Buying a home overseas

Should you be buying?

Selling a house in the UK is relatively easy and cheap, yet the same is not necessarily true in other countries. In some countries local registration taxes could mean that the house has cost you up to 10% more than a developer is selling the same house for, estate agents charges could be up to 10 % more and banks on a private sale may only be prepared to provide a mortgage of up to 50% of your hoped for selling price. The net result is that if you come to sell you may only be able to realize half what it cost you (assuming a stable market), or not be able to sell for a very long time. So in some countries it is probably unwise to buy if you plan to return to the UK or relocate within your chosen country. Long term rental, which is far more common abroad, may provide a viable alternative. If you do decide to buy try to ensure that it is a house that you plan to live in for a very long time, which means careful selection rather than a rushed buy, or rent first to really assess everything locally.

Decide what you want

Your intention may be to buy a property in your new destination by a certain date. But what do you actually want from your new home? Have you, for instance, decided whether to go for a new build or seek out a character property? Have you worked out how many rooms it should have and whether or not you require outside space? And have you established what functions it needs to perform for you and the rest of your family?

If you don’t know what you want, others will often make assumptions and decide for you – especially in the world of property sales. Take some time to create a wish list and another detailing the things that you definitely don’t want. The more specific you are about your likes and dislikes from the outset, the higher the chance you’ll have of finding your dream home.

Your finances

Before you buy a property you may wish to consider:

° Your maximum budget. Bear in mind that if you’re going to use the proceeds of a property sale, the amount you eventually have at your disposal in your destination currency will change day-to-day, depending on the exchange rate. It’s therefore imperative to talk to a currency specialist to ensure that your proceeds do not decrease.

° All the costs involved in buying a property at your end destination (taxes, maintenance, solicitors, fees).

° When you’ll have access to the funds needed to purchase a property.

° How to finance the property - savings, UK remortgage, proceeds from the sale of your current property, overseas mortgage, off-shore mortgage and so forth.

The overseas property buying process

Every country has a different process for buying and selling property. By understanding the process, you can ensure that things are progressing quickly and legally. Don’t fall into the trap of unscrupulous property agents/developers - there are many out there. While trying to persuade you to buy, they’ll be your best friend and make you feel like a part of the family, yet when problems arise, they’ll quickly disappear.

Note: If you haven’t yet made arrangements to move into a property in your new country of abode, the OGC Resource Centre are in touch with a number of really good property professionals in many countries, thanks to our readers and to members of our team who have themselves invested in property abroad. If you need any help here, run it by them and they may be able to point you in the right direction. Just call 0207 898 0549. There is also plenty of information relating to buying property abroad in specific locations - including France, Cyprus, Greece, Italy and Portugal.

Kim

The Overseas Guides Company

http://www.emigrationguide.com/

5 secrets to financial fitness

We are constantly being told to ‘keep fit’ - here are a few secrets to your financial fitness:

Get motivated
Set yourself realistic goals and work out what you need to do to achieve them. Get a financial personal trainer (or Independent Financial Advisor – IFA) to whip you into shape. Use them to help you come up with an effective wealth and fitness program. Have a clear vision of what you are trying to achieve and make sure your game plan is always on track.

Get active
Take an active interest in your finances. Keep yourself informed. Book yourself in for a full financial health check. Regularly review your policies and investments. Make sure you know exactly what plans and policies you have and why you have them. The financial landscape is always changing…make sure your portfolio matches the market and your current plans.

Look after your health
There is nothing more important than your health. In order to earn the income you use to fuel your financial planning you need to be fit and well. Stay healthy and make sure you have planning in place to provide quality healthcare and financial security in the event of ill health.

Cut out bad habits
Just like health and fitness, a bit of discipline is necessary to get your money in tip top condition. Review your bank statements to ensure you aren’t wasting any money. Draw up a budget with an allowance for financial planning. Minimise and manage your debts. Make it a top priority to be debt-free.

Build strength and balance
Now that you’ve got the basics sorted, it’s time to make you financially stronger. Pump that financial iron! Gradually accumulate capital through regular saving. Balance your portfolio with investment in different asset classes and products with different levels and classes of risk.

Get yourself an IFA to help you achieve the maximum financial benefit for your finances, both now and into the future – the key is knowing what to do with your funds, and when. You may like to chat to the OGC Resource team about this – give them a call on 0207 898 0549.

Kim Brown
The Overseas Guides Company
http://www.emigrationguide.com/

What is the cost of living looking like?

It’s no secret that the cost of living varies dramatically between countries. For instance, every country that has joined the EU has seen it’s cost of living rise quite dramatically…but then they have also seen their standard of living rise too so I suppose it’s a case of swings and roundabouts.

When you decided to emigrate I am sure that you looked at costs, including those to buy property and to move, but did you factor in the day to day cost of living? This can make quite a difference in your life style, to where you live and how you live. It would take more space than I have here to discuss each and every country in detail, but I have a few pointers that you may like to think about.

Food
In many countries, although food can be costly in the main cities it is usually much cheaper in more rural areas. You may also find that there you will be able to buy fresh produce locally, which will dramatically reduce the bills. My colleague Alexis, who has a home in France, visits the local weekly market to buy fruit and vegetables and says that the savings are quite dramatic. However it bears remembering that in, say, Greece, the islands - although many are rural - are sometimes more expensive as goods have to be shipped in. These are the things that you need to find out in advance and factor into your plans before you buy.

Utilities
The costs will vary, depending on the size of your home, how many people live there and where you are located. There may, however, be more than one provider and perhaps a comparison exercise would throw up a cheaper provider. A word to the wise here: my son has a far cheaper telephone line than mine, but there is always a problem with it…what’s the use of that? Best case scenario is that you chat to a local.

Schooling
You may find that free State schooling is available. But how good is it? And do you need to live in a more expensive or a rural area to access a better school? In South Africa for instance there are only a handful of State run schools that are rated as acceptable…and private schools really cost. This is the sort of thing that a good estate agent can give you the low-down on.

Health
You need to do your research here. Is there a State health care system that residents can use? If not you will need to pay for healthcare and this can prove very expensive. It is essential to check this out before committing yourself as this can be a deal breaker.

Transport
Costs can vary tremendously. You need to check this out carefully. In Johannesburg, South Africa, for instance there is virtually no public transport system at all. I had a bad car accident and no longer wished to drive, and it is not safe to walk…problem! Also, if one partner works and one cares for the children then you need two cars…and this cost needs to be factored in. Plus registration, insurance, fuel, garaging…

So you can see that ‘cost of living’ actually means the cost of living YOUR life. There may well be some things that are non-negotiable but there may be other things that you can compromise on in order to exchange your present life for one that you perceive to be better. The point is that you need to do your sums and take all the factors into account before deciding exactly where you are going to put your roots down.

Good luck – and please let us help you. We at the OGC Resource Centre have spoken to hundreds of folk like yourselves who are planning a move abroad. And also, sadly, those who have returned, having found that all was not as they thought it would be. Let us share our expertise with you – just phone 0207 898 0549 and have a chat.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Moving Overseas – I can’t make that happen…can I?

What is the difference between people who make their dreams come true and those who don’t? It’s not the act of making painful decisions, nor does it have much to do with having loads of money. People who live their dreams didn’t get what they wanted by selling their soul, struggling against the tide or gaining a windfall from the lottery!

