Buying Property in Finland
For some time now, there has been a great surge in the trend of purchasing property abroad. Far off countries are so very accessible today thanks to the lower costs involved in travelling and more people want to get settled in other countries or invest their hard earned money in foreign nations so as to rake in profits. One such place which is quite popular as a destination for investment is Finland.
Up till 2000, Finland required foreigners to obtain a permit which allowed them to buy property in the country. But thereafter, this clause was removed and at present, foreigners, like their finn counterparts, can become owners of property in Finland. The only exception is the Province of Aland (Ahvenanmaa) which happens to be an archipelago. A non-resident of Finland requires special permission to buy land or other property in this area.
Coming back to the ways of buying property in Finland, once you have identified a piece which you like, it is imperative that you go through all the required documents connected with the property to your satisfaction. When fully assured of the credentials, you can start negotiating for the best price and if that part is cleared, the next step involves preparing a preliminary agreement which is a legal binding between the buyer and the seller as per the details discussed.
You will then need to approach a notary whose job is to confirm and attest the identity of all the parties concerned in the sale prior to transferring the property deed. Only after obtaining the title to the property can you apply for legal procedure to get the title confirmed. This is a work which falls under the jurisdiction of the court in the district where the property is situated. An important point to be noted is the time frame which restricts the claim for title to be made within a span of six months of completion of the sale.
Receiving the title deed from the district court ends the process involved in buying property in Finland.
The time taken on an average to go through all these above mentioned process and legal formalities to complete a purchase is -roughly about two weeks, following which you can be a proud property-owner in this beautiful country.
Buying Property in Portugal
Portugal has always been an attraction to people from other countries and many of them seriously think of investing in property in this country by way of a retirement or holiday home. Targeting this trend in particular, many offshore companies have started developing attractive seashore areas to accommodate luxury housing complexes complete with golf course, tennis courts, swimming pools, etc to attract a growing number of foreigners. Not just that, Portugal also offers a variety of real estate options like farm houses, town houses or cottages and the property hunter can avail of several striking options.
The Portuguese government grants licenses to real estate agents provided they are qualified for the job and it would be better if you check the credentials of the real estate agent prior to taking his help in hunting a property. Once you have located your chosen property through the agent, the next step would be to sign the contract of sale or the ‘Contrato de Promessa de Compra e Venda’, which should be ideally drawn up by the Notary. This legal document contains matter which specifies the various conditions of sale and you need to deposit about 10 – 12% of the value of the property during this time. If at any point in time, you withdraw from the sale, you will have to forfeit the amount and if the seller goes against this contract, he will have to pay you twice the amount of deposit as compensation.
A fiscal number will be issued from the local tax office on request by the purchaser. In the meanwhile, you can get your attorney to make checks on the property to ensure that all documents are in order and that all taxes are paid. The final deed, the ‘Escritura de Compra e Venda’ is obtained in about 30 days time, prior to which you should have remitted the Municipal tax or the ‘IMT’ as per schedule.
The final step in acquiring the property is to register it in the Land Registry after which it will be in your name.
Buying Property in Russia
One of the largest countries in the world and rich in natural petroleum reserves, Russia is keenly looked on as a hot spot for investment. The escalating Russian economy has lent a charm to foreigners who wish to invest in this nation filled with historic charm.
Until 2001, it was impossible for investors, whether foreign or national, to own property. They could only lease it out. But after the legislation of the land code of 2001, land and property could be owned by private individuals to a large extent.
Once you have decided on the property you would like to own, it becomes mandatory for both the vendor and the purchaser to furnish documents which are necessary to enact the transaction. These include documents like passports, title deeds of property, urban registration office of rights, the floor plan of the house/apartment, etc. An agreement is formulated specifying the conditions of the deal which includes payment terms too.
It is to be noted by foreign purchasers that all real estate transactions take place through banks. The buyer is required to deposit the entire sale amount in the bank’s safe deposit locker upon and it will be released to the seller upon his furnishing all the necessary documents of the sale after he transfers them in the name of the buyer.
Once the payment is deposited, both the seller and the purchaser have to sign the necessary agreement pertaining to the sale in front of the Notary public or the realtor. Only after this agreement is registered in the state can the ownership transfer be implemented.
The various fees incurred in the course of transaction of property include lawyers fee, notaries’ fee, various registration fee, VAT, agents fee, etc.
Normally, registration of the property takes about thirty days to complete. Russia also has a fast track registration system where on payment of a higher fee, you can get the property registered within 14 days.
Buying Property in Italy
Italy is one of the choicest tourist destinations in the world and is also been looked up to by a growing number of foreigners as an apt place for investment. People are looking out to buy land and other immovable property and since the legal procedure in acquiring it is considerably easier, you have every chance of getting hold of a great bargain.
Once you have decided on the property you want to buy, you need to draw out an ‘offer’ which is basically an agreement between the buyer and seller as to the terms and conditions of the sale. Known as the ‘proposta d’acquisto’ or proposal of purchase, the buyer is bound by the document to stick to the sale for a predetermined period which can range from five days to a month.
