It is designed to help AMI members with the increasing number of clients who may be thinking of purchasing a property overseas.
The guide warns that advisers dealing with clients looking to buy property abroad should be aware of the different rules and regulations regarding mortgages and property in countries throughout the world. It outlines a number of issues mortgage intermediaries should be aware of, including the different types of mortgage options available and details the main issues of concern from a buyer’s point of view.
Other factors highlighted in the guide include the currency risk for clients buying property outside the Sterling area, and the key points of consideration that need to be taken into account when buying abroad. The importance of fully understanding legal issues when purchasing property in a foreign country is also explained in the document.
Rob Griffiths, associate director at AMI, said: “An increasing number of UK residents are buying property abroad, whether holiday homes, future homes to retire to or a buy-to-let investments. The key point that should be remembered is that buying abroad is different to buying in the UK. In different countries there are different laws regarding property and mortgages and there will be difference in practices, customs and local regulations.”
Simon Conn, senior partner at Conti Financial Services, welcomed AMI’s decision to release a factsheet to its members. He said: “As more and more people buy abroad, it is crucial that intermediaries looking to get into this market understand the differences in buying property abroad as opposed to the UK. One of the benefits of using an overseas lender is that things such as legal checks are carried out. This factsheet is important as it highlights the key points to consider in this area.”