Achieving the dream of living overseas is possible for anyone. Like any big project, it takes a vision and small steps that take you closer and closer to living that dream. People who have successfully made the move overseas didn’t wake up one day and think, ‘It’s official – I’m moving overseas today!’ Instead, they started with a niggle in their stomach. Something inside them felt excitement at the thought of the Mediterranean view from a Spanish villa, a field of wild flowers behind a cottage in France or a condo in America with a BBQ grill big enough to cook 100 hamburgers. And from that niggle, tiny actions were taken – one leading to another.

Sooner or later, if small actions towards a vision continue, the momentum starts to build and the vision becomes more and more achievable. Looking on the Internet for properties on Monday could lead to emailing an estate agent on Wednesday. After a phone conversation with an agent, a fact find regarding visas might follow. Then perhaps a few hours on ex-pat blogs (web journals) a month later and you will understand how to find employment. Perhaps the next step will be to visit a property show and discover finance options that you never knew were available.

When faced with a large project or massive change, many people tend to freeze and think, ‘I’m nuts. How could I actually follow that dream? I don’t have enough money…I don’t know the language…I don’t ’. These are usually the same people who have had the same job and the same complaints (about the same job) for years and years and years. These are the people that want more, constantly complain about how they deserve more, but never actually get up and take action. These are the same people who react to life and bumble along letting life take whatever course it puts on their path. Are you a bumbler? I hope not!

Why not make 2011 the year that you start taking tiny actions? Search the Internet, go to an exhibition, book an overseas visit, buy a book or create a journal outlining everything you want. You have a choice – you can focus on how miserable living in the UK is or you can put your attention on how great it will be when you are sitting in the sun, eating fresh fruit and watching your family play in the garden.

When I first had the thought that an overseas life was calling, it scared the pants off of me. I was £30,000 in debt, had no assets, no job and my destination country made it almost impossible for me move there. Added to this, there was no easy way of obtaining a visa to work - let alone stay. Objections aside, my first action was to write in my journal announcing my niggle. I wrote something like this: “I would like to meet a handsome prince [from my country of choice] who will marry me, buy me lots of clothes and pay off my debt.”

A few months later I met a guy during a networking event – he almost fit the bill. The guy was wealthy but he wasn’t a prince nor did he have all his teeth. Needless to say, within 6 months and taking a lot of small actions I sold my possessions and moved overseas. That was over 14 years ago and to this day, I can confirm it was one of the best decisions I’ve ever made.

Not only am I living my dream, but I’ve applied my small step approach to all things in my life – I now have overseas homes (yes – more than one), an amazing husband (who has all his teeth), no debt and an all round wonderful life. So – don’t be a bumbler. Start taking some small steps and discover what life abroad has in store for you!

Kim

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Non-res status: how do you achieve this? Part 2

I’m back to continue our discussion on what you need to do to make sure that you have effectively cut off ties with the UK in terms of living here. You will need to do this in order to get that non-res status that will allow you to pay tax in your new county rather than in the UK.

As we discussed, the overall pattern of your life must reflect your declared non-resident status and the fact that you have left the UK for the foreseeable future. I pointed out a few measures you could take and promised I would continue with a few tips relating to tax and finances.

Tax

- Send the completed form P85 to HMRC, declaring that you are a non-resident
- You would be well advised not to return to the UK for an entire tax year if possible. This will emphasise the break in residence
- Do not return to the UK for more than 90 days a year in subsequent tax years, remembering to factor in travel days in this number. It seems they are now counted…

Finances

- Cancel all UK credit cards and reduce balances in your UK bank accounts
- Pay all UK accounts and close them. Demand evidence that they are closed in the form of a letter of acknowledgement
- Consider transferring pension arrangements overseas

Cars

- Sell your car and cancel your car insurance and subscriptions to motoring organisations

And then finally, in your new country of residence, once you have moved abroad

- Establish employment or business links in the new country if you are planning to work there
- Obtain a residence permit where necessary
- Contact the local tax authorities to inform them that you have become a resident
- Purchase or rent a property locally on a long lease and buy a car there
- Register with a doctor and dentist in your new country
- Open a local bank account
- Establish social and cultural connections in your new homeland by perhaps joining clubs etc
- Register children at schools if appropriate
- Have a will drawn up in your new country of residence

Provided you can show that your personal, financial and social connections are now firmly lodged abroad you'll have a good chance of non domicile status being accepted. Best of luck, and I’d love any input from you on your findings.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Non-res status: how do you achieve this? Part 1

You would think that once you have left the shores of the UK and emigrated you would have cut the ties that bind…especially those pesky tax ties! Unfortunately it’s not that easy.

In the past, providing you were in the UK for a certain length of time only, you were no longer considered a resident. Your absence and employment from the UK had to cover a complete tax year (that is 6 April to 5 April), you had to spend less than 183 days in the UK during the tax year and your visits to the UK should not average 91 days or more a tax year over a maximum of four years.
But things have changed and HM Tax and Revenue Services are becoming far more demanding – and watchful.

Just moving overseas won't be enough to establish that you've got a new domicile. Essentially you need to show that you've severed your UK ties totally and that you are living overseas on a permanent basis. There's a burden of proof and it is not something that is easy to convince the tax man of.

So…how do you make sure that you qualify for non-resident status? A suggested checklist of what you need to do: let’s start with

Property in the UK:
-Sell your UK property or let it out for at least 12 months - do not leave it unoccupied
-If you are letting the property, ask a UK agent to deal with the property on your behalf
-Pay all property bills before you depart the UK
-Notify your house insurers that you are emigrating and adjust the insurance accordingly
-Notify your mortgage lender that you are emigrating
-Notify your local council that you no longer reside at the property
Business matters in the UK:
-Consider resigning from any UK company directorships or company secretarial positions
-Consider disposing of your UK business interests altogether
Other UK matters:
-Notify your UK doctor and dentist that you have left the UK
-Cancel your UK sporting and social club memberships
-You would be wise to appoint an attorney in the UK who is empowered to deal with your UK affairs

I am going to continue with a few suggestions next week on matters relating to taxes and finance…and more.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

What is the cost of living looking like abroad?

It’s no secret that the cost of living varies dramatically between countries. For instance, every country that has joined the EU has seen it’s cost of living rise quite dramatically…but then they have also seen their standard of living rise too so I suppose it’s a case of swings and roundabouts.

When you decided to emigrate I am sure that you looked at costs, including those to buy property and to move, but did you factor in the day to day cost of living? This can make quite a difference in your life style, to where you live and how you live. It would take more space than I have here to discuss each and every country in detail, but I have a few pointers that you may like to think about.

Food
In many countries, such France and Portugal for instance, although food can be costly in the main cities it is usually much cheaper in more rural areas. You may also find that there you will be able to buy fresh produce locally, which will dramatically reduce the bills. My colleague Alexis, who has a home in France, visits the local weekly market to buy fruit and vegetables and says that the savings are quite dramatic. However it bears remembering that in, say, Greece, the islands - although many are rural - are sometimes more expensive as goods have to be shipped in. These are the things that you need to find out in advance and factor into your plans before you buy.

