulgarian property is extremely good value and foreign investors may stand to profit substantially. In recent years, foreign capital has been a major component in the Bulgarian real estate boom.

Although there are admittedly other factors causing the boom such as the low interest rates, the continuous and intensifying flow of capital deserves the bulk of the credit.

The interest in properties in Bulgaria are steadily increasing and is expected to further increase as the impending acceptance of Bulgaria in the European Union draws near.

According to a Wall Street Journal report, Bulgaria registered the highest rise in its real estate prices more, than in any other country, with a staggering jump of 48 percent.

Property developers believe that the peak is yet to come as there are still many undiscovered places of beauty in Bulgaria as well as untouched property ready to make its first entrance into the property market.

Certain constitutional restrictions on foreign investment in Bulgarian property presented some impediments for inward investment. The Bulgarian Property Law was amended in July 2000 which removed such restrictions. The only requirement left was the registration of the investor or investing company in Bulgaria.

Bulgaria is a very good place to live or invest in and with its upcoming union with the to the UE or the European union this makes Bulgaria not just a good place to live in but a very safe place to invest.

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Buying A Homesite

Tips on Buying A Homesite

Buying A Homesite can seem to be intimidating especially if you don’t have any knowledge regarding it, but it is not difficult at all if you have already conceptualize your needs and determine which time of Homesite are more suitable for you home plan.

In this case to talk to some who knows about the topic better than you do. Talk with mortgage broker or a bank loan officer regarding this.

If you are on a rush and want to build a house right a way then the loan officer should explain to you about construction loans, including the closing procedures you will encounter while the house is being built.

You should also talk with building constructors to have a concrete idea about the average price you can expect to pay per square foot for the type of house you wish to build on your Homesite.

You should include estimates for building a driveway or road to the homesite and also for wells and the septic systems, if ever your home will not be connected to community water and sewer.

One way to find the maximum money that you can expect to spend for a land is to deduct the estimated building cost from your total budget and also deduct a bit more for unexpected or miscellaneous expenses.

In addition to the money to buy the land, you need the money and time to have access to a car and spend months driving around looking at properties and looking up information about titles, water, easements, zoning laws, building codes, mineral rights, contracts, and so on and so on. Doing it right is too hard for most people to do alone.

Better to buy with a group or find a shortcut.

If you're going to buy with a group, choosing the members of that group is even more important than choosing the homesite. One energy vampire, one person who's contributing more money and demands more respect or decision-making power, one person who can't take criticism or won't compromise, even one person with a selfish and competitive view of reality, and your group is doomed.

I think one happy-dog person, friendly and easy-going but undisciplined, will add to a group, but two is too many. You need at least one person who's good at working out conflicts between the other people, and at least one person who's good with numbers.

Remember to only buy within your means. I strongly recommend you save up money and pay cash for the land. Loans are difficult to get, stressful, expensive, and multiply the things that can go wrong.

Even if the seller will take gradual payment, it's more expensive and consumes psychic energy. Save up a bunch of money, set a maximum, and then push down from that maximum, not up.

Think through what you want.

Think through what you don't care about. You get a better deal if you don't buy features you don't want.
Do not get "land fever." If you're overwhelmed with desire to just get on some land right now, you will not get a good deal.

You can practice this just buying cheap stuff on eBay: the more patient you are, and the more auctions you are willing to lose, the better deal you will eventually get. Also, land fever tends to make you ignore red flags.

Unless you have more than $50,000, don't hold out for a piece of land that you are in love with, because you can't afford it. And don't fall in love with a piece you've seen, or refer to it as "my land" or "our land," until you actually own it. If you do, you are setting yourself up for the bait-and-switch, for ignoring red flags, for wishing yourself into a bad deal or a disaster.

Tell family, friends, friends of family, family of friends, and friends of friends, what you are looking for, and if you're lucky, someone will have a piece of land, or know of one, that is what you want.

Then you can deal directly with the seller, who might be someone you know and trust, and you can cut out the real estate agent and a lot of precautions you would have to take with a stranger.

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Buying First Home in Las Vegas

Buying your first home in Las Vegas? Here’s what you need to know

You have made the decision to make one of the largest investments you’ll ever make in your life-buying your first home in Las Vegas. You’re excited, but at the same time worried. Some of the questions you may be asking are: Will I be able to afford the home of my dreams? Do I have enough money for a down payment? Can I get a home inspected before I make an offer?

No need to worry. The home buying process in Las Vegas can be overwhelming, but if you go into it prepared, your first purchase can be a good experience.

Here are some things to you need consider before making the plunge.

Getting a mortgage - Fear of being rejected for a home loan is one of the main concerns for first-time homebuyers. To reduce the stress, you may want to get pre-approved for a loan before looking at prospective homes. This will not only help you feel more confident, it will also give you an advantage when there are multiple offers for a specific home. The fact that your loan has already been approved is of great value to the seller: because it shortens the purchase process and there is less of a chance that the buyer will back out of the sale.

Mortgage Payments - The costs involved in the purchase of a home can be overwhelming to first-time buyers. However, with the help of a real estate professional, you can calculate out how much they you are able to pay each month in mortgage payments, and from there, what prospective homes offer a feasible payment plan.

Be acquainted with an agreement with an agreement of purchase and sale and go over the clauses with your realtor. A verbal offer carries no legal weight at all - So be prepared to make an offer in writing.

Down-Payment - The down-payment amount varies depending on the value of the home you choose and your mortgage lender. And in some cases, first-time home buyers can purchase a home with no money down. Although it varies from state to state, most offer government-funded programs for first-time buyers that help people buy a home with no down-payment. Your real estate professional will be able to explain the different options available to you.

Closing Costs - First-time buyers often forget to consider the closing costs when making an offer on a home. Paying closing fees of up to 10 percent of the home sale amount is not unusual. Add that to the down-payment and you’ll have quite a sum to raise before the final papers can be signed. However, a smart first-time buyer takes this into account before making an offer, and with some professional help, the costs can be estimated in advance.

Making offers - Don’t feel pressured into making an offer on the first home you see. This is a common mistake of many first-time homebuyers. Make sure you view different homes to get a feel for the marketplace. When you do decide on a home to make a bid on, work with your real estate professional to get all of your questions answered first before making an offer. But don’t wait too long to make an offer. The longer you wait, the greater the chance other prospective buyers may place offers, making it harder for you to negotiate a good deal.

Condition of the Home - Buying a “problem” home is another fear of first-timers. A home that needs major repairs can become a costly venture. And, unless the asking price is adjusted to reflect the hidden repairs needed, chances are the home is not worth as much as the seller is asking for it. To avoid untoward surprises, your real estate professional may advise you to hire a home inspector before making a serious offer. In that way, you know what you are getting into.
Above all- Make sure you understand and are comfortable with every aspect of the transaction. Your real estate professional can be an invaluable asset in helping you make educated decisions so that your first-home purchase in Las Vegas is a rewarding experience.

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