Buying overseas property Finding overseas property

Websites are good, but no substitute for the real thing

Many well-known property portals have overseas sections, including Rightmove, Findaproperty, Propertyfinder and Primelocation. UK estate agents Knight Frank and Savills also sell overseas property.

Developers often market newbuild properties to UK buyers through the press or their own websites. You could also visit shows such as A Place in the Sun Live and The International Property Show or visit local estate agents while abroad.

You can find estate agents selling property overseas through trade bodies such as the Association of International Property Professionals (AIPP). The AIPP also has a useful guide called How to Buy Overseas Property Safely on its website. Always view properties in person.

Buying overseas property off-plan

Buying off-plan (where the property has yet to be completed) was once seen as a way to make a quick profit. However, there is now more uncertainty about the likely value of the finished property, and some developers, especially in Bulgaria and Spain, have been unable to complete properties, leaving buyers high and dry.

Timeshare and other options

If you can’t afford to buy your own property abroad, there are schemes that aim to offer more affordable alternatives, although you usually need cash to pay for them. But aggressive selling practices and schemes that haven’t delivered as promised, leaving consumers out of pocket, have given the industry a bad name.

The main options are timeshare, fractional ownership and holiday clubs. 

With timeshare, you buy the right to spend a certain period, usually a week, each year at a particular resort or pool of accommodation for a number of years.

With fractional ownership you also own a share in the property’s equity. Technically, this means you could make money when you sell your share if the value has increased.

Holiday clubs sell you the right to discounted holidays, flights or accommodation for a number of years, but consumers have often found that the holidays available are no cheaper than they would be if you bought from elsewhere.

Timeshare and fractional ownership are covered by the Timeshare Directive 1994. This gives you the right to obtain information before signing a contract and ensures you have a cooling-off period of at least 10 days during which firms can’t take any money from you.

Previously, the Timeshare Directive only covered schemes lasting three years or more, so holiday clubs were able to avoid it. Legislation to close this loophole was implemented in the EU in February 2011 to offer greater protection.

Visit our guide to timeshares and holiday clubs for more information.