Why foreign investors buy properties in countries other than their own (part 2)

In the previous post we discussed the foreign investors in vacation properties, vacation properties with a possibility of renting out, and also buying real estate for just parking the money in a foreign country. Here’s about some more types of the foreign buyers.

Many of the foreign investors are also interested in getting the residency rights and citizenship for themselves and their families in countries other than their own.

The reasons for that are plenty including the above mentioned instability in their own country, lack of freedom, bad environmental conditions at home, the better life appeal for their families in the more established countries and better education for children, and sometimes an attempt to plunge their money into foreign real estate to hide it from their own government they do not trust much.

Find out whether your country has a government program for providing residency to the foreign investors in residential or commercial real estate and clearly emphasize it in your property marketing material. This can allow you to catch even a higher demand for your property from foreigners than from the locals; and the foreign buyers will not negotiate the price down if it is already at the minimum level required by the government to participate in the residency program for the foreign investors.

Commercial properties abroad are interesting for such “refugee” investors for the same reasons as all of the above mentioned for residential properties, including the residency rights in some cases.

Also the foreign buyers acquire properties for their children to attend schools abroad (do you have good schools around?), for their own future retirement or for their parents to retire now (do you have nice amenities for seniors?), for coming on business trips (is your property located near a business hub?), for settling near friends and families or their own ethnic communities (are there any ethnic stores and restaurants not far from your property by any chance?), for medical (is your area famous for its healthy climate or are there specific medical facilities around?) and a number of other personal reasons that cannot be easily classified.

The last, but not the least reason for some affluent foreign buyers is prestige. Do you sell a castle with a history or a home that belonged to a celebrity once or a property in a famous or brand name town?  A foreign rich snob may like it a lot!

 A summary: The foreign investors are interested in vacation homes, rental properties, commercial real estate, in acquiring residency in other countries by purchasing real estate over there; they are looking for condos and homes for investment purposes, for kids attending schools abroad, for retirement, business, medical and other personal reasons, including prestige.

Copyright © 2016 by Olga Kellen
All Rights Reserved

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