Investment can take many forms, but property investment is one of the most common.
There are many overlapping benefits of domestic and international investments of this kind – it’s a relatively low-risk, stable investment with a number of potential tax advantages.
And when it comes to selecting your location, overseas property investment can come with many additional unforeseen benefits that a savvy investor could miss out by restricting themselves to a local property market.
However, those who contemplate international investment are often deterred by complications such as additional paperwork, specific requirements, or simply apprehension of the unknown, and finding the information you need to make the decision can be difficult.
So how do you know it overseas property investment is right for you? This article examines three key considerations when it comes to investing in international property markets.
1. Aims
First of all, what are you looking for from your investment? What benefits can you gain from international markets, as opposed to investing in properties closer to home, or even different types of investment, such as stocks or bonds?
For example, are you looking for a property which will serve as a holiday home? A rental with the opportunity for additional returns? Would you seek to retire in the country you invest in?
These are all relevant questions that should influence your decision when selecting the type of property, as well as the location and amount of money you are looking to invest.
Once you are really clear on what exactly your aims are, you can start to figure out the best possible route to success. For one thing, you will know how seriously you are going to be taking it, and whether or not you are going to need to get on board with a commercial real estate investment team – or whether you are going to go it alone as an individual.
Whatever you decide upon, getting as close as possible to your true aims will help you in making the right future decisions with your investments.
2. Location
Once you’ve decided what you’re looking for from your investment, location is one of the most exciting elements to consider.
Theoretically, the world is your proverbial oyster, but there are additional aspects to consider.
If you’re investing in a property with the intention of personal use, or to rent, your locational concerns are much the same as if you were purchasing in your home country – information regarding the local area, or transport links will be influential in making your decision.
But when it comes to choosing a country to invest in, there’s a bigger picture to consider – in order to maximise the benefits of you investment plan, it’s worth looking into which countries actively support and encourage foreign investment into their property markets, and how they do so.
3. Opportunities
Portugal is a prime example of a country which encourages international investors by offering additional benefits – their Golden Visa program is internationally recognised as being amongst the best citizenship-by-investment schemes in the world.
Put simply, the scheme encourages buyers to invest their money into the Portuguese economy via property, and in return for their investment, the buyer is afforded Portuguese citizenship. Benefits of this range from residency rights, the freedom to work, and access to Portugal’s outstanding healthcare service, amongst others.
For those looking to invest in this scheme, Property Lisbon specialise in assisting buyers looking to apply for the Golden Visa scheme. While this is just one way of investing in overseas property, it’s one of the most unique and prosperous out there.
