Owning a property abroad comes with legal and financial responsibilities. Just as the ownership of your UK property comes with responsibilities attached, so does your new property abroad. As a home owner in a foreign country, you need to make sure that you are abiding by all the relevant legislation.

Tax issues can be complicated for people owning a home in the UK and a property abroad. Tax will be levied on you in both countries, and you will have to check that you are not being taxed twice for the same thing. For example, any rental income you earn will be taxed in the UK, and whilst this might not be much, you will have to watch that your income from your property abroad doesn’t push you into the higher tax band. In addition, check that you’re not also getting taxed on this income by the country where you bought your property. Many countries have a double-tax agreement with the UK, which means that you only pay the tax in one country. Check whether this applies to your property abroad, and speak to our tax expert if you have any other questions or concerns.

There will be some legal responsibilities that come with ownership of a property abroad. For example, what arrangements have you made for the sale of the property in your will? The legal implications of selling the property or registering new owners after your death may be costly. You should check this out when you are buying your property abroad , and make sure that your will is updated accordingly. In addition, there may be local legal requirements of you as a property owner and you should check these with your estate agent or solicitor to make sure that you’re always on the right side of the law.

If you are renting your property abroad, you have a responsibility for the safety and welfare of your tenants. Your property must be in good order, and fixtures and fittings should be checked and inspected regularly to ensure that there is no danger to people staying in your home. This is not only good landlord practice, but it ensures that you comply with local tenancy regulations and that you avoid costly litigation should anything go wrong.

For many seasoned property investors, an auction is a very good way to find below market value properties to add to their portfolio. Most people know that an auction is a good place to snatch up a wide range of properties at bargain basement prices. Some people also go to auctions when they desperately want a property and are willing to pay any price for it. That is why at some auctions, property prices soar way beyond their market value making it more difficult for an investor to buy low and sell high. Still, the perfect property at a good deal can still be found at auctions. The high cost of housing in the UK nowadays is making it quite difficult for a first-time homeowner to get their foot up the property ladder. This is why buying at an auction is one of the best alternatives for finding a well priced property or a first home. For most beginners, joining an auction for the first time is a daunting experience. Before one sets out to buy their first bargain property at an auction, there is a lot of information one needs to know beforehand. Bringing along a competent advisor or mentor is recommended.

Most properties sold at auctions are those that are quite challenging for an estate agent to sell or have been on the market for quite some time. However, this does not necessarily mean that the property is undesirable or needs a lot of work. Oftentimes, it is because the current owner wants to sell his property right away or that the former estate agent was not doing his job well. Still, it is wise to take an extra amount of caution with you when you go to a property auction. Some properties have defects such as a damp or subsidence, which could cost you a lot of money to restore. A lot of preparation needs to be done before embarking on a property auction. Determine the maximum price you are willing to pay for the property. This should be based not only on the amount you have in hand but also on the profitability of the property and its resale value. Your estimate should include the cost of repairs, renovation, surveyor’s fee, taxes, legal fees and other miscellaneous expenses. Also keep in mind that you have to put in a down payment of 10% immediately after your winning bid and that the balance will be expected 28 days later.