FOR MANY people nearing retirement, it is natural to start thinking of not only what to do with those retirement years, but also where to spend them.
Being involved in the estate agency field for over 15 years now, I have personally dealt with many vendors whom, on the sale of their UK home, finally achieve their dream of owning a property in a sunnier, warmer climate. However, certainly over the past six or seven years, we in the property world have witnessed a dramatic increase, not only in the number of individuals retiring to places such as the Portuguese Algarve and Spain, but also in the number of younger couples buying second homes abroad.
The reason for this change of trend is simple, increased property prices in the UK market mean that the majority of UK homeowners have a larger level of equity to utilise. Putting it in plain English, as long as an individual has a good level of surplus equity available to release from their present home, it is fairly easy to acquire a 70 per cent mortgage from a reputable European bank with interest rates as low as four per cent.
To aid the large number of UK citizens taking advantage of this type of property investment, many UK firms, such as ours, have entered into this field. In our case, we have opened an office in the Algarve, Portugal. Many UK investors have seen this as an advantage, as there is confidence dealing with a compatriot, who can deal with and guide the purchaser through the process of buying abroad, advising on matters such as finance and technicalities, from start to finish.
In conclusion, you no longer need to dream of those retirement years, to have a place in the sun; it’s easier than you think!
By Richard Chambers M.N.E.A.E
Algarve Property Solutions
Tel +44 870 080 2936