Utilities
The costs will vary, depending on the size of your home, how many people live there and where you are located. There may, however, be more than one provider and perhaps a comparison exercise would throw up a cheaper provider. A word to the wise here: my son has a far cheaper telephone line than mine, but there is always a problem with it…what’s the use of that? Best case scenario is that you chat to a local.

Schooling
If you are moving within the EU you may find that free State schooling is available. But how good is it? And do you need to live in a more expensive or a rural area to access a better school? In South Africa for instance there are only a handful of State run schools that are rated as acceptable…and private schools really cost. This is the sort of thing that a good estate agent can give you the low-down on.

Health
EU countries have a State health care system that residents can use and that EU visitors can access for emergency health care if they have a European Health Insurance Card (EHIC). Other countries vary so you need to do your research here. Otherwise you need to pay for healthcare and this can prove very expensive.

Transport
Each and every country has a different transport scheme (or not…be warned!) and costs vary tremendously. You need to check this out carefully. In South Africa for instance there is virtually no public transport system at all. Plus it is not safe to walk…problem! Also, if one partner works and one cares for the children then you need two cars…and this cost needs to be factored in. Plus the registration, insurance, fuel, garaging thereof…

So you can see that ‘cost of living’ actually means the cost of living YOUR life. There may well be some things that are non-negotiable but there may be other things that you can compromise on in order to exchange your present life for one that you perceive to be better. The point is that you need to do your sums and take all the factors into account before deciding exactly where you are going to put your roots down.

To buy a copy of the Emigration Guide go to: http://www.EmigrationGuide.com/guide.htm

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Check out your estate agent or developer before rather than after buying

If you need to buy a property during your emigration process, one of the most important elements is to ensure that the estate agent or developer that you're buying from runs a reputable and honest establishment.

Often buyers get caught up in the excitement of the purchase and fail to do the necessary homework. My in-laws decided that since their developer was German, he was an efficient and trustworthy builder. That couldn't have been further from the truth.

If they had simply asked around or even done a search on the Internet, they would have found complaint after complaint about this man. And with a bit more digging they would have discovered that he's been taken to court on several occasions.

Don't let this happen to you!

Many buyers feel like they are beholden to the developers or agents – this is NOT the case. You should be in control…and to be in control, you’ll want to take responsibility and determine if the particular developer or agent is going to service you in the best possible way.

Listed below are ways that you can check up on your developer or estate agent.

1. Enter the developer or agents name into the Google search engine. Sometimes you'll get the best results if you put the name in "quotes" such as "XYZ Developers"

Click through every link that mentions the developer in question. You might come across articles or postings that report problems or issues that other buyers have experienced. On the other hand, you might also find testimonials or good reports.

Within Google, you can also go to Groups and enter 'Greek Property' or check out Yahoo! Group. This is a place where people post information about experiences, questions or issues they've experienced.

Check out any chat rooms, forums or message boards that discuss your location or area of choice.

Bad developers/agents cannot hide when it comes to the Internet...If people are upset, they will go to any lengths to help other people to avoid the same problems.

2. If you're buying on an estate that has people who have moved in already AND you have the ability to visit the estate, why not post little flyers through the door saying:

"Hi! We might be neighbours soon...I'm interested in buying on this estate, however before I make my decision, I am interested to know if you've experienced any problems with the developer or agent. If you wouldn't mind, I would be so grateful if you could simply answer the following questions and email them to me at:

* Was the property completed on time?

* Is the quality up to standard?

* Did you have any issues?

* What is the traffic noise like?

* Add more questions that interest you...

Thank you in advance,

HOWEVER, keep in mind that people that have purchased have egos and in some circumstances they will feel compelled to give you the rose coloured picture rather than tell you what truly happened.

As with all your research, don't listen to just one source.

3. Ask for referrals from your agent and if they don't have any, treat that as a major warning sign.

4. Ask the locals what stories they've heard. If something bad happens, the word often spreads quickly. Don't be afraid to ask your waiter/waitress or a news agent.

As with everything, take what you hear with a pinch of salt. You might happen to ask a relative of XYZ builder about them and they'll say that they're the best...

Or perhaps you're chatting with someone that considers XYZ Estate Agent to be terrible, however if you dig a bit you'll find that the owner is an ex-boyfriend. Hell hath no fury and all that!

You know what I'm trying to say...so I won't harp on about it. Just keep your wits about you...

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Emigration: Healthcare Part 2: Non-EU countries

Just to round off our discussion of medical care around the world if you should chose to move abroad:

USA
Unlike other developed countries, the US does not have a universal system of healthcare coverage - it is up to individuals to obtain health insurance. What that means to you as a new arrival or a part-time visitor/tourist is that it is absolutely essential to have medical insurance when in the USA.

American residents with a green card aged 65 or over can sign up for the government-run Medicare scheme, and low-income parents, children, pregnant women and people with certain disabilities are eligible for the government-administered Medicaid programme. The US government also runs the State Children's Health Insurance Program (S-Chip), which provides coverage to children whose parents are on modest incomes, but not poor enough to qualify for Medicaid. Military veterans are also provided healthcare by a government-run scheme.

Australia
Medicare Health Care System was introduced in Australia in 1984. Medicare facilitates access to all eligible Australian residents for free or low-cost medical, optometric and public hospital care, while leaving them free to choose private health services should they so desire.

Individuals’ financial contributions to the public health care system are based on their income and are made through a taxation levy known as the Medicare levy. People admitted to public hospitals as Medicare patients receive treatment by doctors and specialists nominated by the hospital. They are not charged for care and treatment or after-care by the treating doctor. Private paying patients in public or private hospitals on the other hand can choose their own doctor.

Medicare pays 75 per cent of the Medicare schedule fee for services and procedures provided by the treating doctor. For patients who have private health insurance, some or all of the outstanding balance may be covered. Medicare Australia also pays pharmaceutical benefits under the Pharmaceutical Benefits Scheme, which subsidises an agreed list of prescription drugs. For both medical and pharmaceutical services, safety net arrangements exist to make sure patients who need a high level of treatment or medication during a financial year do not incur significant out-of-pocket expenses. Out-of-pocket costs are the difference between the Medicare benefit and what the patient is actually charged.

The Australian Government has signed reciprocal health care agreements with the governments of the United Kingdom, the Republic of Ireland, Finland, Italy, Malta, the Netherlands, Norway, New Zealand and Sweden. Visitors from these countries are eligible for Medicare assistance for medically necessary treatment only. If hospital treatment is required, such visitors are eligible for treatment only as Medicare patients and not as private patients. Other visitors are not eligible for Medicare and should arrange for health insurance to cover their stay in Australia.

South Africa
South Africa's health system consists of a large under-resourced and over-used public sector, under pressure to deliver services to about 80% of the population and a smaller but fast-growing private sector. This private sector is run largely on commercial lines and caters to middle- and high-income earners who tend to be members of medical schemes (18% of the population), and to foreigners looking for top-quality surgical procedures at relatively affordable prices.

It is virtually mandatory to have a private medical aid either through your employer, who shares the cost with you, or individually. State hospitals are appalling – take it from one who knows. As a tourist or émigré, you would be well advised to get medical insurance cover.

New Zealand
Under the public healthcare scheme in New Zealand, a certain degree of care is offered free to its residents and to those with work permits that allow them to temporarily reside in New Zealand. The hospitals are publicly run and treat citizens or permanent residents free of charge. Waiting times for non-urgent care can be fairly long and many patients are going private in order to be treated faster.

