Making a real estate purchase abroad is quite possible, provided you can find financing. It is also essential to know a few tips to be serene when buying real estate abroad. Do you want to make your project a reality? So find out how to get a loan to buy your property!
Financing a real estate purchase abroad: how to do it?
Lica will greatly help you in your project! Indeed, we study the financing offers on the market in order to find the one that will be best suited to your expectations. Then, we intervene until the funds are made available and finally, we accompany you until the purchase of your house.
Nous mettons donc toutes nos compétences à votre service pour réaliser votre achat immobilier à l’étranger. Avec Lica, vous profitez gratuitement des services suivants :
- finding financing that meets your needs;
- personalized service according to your objective;
- a team made up of different specialists;
- a choice of solutions made up of the best market offers;
- of the highest acceptance rate in Switzerland
Banks in Switzerland do not generally finance real estate objects abroad…
Indeed, in Switzerland the banks that would finance holiday homes outside the country are almost non-existent. However, there are foreign banks that finance property in the locations where their overseas branches are located. To find financing, it is also possible to approach local banks. In both cases, the approach is very restrictive and requires the preparation of a file of great complexity. Applying for financing from a local bank where the property is located is a very bad idea. Indeed, you will be confronted with problems of regulation, translation and understanding. A loan in a foreign currency, can also prove to be problematic with the variations of the exchange rate.
Ideally finance your real estate purchase abroad with a loan in Switzerland.Lica accompanies you until you obtain your funds!
Vous l’aurez compris, la meilleure solution pour effectuer un achat immobilier à l’étranger est donc de profiter d’un crédit privé à des conditions avantageuses.
The private loan: an excellent solution for buying property abroad
It is indeed an excellent alternative to buy real estate abroad. This type of loan has the advantage of not being earmarked for any specific purpose. With private credit, you can spend your money however you want! And so in particular for buy real estate.
The private loan therefore has the following advantages by buying real estate abroad:
- Financing up to CHF 400,000.-
- Repayment term up to 10 years
- Advantageous interest rate according to your file
Since you are free to allocate your funds as you wish, you have all the cash to finance your purchase and the resulting costs. In addition, by having your funds in cash, you are in a position of strength to negotiate the price of your future property purchase abroad.
Taking advantage of a loan on advantageous terms is therefore an excellent solution for buying real estate abroad. You will be free to buy the object of your dreams and you will also be able to negotiate its price more easily.
Before making the purchase, however, it will be necessary to pay attention to various points. We will list them for you in this article. Good continuation in your reading!
Here are the points to check before buying a property abroad
Land register: how does it work?
Abroad, land registers are different from those in Switzerland. You must ask yourself several questions:
- Is there a mortgage note on the property?
- Is the property encumbered with a right? If yes, which ones ?
- Are there any restrictions on works or improvements on the property ?
To find yourself and avoid unpleasant surprises, you can call on the professionals on site. It is possible to seek the help of a notary, a lawyer, an advisor or even the broker. The specialized team at Lica can also support you and answer your various questions.
It is also important to register your property in the land register of the country concerned. Before validating your purchase, it is recommended that you call in a specialist.
Costs when buying property abroad
And yes, as in Switzerland, you will have to pay the costs of purchasing your property. These are generally made up of broker fees, notary or lawyer fees and different taxes depending on the country in which you are buying your property. Always be very attentive to these different costs and seek advice or opinions from a third party before paying them.
The tax system and taxes of the foreign country
Owning a property abroad is good, however, you will have to pay taxes and fees. A good is indeed often taxed in the country where it is located. Rest assured, you usually won't be taxed twice thanks to double taxation treaties.
In principle, as the owner of real estate abroad, you must first find out about the following taxes:
- Transfer rights: This is a one-time tax that will be paid when purchasing the property.
- Property tax: it is an annual tax in relation to the value of the property.
- Taxation of rental income: This is often a tax on the rents you receive by renting out your property. In Switzerland, its rental income is added to your income. If your property is not rented, the tax authorities in Switzerland will determine a rental value (theoretical income) and add it to your income in Switzerland.
- Wealth tax: As an owner abroad, the value of your property less any debt attached to it, will be added to your wealth in Switzerland. For example, if your object has a tax value of 200,000.- and you have a debt of 100,000.- for this property, your wealth in Switzerland will be increased by 100,000.-.
Real estate abroad: is it administered by a real estate agency?
Generally yes, and this will allow you to be more serene! Our advice: buy your first properties abroad from recognized agencies or managers!
The geographical location of the object
This is a very important element depending on your rental objective. If you plan to rent your property on a yearly or seasonal basis, carefully check the rental prospects. For example, you can search the local classifieds to check the vacancy rate, or use an application like " ebookers » pour vérifier les prix des locations saisonnières dans la région que vous convoitez.
The different development prospects in the area where the object is located
Y’a-t-il des transports publics ? A quelle distance se trouve les services de soins ? Y-a-t-il des centres commerciaux à proximité ? A combien de km se trouve le premier aéroport ? Toutes ces questions doivent se poser et vous devez en tenir compte pour valoriser correctement le prix de votre achat immobilier à l’étranger.
Have an expertise carried out before making your purchase
Abroad, standards and facilities are not always as high as in Switzerland. Once we have found the house or apartment of his dreams, it is recommended to do an expertise. For this, it makes sense to call in a building specialist. Also call on an installation and home automation specialist. Thus, you will be guaranteed to buy real estate that meets your expectations.
Our conclusion on your real estate purchase abroad
Lica has extensive experience in the field of financing real estate abroad. We support you for free on a large number of issues and you save on your administrative procedures while avoiding the usual pitfalls.
As with any type of financing, it will always be advisable to analyze with the greatest care the current situation of each borrower in order to then move on to the best solution without wasting time.
We therefore believe that it is always better to invest a little more time at the beginning of the relationship to increase your chances of granting credit. This is why, Lica favors in all cases a personalized approach to the question and always takes the time to know its customers well.
Maintenant que vous connaissez les principales astuces pour effectuer un achat immobilier à l’étranger, il ne vous reste plus qu’à faire votre demande. Avec Lica c’est simple, rapide et efficace ! Et oui, vous faites votre demande en ligne en moins de 5 minutes et ensuite nos équipes spécialisées se chargent d’effectuer le travail pour vous. Vous économisez ainsi du temps et de l’argent !
Do you have questions before making your request? Our advisers are there to answer your questions 7 days a week directly on WhatsApp. Ask us for more information and we will be happy to answer you!