If you are considering buying and renovating a house overseas, a lot of aspects fall under the idea. Retiring in style in an exotic country in a beach house, learning a completely new language, and indulging in an altered culture that you always wanted to experience is a dream for many. Moreover, buying or renovating a house overseas has numerous benefits. For starters, renovating a house overseas can give you the option of selling it in the future, making it a wise real estate investment. The fetching prize would sky-rocket within a few years, making your retirement adequately placid. Buying a house which has been in a feeble state in another country could be cheaper than you anticipate, which makes it a tempting concept.
But it is not as easy as it sounds. A lot of cons are attached to the idea such as taking flights every now and then, readjusting your schedule, putting away permanent work for weeks, issues related to permits, and several others.
So before you think about proceeding with the idea, consider these factors that could heavily impact your decision.
Check for Permits and Legal Requirements of the Country
Every country has a defined set of rules when it comes to buying and selling property. Since you will be completely new to the country and unaware of such rules in the beginning, it is important to understand all the legalities associated with them. Visit the country and find out about the special permits you would require for buying real estate and the organizations that are responsible for them.
Go for the Best Location
Whether it is Italy, France, or Switzerland, you need to research a lot to select an appropriate city or town and the best location within it. The amount of return, be it in rent or resale, would be unbelievably immense if the location is top notch. If you need to rent your renovated property, you should go for a more tourist-oriented, centrally located section of the city as it can be accessible and would provide amazing views. Plus, public transport, grocery stores, pharmacies, or restaurants would be easily reachable.
If you are looking for a property to retire peacefully, a greener and peaceful countryside location would be apt. Remember, an exceptional location will overshadow all cons which are linked to the property.
Hire Specialized Professionals
The end result of your renovated property would be completely based on the efforts of the people who have worked behind the project. If you hire professional contractors, architects, designers and laborers of that country, they would know about the respective terrain and construction techniques much better than you, hence making the project a successful one. They would also talk in their native language, easing the communication within the team and making your job easier.
Along with hiring native professional workers, it is important to look for the best ones among all. Often, contractors and builders look solely for functionality and end up revamping a traditional building into a boxed casket. All the significant elements on the exterior facade and in the interior of the building are ignored and never retained, leading to loss of identity. At times, the exterior elevation stands intact with a complete dismantlement of the interior components. You will have to chart out a clear plan with your hired team to discuss your requirements to retain the character of the property.
Sort the Finances
When you decide to renovate a place in another country, the first few aspects related to finances that would worry you are the arrangement of capital required to purchase and carry out the project and the change of currency. A huge amount of money is required to firstly purchase the real estate in a foreign land, summed up with a lofty capital for the renovation. You could end up spending your entire lifetime savings in it. It is possible that you might also have to take a loan. Be prepared with a legitimate plan to carry out the finances.
Another concern is the currency and the exchange rates that follow. There are a number of advisors or online websites that can provide you necessary information related to foreign exchange. You can use this resource to determine how wise it is to invest given the current global foreign exchange markets. The conversation tool that is provided allows you to draw comparisons with the live interbank currency rate along with the competitive travel money exchange rates available within the foreign exchange markets.
Wanting to receive timely pensions is also a factor of worry when you plan on retiring in your overseas house. Look for organizations that provide help with fixing current exchange rates up to a certain period of time, giving you a clear picture of the exact amount you would be receiving each month.
Use Local Materials and Consider Recycling
Every country produces and specializes in different building materials, depending on the abundance of availability. Some locations would have a higher supply of wood, whereas a few would provide more bricks or concrete. If you are hiring a local professional construction team, they would educate you more on the same. You can provide your inputs and suggestions as well, but the professionals are undeniably more informed about the local scenery.
If the property preserves any elements when bought, you should acknowledge it and try to keep it intact, unless no harm is foreseen. Parts such as doors and windows, fireplace, or even retained furniture can be recycled if the condition is stable. If they are too traditional looking for your taste, you can work out a plan with your interior designer to provide a modern touch to all elements which could blend in with the chosen aesthetic. It will not only retain the character of the building and location but also save you a huge sum of money.
Most importantly, you need to be present there, especially during the main stages of the project. And if you cannot be there for a longer time, appoint a local site supervisor who can report to you every minor detail and send you a photographs for personal review. Hiring a supervisor would cost you extremely less as compared to the flight tickets that you’ll have to take otherwise. Also, it will save you a lot of time.
Considering all the said aspects before buying and renovating a property overseas is extremely important to avoid any regrets in the future. There are benefits to purchasing that dream house, but there are risks involved as well. To enjoy your new home, planning wisely is key.