Many people buying their overseas property raise the necessary capital by remortgaging their UK property. Many high street banks do not specialise in currency exchange and will be costly. Currency, like everything else, is a commodity.

How much can you borrow?
You can normally borrow up to 75% of the purchase price of the property leaving a deposit to be paid of 25%.

Legal Advice and Fees
Don’t rely on an estate agent to act for you instead of a lawyer. It’s a very big investment and we would recommend that you use a lawyer who has local knowledge or hire a British legal firm that specialises in purchasing overseas property.

Much of the apparent complexity of purchasing abroad is due to unfamiliarity. Using people with relevant experience can overcome this as property laws vary from country to country. You may also have to make an overseas will.

Various fees, taxes and VAT can bump up the cost of overseas purchase adding about 10% in Spain and Portugal, and 10 – 15% in France or Italy. These are usually due on completion.

Finding The Best Mortgage
Whether you are looking for an overseas property as an investment, a place to retire to or as a holiday home, the Property Banking team can provide you with impartial advice and search for the best financial product for you. Call us on 08704 28 28 29*.

* Lines open Monday - Friday 8.00am - 10pm. Calls charged at local rate. Calls are monitored and may be recorded for training purposes. Operated by Asset Design Limited, authorised and regulated by the Financial Services Authority. Find out more