To benefit from the public health system in New Zealand, you must hold a permanent resident visa, be a resident of the country or hold a work permit for two years at the time of application. To check your eligibility, please take the test at http://www.moh.govt.nz/ . If you meet the criteria, your partner and children aged 19 years or under will also be eligible for publicly funded healthcare. If you do not meet these requirements, you have to take out a private health insurance in New Zealand or before departure from your country of origin, either if you plan to stay or if you are just visiting.

The current system, funded by taxes, includes free prescriptions and treatments at public hospitals, free x-rays and laboratory tests when carried out from public hospitals or clinics, free service charges for pregnant women, free dental care for children at school age, and free breast screenings for women aging fifty above. The other free services offered are subsidised GP referral visits, free treatments for patients suffering with chronic conditions and subsidised prescriptions for children six years old and younger.

The EHIC or European Health Insurance Card
In 2006 the E111 form was phased out and replaced by the free European Health Insurance Card (EHIC). Also called the EU Medical Card, it gives details such as your name, date of birth and National Insurance number. The card lasts for 3-5 years and entitles you to receive free or reduced-cost emergency healthcare if you or any of your dependants are suddenly taken ill or have an accident when visiting countries with reciprocal health agreements with the UK (European Union countries plus Iceland, Liechtenstein, Norway and Switzerland).

You should obtain a European Health Insurance Card (EHIC) before leaving the UK – you have to present this to get free or rebated medical expenses as mentioned above. The EHIC is available free of charge through most UK post offices or apply online at www.ehic.org.uk You can also contact them on 0845 606 2030 and get them to send you one. Every family member (individual traveller) needs their own card - that includes children – and you will need the name, date of birth and NHS or national insurance (NI) number of everyone you are applying for.

Only state-provided treatment is covered, and you'll receive treatment on the same terms as 'insured' residents of the country you're visiting. Private treatment isn't covered, and state-provided treatment may not cover all of the things that you'd expect to receive free of charge from the NHS.

That’s it – I hope this has helped. I am afraid that in future and to save escalating costs only those resident in the UK or in emergencies may be treated under the NHS scheme – something to think long and hard about.

Kim
The Overseas Guides Company
http://www.Emigrationguide.com

Healthcare Part 1 – the EU countries

I received a very interesting question recently, one that I thought I might address on this blog as I’m sure many will be interested in the answer: it deals with medical coverage in countries abroad.

The writer says that “A subject which I need to address is a medical one as I am diabetic and require medication which at the moment I get from the N H S. Could you please tell me where I can find out which countries I could live in and still get NHS-funded treatment without returning to the UK every 3 weeks?”

I am assuming that this person means funding by the British National Health Service and this being the case, the quick answer is “none”. Once you leave the UK to reside elsewhere permanently you are no longer permitted to use the NHS. In future, because of spiralling costs, this is going to be far more strictly regulated than it is at present.

HOWEVER, the EU countries and Switzerland have national health systems that provide free or low cost health care for those contributing to their social security systems plus dependants. The system also caters for pensioners and this includes those from other EU countries.

If, as a EU member country resident, you are visiting the country, you will be able to access emergency care on showing your EHIC (European Health Insurance Card). For details of the EHIC please see below. UK nationals over 60 and for some people who qualify for invalid benefits will need the appropriate form (E121 or E106) to access free health care.

Comparisons, they say, are odious, but I recommend that even within the EU you look very carefully into the level of medical care compared to the NHS before you move. Don’t sign buy a property abroad and later find that there isn’t a doctor or hospital within miles for instance. There are many English-speaking and foreign doctors in resort areas and major cities of many countries but not necessarily so in the more rural areas. Find out if there are expats living nearby and try to find out what they think of the local medical facilities – or maybe your estate agent can help here?

I am going to outline very briefly a number of options on offer in a few of the more popular countries chosen by Brits for emigration:

Greece’s public health system (IKA) is more or less indicative of EU medical offerings and provides free or low cost health care for those who contribute to Greek social security, plus their families and retirees (including those from other EU countries). Members are charged 25 per cent of the actual cost of prescriptions, although there are higher charges for non-essential medicines plus substantial contributions for many services, including spectacles, dentures and other treatment.

Pensioners who intend to take up residence in Greece and who are entitled to free medical treatment in the United Kingdom also enjoy this facility in Greece. They should take the form E121, which is issued by their local Department of Health Office in the United Kingdom before relocation, to their local IKA office.

A person who was unemployed in the UK and coming to look for work in Greece is entitled to free medical treatment in Greece if he/she produces form E119 to their local IKA office. This should also be obtained before leaving the UK - it is issued by their local Department of Health Office in the U.K. In both the above cases IKA will exchange the form for a medical booklet.

But here is the worrisome factor: Novo Nordisk, a Danish company and the world's leading supplier of insulin for diabetics is withdrawing its state-of-the-art medication from Greece.

A spokesman for the Danish pharmaceutical company said it was because the price cut by the Greek Government would force its business in Greece to run at a loss – and it is already owed so much money by them.

Spain
As with the UK, Spain has a national health system which provides services as detailed above for Greece.

France
If you live AND work in France you will need to affiliate as a resident and in this case you should make provision to contribute financially. As a retiree you can affiliate to the system using an E121 form via the Caisse Primaire Assurance Maladie (CPAM). You can get this form from the Dept. for Work and Pensions (DWP) in Newcastle upon Tyne (take a look at www.dwp.gov.uk) As long as you are in receipt of the state pension in the UK this form will be valid.

Once you get to France you should take this form, along with proof of residence in France and a form of identity, to your local CPAM office. Most towns in France have this office but if in doubt, ask at your local mairie. Once you are affiliated to the system you will be issued with a Carte Vitale (green card) which you have to take with you when you visit the doctor or hospital.

For those under retirement age, it is not possible to affiliate to the French system unless you have an E106 form, again available from the DWP. This is relevant for those who are not planning to work in France and is valid for up to 2 years, after which it is wise to take out private health insurance until you reach state retirement age or you are there for 5 years, after which you will be able to affiliate to the system.

Many French citizens "top up" their state benefit so that they can have full use of the system as, unlike in the UK, in France treatment (whether private or public) is not free at the point of delivery. Even if you subscribe to the Sécurité sociale, on seeing a doctor or specialist (specialiste) you first pay the full bill (tarif) and are then reimbursed at a later date (about 10 days). Generally speaking, Sécurité sociale refunds 70 per cent of the cost of a visit to a médecin traitant (a GP or family doctor) and most specialistes.

Next week I will outline a couple of non-EU countries and tell you how they work.

Kim

The Overseas Guides Company
http://www.Emigrationguide.com

How to successfully adjust to your new home overseas! (excerpt taken from Emigration Guide)

It is only natural to feel strange and a little alienated initially. If you have children you will have a distinct advantage: you can volunteer to help at school, offer lifts to your child’s classmates, take children to activities and get into conversation with other parents at the school gates. If you are able to find work, even if it’s just part-time, you’ll find adjusting to your new environment and making friends far easier.

Joining a club – tennis, golf, bird-watching or whatever takes your fancy – is a wonderful option and you’re likely to meet like-minded people if you follow your hobbies and interests.

