You are here: Home - Mortgages - Remortgage - News -

Overseas property hotspots for 2019

0
Written by: Christina Hoghton
10/01/2019
Buying a place in the sun is a dream for many, but Brexit worries currently loom large for those looking to purchase property abroad.

British buyers haven’t been helped by the pressure on the pound, according to overseas property professional, Simon Conn, who said ‘the setting up costs and the actual purchase price are higher than in previous years’.

However, he noted that traditionally popular countries such as France, Spain, Portugal, Italy and the USA still saw ‘steady business’ in 2018.

Conn said: “There has been more interest from Scandinavian, USA, Middle and Far East buyers who have still seen some prospective bargains and this has extended to them considering purchasing in the UK for either investment or future retirement basis.

“With tourism on the increase in Cyprus and Greece, the amount of interest there has greatly increased, but borrowing in both countries continues to be difficult as they recover from their economic problems.”

What about the hotspots?

If you want to borrow to buy in one of this year’s key property hotspots, Conn has outlined the typical mortgages available, although he stressed that the interest you will pay depends on your specific cirucmstances.

France: Mortgages are available up to around 80%-85% of the property’s value, although better lending terms are available if you can put down a deposit of 30%.

Spain: Mortgages are available up to 70% of the property’s value, with better lending terms available for loans of 60% or less.

Portugal: Mortgages are available up to 80% loan-to-value. Better lending terms are available for loans of 70% or less.

Italy: Mortgages are normally available up to a maximum of 60% loan-to-value, although in some cases it can go up to 70%.

USA: Mortgages are available at 70% loan-to-value, or up to 75% in Florida.

What does the future hold?

According to Conn, a decision on Brexit could prove a turning point in the overseas property market.

He said: “I expect the overseas property market to have a more dramatic spurt as clients can then plan and purchase with a degree of comfort, knowing what their funds (and any subsequent mortgage, if required) will allow them to buy. This is especially the case for British buyers if the exchange rate recovers in their favour.”

Related Posts

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Household bills up £550 in three years

Households are forking out an extra £550 a year on energy, home and motor insurance, according to new research.

Close