What to Keep In Mind When Buying Property Abroad | sara tiku

The nationwide pricing index for houses grew by 10.64% in 2015. The Swedish housing market is expected to continue growing in 2016. The increase in housing prices can be attributed to robust economic growth and extremely low interest rates (globalpropertyguide.com, SWEDISH HOUSE PRICES SURGING, 2016). There is fierce demand for housing in urban areas like Stockholm and Malmö. Many international investors are choosing to capitalize on the housing boom and are investing in property in Sweden. Mentioned below are a few things that investors should consider when buying property abroad:

Coastal Properties: Purchasing a coastal property can be a good investment strategy. Buying a house in a popular tourist area increases the opportunities of renting it out. A property on the west coast can also double as a vacation home for investors. For example, Bohuslän is a province on the west coast of Sweden, which is popular with both Swedish nationals and foreign tourists. Before investing in the region investors should värdera Sommarstuga På västkusten. The evaluation will confirm that the house is legal and is in good condition. Purchasing any property without independent evaluation is a dangerous prospect.

Some Swedish nationals are looking to sälja Tomt På västkusten. The benefit of purchasing land is that investors can construct whatever type of property they want on the vacant plot. Before purchasing land, investors should make sure they understand the building regulations of the area. Working with experienced local real estate agents can help investors avoid potential pitfalls.

Economy: Investors should consider the economy of the country they are planning on investing in. Sweden has fared better than other European nations in the face of the economic crisis of 2008 (sweden.se, HOW SWEDEN CREATED A MODEL ECONOMY, 2016). Experts predict that the housing market will continue to grow in 2016. There are concerns about the Swedish housing market being in an unsustainable bubble (thelocal.se, WILL SWEDEN'S HOUSING MARKET STAY HOT DURING WINTER? 2016). Investors should carefully weigh the risks with the benefits of investing in a foreign economy.

Total Cost: Before committing to purchase, investors should consider the total cost of the investment. Are there any fees that will have to be paid? Will the investor be liable for any outstanding taxes? What is the state of the foreign currency in comparison with the investor’s home currency? How is the relationship between the two currencies expected to change over the coming years? These are all important questions for investors to ask. Sweden has a fairly stable economy and the Krona is a strong currency in Europe.

Buying and Sälja fritidshus has become a popular investment channel in Sweden. International investors should work with local real estate agents to ensure that their investment is secure and will give good returns. One agency that can help investors is Kustnära.