Here’s an example of the kind of activities on offer to help you settle into your new home, courtesy of one of our readers in Cyprus, although it could apply to expats in any destination:

“If you like dancing, there’s ballroom and Latin, rock ’n’ roll, line dancing and country to name but a few – and of course, karate, judo, tap dancing, jazzercise … the list goes on. Football is the country’s favourite sport and rugby is available too. You can also learn to sing by joining one of several choirs, or maybe even learn how to build a traditional stone wall. If you don’t want to join a club, then it’s worth putting your time to use as a volunteer - anything from helping in a charity shop to assisting with building a new playground for children at the general hospital, or taking disabled people shopping.”

I love the enthusiasm shown by this reader – I can only believe that she has made a whole group of new friends with an attitude like that.

Sources of information and support

Check out the Embassy, Consulate or official website of your new country before leaving the UK.

Make contact with the UK Embassy when you arrive in your new country. They sometimes plan get-togethers for expats at various times, such as to celebrate the Queen’s birthday.

Try to meet other expats from the UK who will be able to give you the low-down on the local area and help you avoid the pitfalls they ran into when they first moved.

A few more ideas to help you settle in

Access to a telephone is a must. Just to hear a friend or family member’s voice from back in the UK makes such a difference. Mobiles are all very well for local calls, but become expensive when making calls abroad, so do check when you rent or buy that there is an existing land line. This is also essential for internet access.

You should also try to create a comfortable home as soon as possible, with all your familiar bits and pieces around you, plus familiar possessions for your children, if you have them.

If you’re not moving to an English-speaking country, learning the language and familiarising yourself with the culture can go a long way to making you feel at home. Indeed, taking language lessons is a great way to meet new people. It’s best to make a conscious effort to be laid back and tolerant of people’s differences. You may find when you move that things are done differently, so remember that you are the visitor.

It’s worth paying a courtesy call to your new neighbours – they will appreciate it and it is essential to be on friendly terms with them if you want to be part of the community. You also never know when you may need their help. Don’t hesitate to ask them for guidance. People are usually only too pleased to help and thrilled to be asked. But remember small rural communities can be slow to welcome “outsiders”.

Try to have fun and keep busy. Find activities such as sports clubs, dance classes, Rotary, volunteering, music clubs or bands. Alternatively, take an online degree, write a novel, take up photography, paint, find an amateur dramatics society or join a gym.

And finally, if you can, take some time off when you first arrive in your new country before starting a new job. Spending a few days unpacking and discovering your local shops and amenities with the whole family is more fun than going straight into work or leaving one partner to do it all alone.

With any luck, before you know it, you will look round and realise you feel completely at home!

Kim Brown
The Overseas Guides Company
Have you been to the main website yet? http://www.Emigrationguide.com

Beating the tax man when moving overseas

I think you will agree with me when I say that, on planning to move abroad, keeping the taxman happy can be very important. Recently a good friend of mine left South Africa without actually going through the emigration process - and therefore the final tax process too. His wife has a British passport so there was no problem when it came to moving to Britain, but the problem has arisen now that his mother has died and he wants to transfer the balance of his inheritance to the UK.

If he had officially emigrated this process would have been comparatively easy and much more tax-friendly but, since he did not do so, it has become a highly complex process. Plus of course, there is the added problem of trying to get things done from a distance. It took me a full month of visits and endless phone calls to tax and government offices in America before I finally had all the papers I needed to formally emigrate – I don’t want to think of the frustration and the cost of trying to do this from abroad. Quite apart from anything else, it was a personal relationship that I forged with one of the people in the tax office that finally ‘cracked the case’!

You obviously need to make sure in your own mind that you intend to remain abroad, but once you are absolutely sure of this – as I was – you need to go into all the tax implications of your move in order so that you get the most possible value from your savings.

You may be surprised to hear that many Brits end up actually paying more tax than they need to when they emigrate. It’s all down to exactly when you leave the country. I was surprised to learn that you may even be owed a refund: it has something to do with unused allowances and varies by the month, peaking for lower income earners in July and higher earners if they leave in August. You need the input of a good IFA (independent financial advisor) to make sure that you time your move correctly.

I am not a tax expert and you need to take good professional advice, but did you know that there is a completely legal way to save on Capital Gains Tax (CGT) when you come to sell your property/properties? If you have rental or holiday properties as well as the home you live in, the real saving comes if at some stage you have used the property as your Principal Private Residence or PPR. Principle Private Residence relief means you don't pay CGT on gains you make when selling your main home - and you can also make use of it for other properties you own too.

You can still benefit from PPR by using your rental or holiday properties as your main home at some point before you sell it. This will give you the last three years worth of growth free from CGT as well as the period in which you live there. HM Revenue and Customs does not specify how long you need to have lived there, but may ask for proof such as phone and utility bills, electoral address etc.

If you let the property out at some stage you will be entitled to up to £40,000 letting relief against your capital gain and this is available for each owner - so if it is in joint names, this doubles to a maximum £80,000. However, letting relief is only applicable to properties which have at some point been your main home.

Legal fees and stamp duty count as part of the cost of buying a property, as do selling costs such as estate agent fees - and these can be offset against any gains. In other words, any costs incurred in the buying of the property (lawyer’s fees, surveys etc.) plus in the selling of the property such as agent’s fees are taken off your capital gain before taking any CGT allowances into account. This can be further lowered by calculating the costs of any capital improvements.

If any significant alterations have been made to the property while you have owned it, the cost of these can also be taken off the gain. Minor things like painting and fixing a broken window do not count though. Again, expert advice would be welcome here: the rule of thumb is keeping every receipt!

Also, remember that if you have let your property as a corporate rental to a trading company or business, you may qualify for the much more generous business asset taper relief, giving you a 75% discount on your capital gain after only two years.

I know that much of this may be ‘slamming the stable door after the horse has bolted’, but if you are taking a long term view of moving abroad you may still be able to use this info. Once again, it’s all down to planning and homework. Not a minute of the planning I did was time wasted and, in the end, it allowed me to move seamlessly and with the minimum of trouble.

Before moving overseas it’s important to prepare! Start the emigration process off on a solid footing – get your Emigration Guide today at: http://www.emigrationguide.com/guide.htm. The Overseas Guides Company, is dedicated to helping people make educated and safe decisions when buying overseas property and moving abroad.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Moving abroad with or without your children

One of the most important aspects of a move abroad is your children and their happiness, so you need to plan well in advance. If you want your child to be able to return to the UK eventually to finish their schooling, you will need to make sure they keep up to the required educational standard.

Children often settle into a new place better than most adults. Generally they make friends and pick up new languages much more quickly than their parents. They, however, do need to hear about the move from you early on in the decision-making process and to be included in conversations and decisions about the move. You will need to be confident and upbeat about the exciting journey ahead of you. If you have misgivings, keep them to yourself, or your children will pick up on them.