The offer is followed by the ‘compromesso’ or the ‘preliminary contract of sale’ which specifies all the terms and conditions related to the sale. This document is drawn up by a notary after the buyer deposits a specific amount in deposit, which usually sums up to 10% of the property value. During this period, if the purchaser violates the contract, he will have to forfeit this amount and if it is the seller who does so, it will result in his having to pay the purchaser twice the amount of the deposit.
After a time period of about six to eight weeks, if all the documents are approved, the title deed is transferred from the seller to the buyer through the ‘rogito’ or the ‘deed of sale’. This is the final stage in completion of purchase formalities and requires the purchaser to have an Italian tax number which is known as the ‘codice fiscale’. You will have to make the remaining payment of the property at this point and also make necessary payments to the notary, surveyor, as well as various related taxes too following which the property will be registered in your name in the Land registry.
Buying Property in France
A gorgeous country with a whole lot of amenities, many people these days are opting to buy property in France. One of the main setbacks that foreign investors and buyers face in this regard is the language barrier. But with a little bit of patience and the basic knowledge of French, this could be a good opportunity for you to set up your dream project.
Unlike many other countries, the main attraction for those who wish to buy property in France is the lower cost in property prices as compared to other parts of the world. But before you rush into it, you need to understand a few points regarding purchase of property in this country.
The first step before buying property is obviously conducting a thorough market research. Search the various locations and consider its weather conditions and accessibility. Do you want land in a town or village or would you like a house which you can renovate? Also remember that although property prices are low, the cost of building and restoration can be expensive.
Once you have decided on the property that you want to buy you can negotiate on the price and come to an agreement. The next step to be taken is to approach the ‘Notaire’ or the local law official. He has to draw up the ‘compromis de vente’ which is the initial contract between the buyer and the seller for which you have to make a deposit amounting to 10% of the value, a sum which you will have to forfeit if you back out of the deal after seven days. This contract contains all the legal conditions related to the property and the deal in question as well as the different clauses that may required to be put in by the buyer or seller.
This process follows a time span of 8 – 12 weeks during which the buyer can source out funds and transfer it to the escrow account of the Notaire’s office. The final deed regarding the sale is termed the ‘Acte Authentique’ which has to be signed by the parties concerned after settling the full amount. This clinches the deal and makes you a proud owner of a property in France.
Buying Property in Belgium
Belgium imposes no restrictions on who can buy property. Sellers are usually individuals and even new homes are often owned by the builders themselves. You will have your choice of townhouses, apartments, detached homes, villas and estates of varying size and price. You may want to settle in Brussels, the capital and seat of the European Commission, one of the other large cities or perhaps buy a cottage by the seashore. There are urban villages springing up on the outskirts of the large cities and small towns scattered throughout the country.
Once you find a property and decide it’s the one you want to buy you will be asked commitment to buy—that means that you are obligated to buy but the seller has the option to back out. You can ask for an option, which gives you the right to buy but imposes no commitment on your part.
Once a price is established and the buyer and seller come to terms, you will both sign a Purchase Agreement which means that the sale has been made. It is common to ask that it be subject to financing, which gives you time to shop around for interest rates.
You’ll be asked to make a deposit of 5-10% of the price, which is not given to seller until the deed is notarized and signed. You will both sign a deed of sale and have it notarized within four months of completing the Purchase Agreement.
In some regions you might have to have a soil pollution analysis or other analyses and file various documents. The mortgage company might require a survey of the property; you will be expected to pay those fees. This will be carried out by an Expert Surveyor who must be approved by the finance company. This isn’t the same as a survey in USA or UK; it isn’t meant to tell you about problems the property might have but is only to establish the value of the residence.
There are transfer fees, too, the amount depending on which region in which you purchase the property. They can range from 10-12.50%. If you decide to build a new house you’ll have to pay a VAT (value added tax).
If you hold onto the property for at least 5 years you can avoid the capital gains tax when you sell.
Buying Property in Luxembourg
Luxembourg is one of those countries where foreigners can freely purchase property. But being quite an intricate area especially in terms of real estate, you, as a foreigner, need to be more aware of the various procedures that are involved in the purchasing of property.
Property is mainly sold through approved real estate agents who must possess a professional card and professional liability insurance. You can also source out property through relevant websites and paper advertisements too.
If you have identified the property and wish to go ahead with the purchase, the first step towards this would be to make an offer to the seller. Following acceptance, a sale agreement or ‘compromis de vente’ is drawn up stating the terms and conditions of the sale. This agreement can give details ranging from identities of the buyer and seller, details of property in question, the price at which it is going to be purchased, information pertaining to the notary and agent, mortgage information, and any other special clauses. The purchaser may also have to deposit money into an escrow account as specified by the notary in most cases.
It is only through a registered Luxembourg notary that a sale is completed. Upon completion of all legal formalities, the buyer has to pay the remaining amount of money to the escrow account and after verification, the property is considered to be sold. It is the notary who transfers the money to the seller as well as pays the commission of the real estate agent from the money in the escrow account. The whole process may take a time frame of four to eight weeks.
Luxembourg real estate rules make it mandatory to register all real estate dealings so as to accord sufficient protection to the property and it also stipulates registering only notary certified deeds. Only then will the owner of the property be able to pay the due taxes and other government fees regarding the property.