Hond Financial

Posts Tagged ‘second homes’

Despite many people being finding themselves stretched when paying bills, if you are lucky enough to have some extra money, 2010 is the time to invest in property. Due to drops in interest rates and property prices, investing in properting has become a very popular form of investment. Not only do you avoid the risk of losing your money in a bank, but potentially, you can get a better return for your savings.

However, making a good return on your money only works if you have entered into a good investment. To give you some tips so you can make a better return in 2010, here are some tips for where to invest in 2010.

Brazil:

Although this wouldn’t come to mind straight away, many house developers are beginning to look to Brazil as a good investment. Because of it’s sunny climates and rapidly developing economy, Brazil is looking like a good investment for your money. You should also remember that Brazil has chosen to host the 2014 World Cup and the 2016 Olympic Games which will attract millions of tourists.

With prices set to rise by around 200%, Brazil is looking like a brilliant investment.

France:

The French market has always been popular with investors and property developers. Because France was the first country within the European Union to come out of recession, it shows how strong their economy is. This means that the property market is starting to make a comeback. Although this is good news for France, it does mean that if you want to benefit from the price rises that will happen, you’ll need to act fast to get a good investment.

Switzerland:

Because of the new taxes for high earners that are coming into place in April 2010, investing in Switzerland is going to become a good investment. Because Switzerland aren’t part of the EU, the new taxes that the UK are facing won’t be brought in, to try and benefit from this, Swiss authorities are trying to attract UK businessmen to their snowy country.

This attraction for many wealthy businessmen will make Switzerland a brilliant investment. Because more high earners will be moving to the snowy slopes of Switzerland, demand and prices for property will rocket.

After seeing how much potential return you could get, you may want to run off and start buying. However, before you do, make sure you are aware of all the costs such as holiday homes insurance. Having to pay for yearly extras like maintenance and insurance for second homes doesn’t come cheap and it all eats into your return. Just try to make sure that any costs you have to pay will be covered by your earnings, while still making a return.

You can’t have a holiday home in Spain without home insurance Spain.

Buy a holiday home abroad isn’t something you should rush into. If you don’t know what type of home you want, or how much you have to spend, you could quickly end up in debt and with a home abroad you don’t want.

If you are considering buying a holiday home, you most likely know which country you want to buy in.

Even if you have decided which country you’re buying in, you need to be positive about what you want to buy in that country. Before you spend all your budget, you need to make sure that you’ve looked around the property market to make sure you’re getting what you want and for the best price. Estate agents in the local area should be able to help you with getting exactly what you want from your second home.

Once you have found a property you like, you need to make sure you can afford it. Just because you have enough to pay for the initial payment of the house, doesn’t mean you have enough to pay for maintenance and bills. Once again, speaking to your local estate agent is a good way to go as they can give you a guide to what taxes and other costs such as insurance for holiday homes that you’ll need to pay. You’ll also have to consider any potential maintenance work that needs to be done in the first place.

The last thing you’ll need to consider is will you be intending to make any money from the property. Because you are purchasing a holiday home abroad, it would be empty for the majority of the year. A great way to make some extra money while the home is empty is to rent the property out.

It’s best if you know whether or not you are planning to rent the property out before you buy one, this is because you will often have to consider the renting aspects when choosing a property. If you are planning on renting, you’ll have to consider the location and surrounding area, whether it will appeal to holidaymakers. It’s also recommended that you contact your local estate agents to see if renting the property would increase any costs such asinsurance for second homes.

Before you rule out renting all together, do give it a good thought. If you can manage it well, you can make quite a bit of money which can help towards maintenance costs and French home insurance.

If you own a holiday home abroad, you’ll know that renting it out is a good source of income during the months you’re not using it. The extra cash can help to pay for things like maintenance or holiday home insurance. However, you’ll also be aware that different countries have different peaks in travelers.

Unfortunately for some holiday home owners, not all countries are popular all year round. However, if you are luck enough to have a second home in a country that’s either hot or snowy during Winter, you could make alot of extra money.

Altering your marketing campaign to suit the upcoming season is important if you are trying to rent your home out. To try and increase your last minute sales this Winter you can do things like use seasonal pictures to enforce the image of a different climate.

Hightlight bonus features that your holiday home may have that are tempting during the season. If you own a holiday home in a country that’s known for it’s snow, try highlighting features like hot tubs, baths and open fires.

Coming up to Winter, ski resorts are going to be popular as people start looking for last minute deals. Other countries such as Androaa, Poland, Bulgaria and Slovenia are becoming more popular during Winter as they are seen to be a cheaper alternative to the French and Swiss slopes. Buying a second home in one of those countries is looking to be a good investment at this time of year.

Alternatively, the Canary Islands seem to be the most popular Winter sun destination this Winter. Because of it’s almost guaranteed sunshine, the Canary Islands have become a popular alternative to long haul flights and higher prices. Warm all your round climates and sandy beaches are the perfect things to target if you are after luring some more customers to your Winter sun holiday home.

Just making these littles changes will help you keep your holiday home busy this Winter. After all, any extra money generated would be useful for paying bills like overseas property insurance because having to maintain a second home abroad isn’t cheap, particulary the holiday cottages insurance.