If your child is staying in the UK, make sure you:

• Arrange boarding school places well before you move - most have very long waiting lists.
• Appoint a legal guardian that the school can contact locally in emergency.
• Give your child a mobile phone with numbers inserted of locally resident family and friends.
• Give someone locally a cash fund for emergencies.
• Inform the school of the names of any adults permitted to take the child off school grounds for days/weekends away.
• Arrange an account at a stationery and/or bookshop for any schooling requirements.
• If your child is moving with you, you will need to:
• Sort out school registration in your new country well in advance. You will need to take this into consideration. If you are in contact with an estate agent or developer they may be able to advise you of good schools or put you in touch with clients who have previously moved to the country you’re moving to. Otherwise the local UK Embassy of your chosen country may be able to help, or the British Embassy in your new country. Expat websites are good points of contact and people are happy to help, since they probably experienced the same problems themselves when they first moved. There are international schools in a number of countries and some countries have English language schools, usually near big towns. Bear in mind that these can be expensive and you will need to consider where you will be living in relation to the school’s location.
• Find out if your child is up to the required standard in your new country – and get extra lessons if not. Ideally you should enrol the child in language lessons before setting off and if you all did it as a family this could be viewed as an adventure.
• Take along school reports from the past year if you still have them and give them to the child’s new school, as this will give them an idea of your child’s capabilities.
  

Before moving overseas it’s important to prepare! Start the emigration process off on a solid footing – get your Emigration Guide today at: http://www.EmigrationGuide.com/Guide.htm

Kim
The Overseas Guides Company
Visit my main website at: http://www.emigrationguide.com/

Setting up permanent residency in a new country

I was chatting to an elderly lady at the bus stop a few days ago: “I have lived in Fulham all my life” she told me, “and so did my mother.” It’s not every day you hear that anymore. How many people these days remain in the area where they are born, with their family living close by, I wonder? Not many would be my guess.

Moving, especially moving abroad, presents many challenges and raises many obstacles. How does one set about deciding to move abroad, and if you do move, how do you set about making sure you can stay there permanently if you so desire?

Most countries apply formal controls on the movement of people across their borders, both for political and economic reasons. Some countries actively encourage controlled migration on the basis that an influx of skilled people is of benefit to the country. Others – such as the USA – find that they are inundated with people wanting to pour across their borders. So…will YOU be welcomed? Countries generally encourage migrants who fall into the following categories and arrange the visa process around these requirements:

• Family: people reuniting with family members
• Professional skills: people who are given permission to enter the country on the basis that they have qualifications and experience which are in demand
• Business: Entrepreneurs, experienced executives or self employed people who are able to set up a business or make a financial investment in their new country

The first decision that needs to be made is whether to apply for a temporary or a permanent visa. For some, the security that a permanent visa offers is massively important and they will have no trouble in deciding that this is the choice for them. But for others, breaking their ties with the UK is a really scary concept and they would prefer to ‘test the water’ so to speak – for these people the temporary visa may seem a better option. We are talking about the lucky few here of course, those who actually have choices.

Most people will be forced to choose the visa that fits in with their particular set of circumstances. This being the case, it’s always helpful to know what your options may be.

Temporary Visa Class

If you are applying for a temporary visa to a country that requires your personal set of skills then you are likely to be doing so either via a business or an investor visa. Bear in mind incidentally that there is a chance that the temporary visa can be changed to a permanent one at a later date – if this is your intention you need to make sure of this upfront.

The time limit on a temporary visa varies from country to country, but can be as short as 2 years. During this time, as a temporary resident, you’ll usually have many of the same benefits as a permanent resident, but of course you will need to renew your visa before it expires.

As a former resident of the UK, you will be entitled to emergency medical care in your new home only if the new country has a reciprocal health care agreement with the UK. In EU countries this is relatively easy with your EHIC but you need to be aware that in many countries – South Africa springs to mind - you will need to be covered by private medical insurance of some sort.

Generally you won’t be entitled to social welfare and won’t be able to vote in your new country. You will be taxed on any income earned there however and, if you’re still being taxed in the UK, you will need to go into the tax situation in some detail. Some countries have an agreement with the UK whereby any money taxed there is not taxed in the UK – the assistance of a tax expert would be advisable in this respect.

The OGC Resource Centre team have a number of highly recommended tax experts that they could put you in touch with – just give them a call on 0207 898 0549.

Permanent Visa Class

To obtain a permanent visa for most countries you generally require either specific and very desirable skills or sponsorship, either from an employer or from family who already reside in your country of choice.

Permanent skill visas are usually points assessed and if you have the correct number of points, you have a good case for a visa. If you’re applying through the family sponsored scheme, there are normally certain criteria that will need to be met.

Arriving as a permanent resident has huge advantages, not the least of which is that you’ll be starting a period of time in the country that will count towards your citizenship. It also means that you’ll be able to access almost all of the services and rights that are available to citizens, with the exception of the right to vote. One of the most important advantage is medical care, providing that your new country has good medical care for its citizens of course. It may also make a difference if you are going to be looking for a job once you arrive: no one gives the best jobs to someone they regard as a temporary staff member.

Choosing the Correct Visa Class

How do you know which visa is right for you or indeed which visa you have an option of applying for?

I would suggest that the first port of call should be the embassy of your new home in the UK, either in person or on the Internet. Or you could speak to a migration agent – there are many of these and if you could possibly get a personal recommendation to one this would be helpful. They cost a bit but it may well be money well spent as they know the ropes and can steer you in the right direction.

If temporary residency is the only choice you have, and you want eventually to change this to a more permanent status, you will find that in most countries this can be arranged. Having said that, there are a few visas in the USA for instance that, although they can be continually renewed, offer no chance of permanent residence. You need to be aware of these restrictions in your country of choice before spending vast sums of money on what you hope will be a permanent move.

And remember, don’t be afraid to obtain a permanent visa if you can. It doesn’t mean you can never come back to the UK: it just gives you the option of staying in your new country for as long as you wish and could lead to dual citizenship, which also has a number of benefits.

Kim Brown
http://www.EmigrationGuide.com

Reasons to Emigrate

In a survey recently carried out it was found that 31 percent of those questioned cited the poor state of the British economy as the reason that they were thinking of emigrating, with 23 percent blaming the lack of job prospects and a further 19 percent saying that they had concerns as to whether the new government coalition could effectively manage to run the country.

Over the years we at the OGC must have spoken to thousands of people who were, or are, planning a move abroad. In the course of the conversation I am always very interested in finding out exactly why it is that people want to quit these shores. What I have found is that there are a number of reasons that most people seem to have in common:

Climate
The endless grey, chilly winters and the unpredictable summers that fly by almost unnoticed come top of most people’s reasons for wanting to leave the UK.

Community spirit
Many people have told me that they long for a time when neighbours were friends and doors could be left unlocked with no problem. People really miss the community spirit that somehow seems to be lacking in parts of the UK yet still seems to exist in many other countries abroad.

Outdoor Activities
When my kids were younger, all that excess energy was worked off at the end of the school day with mandatory sports at schools throughout the country. The climate makes this impractical here, but not only are outdoor activities good for you but they are such fun and a wonderful way for families to do things together – it’s just so much easier in sunnier climates.

Children's welfare
Many people have complained to me that the UK is a very sophisticated, materially driven society and that they worry about the opportunities and choices their children will face (or the lack thereof!) as they get older

Property costs
Even with the recent drop in property prices in the UK, you get far more for your money abroad.

Work opportunities
The perception seems to be that people with skills are welcomed abroad and jobs are more readily available.

