What countries are best to buy a house for investment?

NullDrone

It seems to me that the UK is not worth living in anymore, nor do I want to buy a house here seeing as they don't foreclose properties like in the US, over here it's very rare to get a house much cheaper than what it's worth and the prices of the average house are too high that it'll take me years before being able to invest in houses.

I had spain in mind, but because houses are so cheap in spain, it makes sense that there are many empty houses, meaning that if I bought a house, I wouldn't get a return and it would be vacant most of the time.

I'm basically looking for a house that I can buy before it's foreclosed and can rent it for the highest amount annually, I imagine "Pre Foreclosures" to be the cheapest houses. I wouldn't actually mind buying a house abroad seeing as I want to move from the UK anyway, I had in mind that I could live with someone else, move out of this flat and get rent, then after a few years move into my own place, or if I wanted to keep on renting it.

The biggest hurdle i find is actually finding the house, the book I read said you should join an investment club, I was wondering if there would be a search I could use, like the US website "Zillow", or will it be impossible to find a really good deal without connections?

Lord_Baltimore

I recommend you buy somewhere in Europe. Preferably, to keep the legals easy, in an English speaking country. I'd also invest in a place where the banking system was not in any immediate danger of crisis. That rules out the Eurozone. I'd also suggest somewhere where there's a diverse choice of properties that are likely to increase in value.

Now a country that complies with all these requirements is...um...the UK, which is worth living in... .

robatwork

Hang on a month or two and you should be able to pick up a large portion of Greece on the cheap. Perhaps even a whole island.

eddddy

Well, as it happens, I know a couple of investors who bought property in Ukraine a few years ago - ready to cash in when they joined the EU...

And somebody else who bought a property in France without realising it was subsiding...

And somebody else again who bought a flat from a developer, and later found out the developer had built on land he didn't own...

And somebody else who bought a flat from a developer and later found out he paid a much higher service charge than everyone else in the block - because the developer saw he was foreign, and so gave him a lease with much worse terms..

And quite a few people who are sure that their overseas letting agents are ripping them off...


(Many people complain about the English buying process, UK EAs, UK LAs, UK Conveyancers etc - many other countries are much worse. Especially when you can't understand any of the contracts etc.)

Running_Horse

Very strange. Someone in the UK wanting to buy a "foreclosure". Wonder what the response would be if I went on an American forum asking about repossessions! I suspect I know where this discussion is going, but will reserve judgment until it gets there. There are lots of ways to make money on property. Buying in a country you know nothing about is probably not the best. Tick tock.

[Deleted User]

Rather than just believing what one book says.., do some research. Find out if renting your flat will make enough money to make renting worthwhile, particularly as your first thread suggests you'd need to live elsewhere while renting your property out.

You still seem keen on Spain in spite of advice in your last thread that Spain may not be the best area (it may be, it may not be). Its also easy to get caught out by not knowing the legal system in another country.., I've seen and heard some horror stories, all induced by ignorance. Con artists love the uninitiated lol.

To be honest, your start up fund is a little small, in my opinion. In many countries you have to pay tax on a purchase of property.., which could bring your money down considerably.

I'm not sure you've investigated this properly. If you had, you'd probably have a better idea where to buy. You shouldn't just be considering whether a country has a way of buying 'pre forclosure' properties as a main criteria. Its why people fall foul of buying at auctions here.., there's a REASON the properties are being sold at auction (severe difficulties getting a mortgage or expensive to remedy structural problems).

G_M

Buy in a country that is not in the EU, but will be. When it joins the EU prices will rise.

A country with a strong tourist industry where you can rent out and rip of tourists.

Somewhere with a hot and pleasant climate. A strong ancient culture. Good food.

Got it?

Talc1234

If you are in it for the long haul, then a large apartment in the centre of Havana (near the embassies, government offices, commercial sectors) will be a top place

Greece, once it has finished imploding.

I_have_spoken

Rental yield in Constanța, Romania is going to the moon. 2/3 bed apartments are in the £45k to £60k range, with the top end having lake views.

kinger101

I_have_spoken wrote: »

Rental yield in Constanța, Romania is going to the moon. 2/3 bed apartments are in the £45k to £60k range, with the top end having lake views.

I'd get one with a sea view. You'd get an excellent view of the naval battles when WWIII breaks out.

TBeckett100

Well you have £8500 saved. You do appear to be behaving like Warren Buffet demanding capital return on what some consider to be small savings.

I suggest instead of reading get rich quick books you have a look at your life. If your family is in the UK and you have employment prospects, moving to foreign lands away from everything you know to grow £8500 is rather naive.

Keep building a deposit and look to buy in the UK. View your own property as a home rather than an investment. When you hit the big time and have savings plus a house already, then consider a second property abroad if you must.

Also, you may want to stop watching American TV. In your May thread about the same thing you spoke about repossessions and now you appear to have completely turned into Buffet by seeking forclosures.

As for capital return or yield, you can find bargains. I found a bored friend of mine a project to buy a property to split into two dwellings and she is making 10% rental yield and that's in the South East.