During this festive season, many of us have made our Christmas purchases directly online, enjoying the comfort of home delivery. However, when it comes to real estate, it seems at first sight impossible to invest in a property without having visited it and seen it with your own eyes. Even more so if the property is abroad. But is this as absurd and risky as it may seem? Believe it or not, many Altitude International Realty investors invest without visiting their property on site! You will find below reasons to make a successful real estate investment abroad without necessarily having to travel to the country.
Focus on the numbers
In the context of a rental investment abroad, figures are essential. They will determine your decision. You must know how to put aside the aesthetic aspect of the property and its condition. It's all about numbers before and after renovation.
Of course, it is easy to make the figures speak for themselves and we always see here and there false cash flow calculations: gross yield and not net of charges, forgetting property taxes or insurance or even simple calculation errors (no doubt voluntary sometimes!). Also, be careful not to forget any line in the calculation!
Don't forget your real estate reflexes
Buying a property abroad is different from an acquisition in France, that's for sure. However, the "underlying" remains the property and certain rules are true whatever the country. Location, proximity to employment areas or schools are all points to be taken into account at the "corner of your street", as in Florida or Montreal.
Study the local market
Before making your decision, try to understand the market in which you want to invest. Obtain economic data, statistics. Find out about employment pools, the economic fabric, the unemployment rate, etc. Understanding market trends is also essential.
Don't get emotional
One of the classic mistakes, for a first real estate purchase abroad, is to mix analytical criteria and the logical emotion of any buyer. If it is normal to have a crush on an apartment or an interior decoration, beware of your feelings. Because your criteria will not necessarily be those of your tenant or the local culture. They can alter the real investment criteria. The feeling you should however feel is one of comfort with your decision to buy internationally.
Have specialists accompany you
Your best asset for a successful acquisition abroad is to be supported by a specialist in the market(s) you are interested in. Getting good advice both on the purely real estate aspects but also more administrative aspects will allow you to avoid certain mistakes and save time and money.