Transport
The recent tube strikes plus the threatened BA strikes each holiday season have really highlighted the drawbacks in the transport system in the UK, a system that many claim to be the worst – and most expensive - in Europe. This makes commuting really tiresome and adds hours to an already long working day.

Public behaviour
A complaint I hear often is that people are fed up with the increasingly rude, aggressive and loutish behaviour in the UK. This seems to be a growing concern.

I suppose the grass is always greener on the other side but I do know of a number of people who have relocated and couldn’t be happier. My colleague and her husband now live in France and are a case in point - they moved fairly recently and absolutely adore everything about it.

Other friends of mine were not so fortunate…I think that you need to do your homework really thoroughly and not rush into anything. Many people have made happy and successful lives for themselves abroad and there is no reason why you should not be one of them. Planning and ample forethought will guarantee you a successful move, and please remember that the OGC is ready to help where they can.

Happy planning and warm wishes from me,

Kim Brown
http://www.emigrationguide.com

The Key to Emigration is Planning

It’s been quoted that forty percent of people who move overseas move back within 12 months. The return to the UK occurs for reasons such as health matters and being homesick, however the largest cause comes down to poor planning!

Over 11 years ago I emigrated and more recently I watched my in-laws experience an overseas move that was fraught with financial, legal and health difficulties. If they only knew what they didn’t know!

With my experiences and the inherent lack of proper planning associated to migrants, I recently set out to create a comprehensive guide and tick list to assist people through the emigration start-to-finish journey. Creating the list has been no small feat – my inventory of to-do’s is in the hundreds and still growing! At first, I felt overwhelmed by all the information and steps involved. I also found myself frustrated by the fact that one small step, if missed, could cause stress, substantial financial losses or even unnecessary failure.

Throughout my research several often overlooked steps, or options, caught my attention - especially the multitude of financial elements to consider. There are many things that should be researched before moving abroad, but to highlight a few, it’s important to consider overseas banking issues, the best way to move money internationally and pension considerations.

Opening an Overseas Bank Account. As soon as possible, visit your current bank to find out if they have offices located in your overseas destination. If they do, getting a bank account abroad may be as simple as setting things up from your current UK bank. Failing that, some international banks with offices in the UK offer migration accounts. These accounts allow customers to se tup an account in the UK for use in the overseas destination. Additionally, in city centres throughout the UK, there are various overseas banks with local UK branches – for example, there are Bank of Cyprus offices in London and Birmingham. Taking the small step of opening a bank account can help to establish a bank/credit history and ultimately provide peace of mind that there is physical cash available for you at your overseas destination.

Moving Money Internationally. There are international payment specialists that specifically help people to save larges sums of money throughout the UK bank to overseas bank money transfer process. Charles Purdy of Smart Currency Exchange Limited explains that his organisation ‘saves clients up to £4,000 on every £100,000 moved over using the High Street bank.’

Mr Purdy, however, outlined that ‘the largest saving comes from creating a strategy to mitigate the inherent risks involved when changing Sterling to another currency.’ It’s important to realise that the value of any amount of money transferred into Euros, US$, AUS$, CAN$ or any other currency will change every few seconds. The key step is to make sure that the change isn’t a drastic decrease in value. It’s advised that you contact a payment specialists 3 – 6 months before moving money overseas.

Pension Options that Pay. British pensions – when paying out - are now deeply unattractive. The income generated by a pension is restricted by the fund. Only 25% of the fund value is available as a tax-free lump sum. The annual/monthly paid is taxed at source. And sadly, a major proportion of the final proceeds on death often disappear back to the insurance company rather than going to loved ones.

In 2006 new EU legislation opened up opportunities for UK pension holders to move their pension(s) overseas enabling greater control to the pension holder. The mechanism is called a Qualifying Recognised Overseas Pension Scheme (QROPS). There are a wide range of benefits, but to list the key points, a QROPS may allow a pension holder to:

- reduce or eliminate certain taxes including income and death taxes
- move funds into higher interest bearing accounts
- take out lump sums over the UK’s 25% threshold and finally
- receive pension payouts in the local currency so to avoid currency fluctuations
- leave the full pension to heirs – not the government or an insurance company
- avoid being forced to take out an annuity

The emigration journey can be fun, exciting and very rewarding. Taking the time to plan and understand all the options will, however, increase the chances of a success.

Kim Brown
http://www.emigrationguide.com

My Top 10 Reasons to Emigrate

Trawling through the Internet, I picked up on an article on the top reasons that people emigrate. Reading through their list, there were some that coincided with the reasons I had for moving abroad, but many that didn’t. And my guess is that everyone’s list would differ slightly…Here is mine - tell me what you think. Are these much the same as you would give for planning such a dramatic move?

1. Move to be near family: Actually, without wanting to appear overly sentimental, this would probably cover at least one through five for me! As far as I am concerned, there is nothing more important than family. I decided to move back to the land of my birth in a heartbeat because my children had moved here

2. Move to a family-orientated area: Strange as it may seem, I find my London district far more family orientated than South Africa, where I had to padlock the door behind me when I got home. Here we have an annual street party and people greet one another at our local corner shop or as they walk their dogs – or cats! Italy, Greece, Spain – people have given the same reason to move to these countries…

3. Safety: This is a difficult one to explain to those who have not actually felt threatened on a regular basis. I am blown away daily by the fact that I can stroll along the Thames, here in London, without having to cower when I hear running footsteps behind me – it took me a while to adjust!

4. Public transport: Coming from a country with absolutely no public transport, you will seldom hear me complain about tubes and buses here. I had a nasty car accident a while back that left me very reluctant ever to drive again. This meant that, before I moved, I was a virtual prisoner in my own home. Now, with my beloved Freedom Pass, I am as free as a bird!

5. Health care: You won’t hear a word of complaint about the much-maligned National Health Service from me. I am sure that there are many justifiable complaints, but I have not experienced anything but wonderful service and massive help and support. As one gets older this is an absolute must…

6. A caring society: I personally find it strange that people in the UK are not grateful for the many opportunities they have available. By this I mean help with getting jobs, job-seekers allowances, dole, NHS, help to get qualified for a job, council houses and so on. Where I come from there is absolutely no help AT ALL – you could starve in the street and no one would notice

Do my reasons to move have any similarities with yours? Why don’t you do what I have done: put a list together and see what is REALLY important to you? Will the country of your dreams fulfil your expectations? It may be a good idea if you can to go to your dream country and stay a while before committing yourself to a permanent move. Perhaps go on to an ex-pat website and ask what those who have moved feel – will it be as you think it will?

I had friends who moved from South Africa to Canada – the wife wanted to be nearer her sister. To do so they had to leave an older married child behind, he had to close his legal practice and they had to find schools for two kids in Canada. They returned to SA a year later, financially far worse off than when they left and with one child having chosen to remain behind in Canada. Not what you might call a success story…My move however has been utterly successful, and so can yours be – you just need to give the matter sufficient thought.

I’d love to have your thoughts on this – take care and I’ll be back soon!

Kim
http://emigrationguide.com/

Find a Good and Trustworthy Developer

Chatting to people about buying property abroad, I find that one of the main concerns is how to chose a good and trustworthy developer if you are buying off-plan.

