Investing in real estate is a great opportunity to earn some extra money and diversify your real estate portfolio. When it comes to investing in real estate, there are so many different opportunities available, which is why it is so important to have a clear understanding of where you want to make your investment.
Investing in international real estate is a great option that has so many benefits for you, as the investor. If you have never considered investing in property overseas, then you may not be aware of the benefits. In this article, we will go over 5 different perks of owning international real estate and explain why it could be a great investment for you. Keep on reading if you would like to find out more.
Your Own Holiday Home
One great advantage to owning international real estate is that you have your own holiday home. Having a holiday home abroad means that you will be saving money every time you travel as you will not have to pay for a hotel or villa to stay in.
Not only this, but it means you can travel much more frequently as do not have to worry about places being booked up and not having enough space. It can be a great opportunity for you and your family to spend some time in a different culture, without having to pay a fortune.
This is definitely a huge advantage of owning international real estate, so perhaps have a think about what countries you would like to explore and find some real estate in that country.
Another Source Of Income
Another good perk of investing in overseas property is that it can become another source of income. Now that Covid travel restrictions have been lifted, people want to travel again, which means there is an opportunity to make some money.
If you buy a flat or a home in a popular tourist destination, you can then rent the home out on a platform like Airbnb and get some extra cash each month. A lot of people prefer to stay in Airbnbs over hotels as it gives them more of an authentic travel experience as Airbnbs does not have the same tourist feel that a hotel can sometimes have.
For example, a country like Singapore could be an ideal place to buy real estate as it is a popular tourist destination. If you are considering buying a property in Singapore, then you must ensure you do your research and find what mortgages or loans are available to you.
You can use this HDB loan calculator to help you work out how much you can borrow and then start looking at the properties available.
Tax Efficient
Owning international real estate can also be tax efficient, which means you could be saving a lot of money on tax by having a property abroad. When you are travelling to and from your overseas property, you can deduct the travel costs from your taxes, so do not end up spending hundreds of pounds going to visit your properties.
This is a huge advantage as travelling abroad a lot can be expensive. If you are using your property as an investment, then you may need to frequently visit your property to check it is in good condition or to make any renovations, which can get expensive. Being able to deduct these travel costs will save you a huge amount of money.
Opportunity To Explore New Cultures
One of the best perks of owning a property overseas is that it gives you the opportunity to explore new cultures. Visiting new countries is always a fantastic way to discover something new and if you have a property you can stay in, then you can spend more money on activities as you do not have to budget for the cost of a hotel.
Getting out and seeing the world is such an exciting experience, so why not look into buying a property in a country you have always wanted to visit?
Diversifies Your Investment Portfolio
If you are someone who likes to invest in different projects, then it is important that you diversify your investment portfolio. Investing can be a risky process, as you are putting a lot of money into something that you cannot guarantee will work.
Having multiple, diverse investments can give you a bit more security as it means that if one investment falls through, you have others to back you up.
So, for example, if you have an investment in something like Bitcoin, you can potentially lose a lot of money if the value of Bitcoin significantly decreases, but you can then make that money up by having your money invested in something like real estate, which could be thriving.
