If you’re a Brit wondering how to get a house in Europe after Brexit, don’t let yourself be scared off.
It’s the second year of Brexit, and becoming a landlord abroad is still possible in a relatively easy manner.
In this guide, we want to hand out some tips and show the costs you might not have thought about before buying a property in Europe.
How to get a house in Europe after Brexit: a list of expenses
Other than the obvious costs related to buying a property, such as moving expenses and real estate sales taxes, here are some hidden costs you might not have thought about:
You will pay taxes on your rental income as a non-EU citizen. This depends a lot on the Country that you choose. For example, if you buy in Spain, taxes corresponds to the 24% of the total income, while for Portugal, a bit less than 10% (technically the 28% charged on the 35% of the income).
There is the mortgage deposit, which include a prepayment of 20 to 25% of the value of the property.
In addition, you will have mortgage fees, such as admin fees, possible translation fees, and broker’s fees.
Local government fees for them to sign documents and possibly track down any relevant information about you.
Some countries may require you to write a Will for the process: making it valid implies paying notary fees.
Hints and tips to move like you own it
Being ableto is related to being informed. Here’s a list of hints that can help you going through the process of buying a house in Europe with confidence.
If you were planning to buy a property in Portugal, Spain, Malta, Cyprus or Greece, British nationals can apply for the Golden Visa, which allows you to get your formal and tax residency in exchange for the investment.
If it’s “just” about having your holidays house in Europe, keep in mind that, for the majority of the European countries, you can’t stay for more than 90 days spread across a 180 days period.
There’s no special ban to buy a property in Europe as long as you can afford it; Brexit has not removed this possibility for Brits.
Remember to get an agreement statement or a letter of intention before you complete the purchase of your future house. This will help you to speed up the process to obtain other documents (like the residency certificate) or opening up a bank account.