This problem has been made worse by the current economic climate – many developers are going under, and sometimes taking unwary buyers and their dreams with them. It is therefore absolutely crucial that you have a really god look at the credentials of your developer before signing on the dotted line..

An email that I received recently bears this out. It tells of the endless problems encountered by one of the OGC readers who had failed to do his homework – and he really paid a heavy price, both in financial terms and in the stress that such things bring with them.

The property he bought was about one third completed at the time he paid his deposit to the developer. All went well until the house was ready for the final finish and, at this point, the developer sacked the builders and employed his own low paid and unskilled labour. The result was that the finish was very poor and, although the complex was completed, only 7 or 8 properties have been sold to date.

Financial penalties for late completion were not paid although there was a six month delay. The unhappy owner only discovered when it came time to address this problem that his solicitor also represents the developer!

All this could so easily have been avoided. I am going to outline a few essential and non-negotiable points for you to think about:

- If possible, move into rented accommodation nearby BEFORE you plan to buy and chat to locals about the developer/s you are thinking of buying through

- Search the Internet for expat forums on your town or city of choice. Some highlight poor practices and name and shame shoddy developers

- Google in the name of the developer you are thinking of using and see what comes up

- Get a developer that is a member of a regulatory body if at all possible

- Consider using a reputable estate agent instead of going to the developer direct – to protect themselves they will have done the checks

- Insist on visiting a couple of the developers’ previous projects and on talking to previous buyers

- Retain a solicitor independent of the developer so that there can be no conflict of interest

- Make sure your solicitor draws up a contract that protects YOU

- Make absolutely sure that the developer’s financial staged payments (stipulated in the contract of sale) require you to pay according to completion of build stages and not simply by date

- Buy a bond or take out insurance to protect yourself if the developer goes bust or there are any major issues with the build

- Take your time and refused to be rushed

If you follow the above to the letter the chances of anything going wrong will be dramatically reduced.

Chatting to someone in the property business abroad, she told me that she was stunned by how many people simply abandoned all the normal checks and balances that they would apply if they were buying property in the UK – don’t be one of them!

Speak to you soon – and I’d love to hear from you.


Kim
http://www.emigrationguide.com/

A Few Thoughts on Retiring Abroad

This may or may not apply to you, but if it does, it’s worth thinking about it carefully. Retiring is a whole new ball game as our friends across the pond would say, but to up sticks and retire abroad – well, that takes courage.

There is a whole rather comforting discipline to working – love it or hate it, it does fill the day and give an order and a structure to one’s life. Moving abroad is a huge psychological ask at any time but add to that the utterly new dimension of retirement after perhaps a lifetime of work and it means enormous changes to both your lifestyle and your mindset. There is no reason at all that you should not be utterly happy abroad – provided you have done your homework and planned well in advance.

One tends to become a little more cautious as one gets older and, although making a big life change can be exciting and refreshing, making prior arrangements for pretty much everything will stand you in really good stead and give you a feeling of control. So what are the most important considerations for a successful retirement abroad? Here are a few thoughts:

Finance

- Before you go, make sure all your arrangements for your pension, investments and any income are properly in place. I strongly advise seeking guidance from an Independent Financial Advisor (IFA). Expert help in formulating the plan that takes into account your own personal set of circumstances is essential and you may well save yourself on tax/transfer costs etc.

- Set up an account with a currency company if you need to transfer funds abroad – it will save you a great deal of money over your high street bank. Go to:
http://www.smartcurrencyexchange.com/
for more on this

- Sometimes bureaucracy abroad can be a little intimidating so make use of a translator with things like setting up direct debits/ understanding bills etc.

Family

If you are close to family you need to know that frequent visits are possible. Think carefully about the location of your new home; you are likely to have far more contact if the journey is relatively easy and not too time-consuming. Being close to an airport for instance will make more frequent visits possible.

Another tip is to make sure you are set up for email and/or a webcam so you can not only talk to your loved ones but see them at the same time.

Structuring your new life abroad

Think ahead a little and aim to have some sort of project or plan perhaps medium to long term. Most of us need to have some sort of structure to our days and retirement is no different.

Active retirees generally have a far happier and more fulfilling life; working in the garden, perhaps tackling a crossword each day, learning the language or taking the dog for a walk will all stand you in good stead for a peaceful and healthy retirement. And dogs make new friends for you too!

You might want to give yourself a geography or history lesson: perhaps to visit a new town each month and find out all about it. Hopefully you will feel enriched by what you see, may well meet new people and will also be keeping fit!

Your new community

As soon as you arrive, make an effort to chat to your neighbours and keep an eye open for any clubs/associations/groups. Most villages abroad have thriving communities and you are more than likely to find a few fellow Brits too! So take some time out at the beginning to meet and greet, get out and about and take advantage of any advice your new neighbours may be willing to give you. Even if it is not something you find useful, you will have made a new friend!

The future

Your house needs to be easily maintained and the smaller the garden the less lawn that needs mowing! You might want to consider somewhere with few stairs for example or somewhere with the possibility of converting one of the downstairs rooms into a bedroom at some stage. And again, think about the location of your new home: that rural retreat may be beautiful but a little bit of village life with reasonably close transport may well be a Godsend. Also consider medical requirements: is there a doctor/hospital nearby, just in case?

Hope this has given you food for thought! The weather has been great all week so let’s hope that the weekend stays good for a change!

Bye for now and best wishes until next time,

Kim
http://www.emigrationguide.com/

Finding your Dream Home Abroad

Are you off to have a look for your dream home? And have you decided where to buy? Someone I was chatting to a few days ago was telling me that her dream had always been to live on Lake Como but that George Clooney et al had put paid to that!

And I suppose that price-wise Lake Como is a trifle out of most ordinary people’s price range now. The presence of Clooney plus folk like Sting caused a boom in the market that caused a 25% rise in prices in little over two years. Forget the global housing crash, prices here aren’t going to drop any time soon, with demand from wealthy Milanese and financiers and bankers based across the Swiss border still buying in the area, plus Hollywood’s elite baying at the gates!

But, as I said to my friend, don’t give up hope if the area you love is beyond your price range. Many people have found that you don’t necessarily need a movie star’s bank balance to pick up a property on or near the Lake. And the same thing applies worldwide. If you find that the area you love is too expensive, have a look nearby. For instance in Spain, prices are at a premium near the sea, especially around the Costas – Costa Brava etc.. Just a few kilometres inland there is a dramatic drop in property prices – the same applies to Portugal and the Algarve area. A few miles back from the water or in the lesser known western area of the Algarve prices are considerably lower.

What I am trying to point out is that sometimes you need to move only a short distance away from the really expensive areas to find places that are still within your price range. And sometimes circumstances change.

In Greece for instance I know of a new coastal development in Messinia in the southwest Peloponnese, one of the most enchanting coastal landscapes in the Mediterranean. On completion, Costa Navarino will have 5-star resorts, luxury high-end residences, state-of-the-art conference facilities, world-class spa centres and golf courses. Now, the point is that I feel sure this will raise the property prices in the area and getting in early may just be a good idea. So do your homework and take advice from locals. But don’t necessarily buy from them – this then becomes a conflict of interest that many people have been tricked by…!
So…as I have indicated before, it’s all down to good planning and research. Plus of course a really good estate agent can prove invaluable. Good luck!

Until next week.

Kim