Buying a holiday home is one of the most exciting purchases you can make, and it doesn’t have to be a functional choice with close proximity to schools and medical centers like your primary home needed to be. Purchasing a second home has no limits, and you can choose anywhere in the world that your budget permits. There are, however, extra costs and considerations that you must make before purchasing a property abroad: laws may be different, you will have to convert currency, and you will probably need a local translator that you can trust. It is important that you approach this investment sensibly so that you do not make any mistakes during the process of purchasing your holiday home.
Assess Your Financial Situation
Many people dream of owning a home in Spain, Portugal or Italy. However, it is important that you have budgeted for the property fully as many people who cannot afford to pay back their mortgages abroad may encounter difficulty and this may result in having to claim Spanish mortgage compensation with the assistance of a law firm. Ensure that your budget is watertight, and you have saved extra for travel, refurbishment, and legal costs. It is crucial that you are realistic at this stage and that you don’t start planning your purchase without adequate funds.
Decide on a Location
You may have fallen in love with your annual holiday destination, but it is important to consider the reality of this location behind the tourist industry. Perhaps the language is extremely complex to learn, communities are hostile to foreign buyers, or the winters are harsh. If you want to buy a holiday home in a specific location, you should assess it throughout the year and for extended periods of time.
It is advisable to stage a trial-run and rent a property in this location for a period of months so that you can experience life in this place. This may not be necessary if you only intend on spending a few weeks a year in the location and renting the property out for the rest of the year. If this is the case, it is worth researching property rental prices in the area to explore whether it is a viable option.