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When acquiring a piece of property in their home country, most buyers are extremely careful about every aspect of the purchase. Surveys, title deed checks and searches to find any hidden debts which may be secured by the home in question are but a few of the many essential steps needed before contracts are exchanged. Why then, do so many buyers investing in overseas real estate completely neglect to carry out even the most rudimentary checks to ensure that their purchase is protected? It is a fact that a far larger proportion of overseas property buyers allow sellers, property developers and on occasions even unscrupulous conmen to pull the wool over their eyes in ways which would be impossible if the buyer was in his or he own country. And whilst the first reaction of anyone confronted with statistics about this issue will usually be the assumption that buyers’ rights are simply better protected in their own country than abroad, the statistical evidence gathered on this topic shows that this is not necessarily the case. The Republic of Cyprus for instance, boasts property laws which protect the buyer to a much greater degree than most other European Union member states. With one of the most modern land registry offices on Earth and a string of legislation specifically geared to protect foreign homebuyers, the Republic has been a firm favourite with many overseas property buyers since the late 90s. Furthermore, leading global analysts agree that villas and apartments in Cyprus will be amongst the top-ranking performers for ROI during the coming ten years. By contrast, Bulgaria, hailed as ‘the place to buy property’ only a couple of years ago, is now responsible for one of the highest rates of buyer complaints about corruption, low building standards and even the involvement of organised crime. Indeed, there appear to have been a number of cases where phantom developments been sold to unsuspecting investors who pay their deposits in good faith, only to find that the home they have bought has no planning permit and will never actually be built. What is more, many prospective buyers returning from Bulgaria complain about being harassed and even threatened after visiting the country on a subsidised inspection trip during which they decline to buy a home. Whilst these two examples do of course represent the extreme ends of the scale, buyers can be confronted with a minefield, both metaphorically and physically - such as the unmarked minefield discovered by one buyer on land he had bought in Croatia - depending on which country they choose to buy a second home in. No matter where you choose to invest in an overseas property, it pays to do some research into the country and its laws; and whilst on the face of it buying direct may offer a slight saving compared to using a reputable agency, these savings are tiny compared to the amounts the investor stands to lose through not taking the proper precautions which are part of the service with any reputable estate agent or property consultant. Ultimately, the British TV programme ‘Housetrapped in the Sun’ provides a good hint when they say: ”Abroad’s a foreign country. They do things differently there.” A little bit of research and the services of a reputable agency can not only save a lot of cash, but a lot of regret too.
Article Source: http://www.realestateinvestmentarticles.net
With over three decades of experience in the global real estate marker, David McGinty-Hodges has been living in the Republic of Cyprus since 2001. As a senior member of the Aphrodite Property Sales staff he has been successfully advising prospective investors about Cyprus Property and investment hotspots in the Republic for a number of years.
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