At a time when the property market in the UK looks like it’s set to stagnate for at least a few more years, buying investment property abroad can provide an interesting alternative to the “vanilla” option of buying UK buy to let property.
Depending on where you buy, overseas property can provide bigger discounts from ‘market value’ and have increased, or more immediate, prospects for capital growth.
However, with many governments adopting “austerity” measures with resultant economic and political uncertainty, it’s natural that investors looking overseas will be more cautious now than they have been for a long time.
The truth is that no matter what the prevailing conditions are like, generally speaking, a property deal is only as good as the due diligence undertaken by the investor.
If an investor puts the effort into prior research, then they can buy with much more confidence and avoid most of the problems which other property buyers face.
As a first step in the due diligence process, in this brief report I detail 8 of the key questions I think you should be able to answer before you commit to any overseas purchase.
If you can answer these 8 questions you should be able to eliminate most, if not all, potential nasty shocks and will have a far better understanding of the local market on which to make an assessment of risk.
Here’s to successful property investing
Peter Jones B.Sc FRICS
Chartered Surveyor,author and property investor