There has never been a better time to invest in UK property especially with the value of the pound plummeting to its lowest level in 31 years’ post Brexit. However, while the UK property market may be more attractive than ever, it could provide a number of challenges to overseas investors. With this in mind, here are five tips to simplify the property buying process.
Since the vote to leave, overseas investors are being presented with property buying opportunities like never before. The fall in value of the pound means that overseas buyers could save hundreds of thousands when investing in a UK property post Brexit. So yes, if you are thinking about UK property investment, now is the time to invest.
The first step to investing in the UK is to pinpoint an area. Many overseas investors are particularly interested in London property investment and according to a study released by Douglas & Gordon, properties in prime London areas including Fulham, Clapham and West Putney are 20 per cent cheaper post Brexit.
As with any investment, property investment comes with its own set of risks so it is wise to surround yourself with a team of professionals who can minimize these risks and ensure your investment is safe and secure. Hiring an independent lawyer and an accountant is a great idea, as they will not only advise you but arm you with all of the knowledge and information you need. While you will need to pay your lawyer and your accountant a fee, it is worth it to have complete peace of mind.
While UK property investment has a number of advantages for overseas investors at this time, it is essential that you explore all aspects of the investment before you commit.
Another financial factor to consider is the plethora of taxes overseas investors have to navigate. Any errors made concerning income tax, capital gains tax and inheritance tax can be costly, and professional help will be required to ensure you aren’t paying more tax that you need to. Once the property is obtained, you will need to keep records and and file your tax return correctly.
Just because the value of the pound is currently low presenting you with the opportunity to save thousands on a property investment in the UK currently, it does not mean that it will always be this way. There are no guarantees when it comes to UK property investment.
The rate fluctuations may affect the cost of your mortgage and basing your investment on a prediction is one of the risks involved when it comes to UK property investment. When making the investment, it is crucial to source a competitive exchange rate to prevent unnecessary losses.
Whether you are particularly interested in London property investment or you simply wish to find out more regarding investing in the UK, get in touch with one of our property specialists today or call us on +44 (0)20 7722 3322
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