Hello there - how are you...busy as a bee with your search for your dream home?
I am still racing around London showing off my ‘home town’ to my South African friend! The highlight of this week is going to be the Spitfire and Hurricane fly-past over Whitehall at 4pm, Friday 20th August 2010, commemorating the 70th anniversary of the Battle of Britain. The flyover is preceded by a reading of Winston Churchill's speech outside the Churchill War Rooms at 3.52pm.” Never in the field of human conflict...” and all that! I am really looking forward to it.
I was chatting to a Greece Buying Guide reader and he had what I thought was a brilliant idea: in order to see a bit of Corfu and to decide exactly where he wanted to buy, he had taken a walking tour on the island. Not only was it very enjoyable but he had a really good idea of what was out there plus which areas suited him and which did not. I will try and find out more about this for you - in fact I would love to do a walk myself and report back about it. Watch this space...
Anyway....back to the business of purchasing your little piece of heaven on earth! I thought I would just lay out all the info you will need about your deposit. It is the first of the payments you will be required to make and I would like you to be easy in your mind that all is going according to plan.
When you sign the preliminary contract for a new or resale property or a plot of land, you usually pay a deposit. If you're buying a resale or a new finished property (not off plan) you usually pay a deposit of 5 to 10% when signing the contract. The percentage may be negotiable: 10% seems to be the norm. The balance owing will be paid when the final purchase contract is signed.
Deposits are refundable under strict conditions only. These relate to any conditional clauses such as failure to obtain a mortgage or any other clauses that you put in and that are accepted by the vendor. A deposit can be forfeited if, for instance, you don't complete the purchase transaction within the period specified in the contract, so you need to be very careful that you cover yourself against any eventuality in your original offer to purchase.
If you withdraw from a sale after all the conditions have been met, you will lose your deposit and may also be required to pay the estate agent's commission. If previously known problems with the property are revealed, the deposit will automatically be returned to you.
The contract can be cancelled by either party; the buyer however forfeits his deposit and the vendor must pay the buyer double the deposit. However, in some cases, if one of the parties wishes to withdraw from the sale, the other party can demand that he goes through with it or that he receives compensation for damages.
If you want a more detailed outline of the whole buying process, please get a copy of our updated Greece Buying Guide Guide, available at http://www.greecebuyingguide.com/guide.htm
Happy buying and I hope that the advice we have given has been of some help. Do drop us an email if you have any suggestions, tips or buying hints for others who may follow after you - I will make sure that they are circulated to those who need them.
Take good care and best wishes,
Carol
Showing posts with label buying in. Show all posts
Showing posts with label buying in. Show all posts
Friday, 20 August 2010
Friday, 7 May 2010
A ray of light in the gloom...
The news from Greece is not good this week, to say the very least. An estimated 100,000 people took part in the march in central Athens to protest austerity measures being pushed through by the government and sadly three people died in the ensuing mayhem.
The measures were instituted at the insistence of the EU and the IMF (International Monetary Fund). Greece's inability to keep borrowing at exorbitant rates, coupled with the delay in decisive action to remedy the situation, led to the rapid collapse of the Greek bond market. This in turn affected Portugal and Spain, driving the euro lower against the dollar and sterling and prompting losses on all Western European stock markets and Wall Street.
There is a great deal of bitterness in Greece as people feel that the man in the street will have to pay for years of corruption and prevarication by greedy and/or incompetent politicians. Prime Minister George Papandreou talks of the need for ‘decisive’ action as Greece earns an 11th-hour respite with EU-IMF aid package set at 120 billion euros over three ‘harsh’ years - but will he have the guts to push unpopular legislation through? Will the opposition put petty politics aside and put the country first? It remains to be seen…
What we sometimes lose sight of is how the economy is tied up with politics. As an example, close to 1,000 tourists on a cruise ship were stopped from disembarking in Piraeus by Greek unionists, protesting planned legislation that will allow cruise ships with foreign crews to dock in Greek ports. This prompted the cruise company to warn that it may suspend visits to Piraeus.
You don’t have to be Einstein to work out that, if this occurs, at least 1,000 tourists per week will no longer visit Athens as part of their Mediterranean cruise, and that’s just one cruise liner. It means that the alighting passengers will not eat at restaurants, visit museums or buy souvenirs – and bear in mind that tourism forms the backbone of Greece’s economy.
It does seem that there is a singular lack of forethought as to how strike action and protest marches will effect the economy – mind you, I suppose the same could be said about the BA strikes at a time when BA is struggling to keep afloat. Add to this the natural disaster of volcanic ash making tourists wary of travelling to Europe and it really does seem a recipe for financial disaster when Greece relies so heavily on turism.
All this would seem to be unremittingly gloomy, but interestingly enough, if you are in the process of buying property abroad right now it may not be.
On Wednesday sterling hit €1.16/£1 against the euro. If there is one single thing that you can do right now to protect yourself, it is to sign up with a reputable currency company like Smart Currency and consider ‘forward buying’ your currency. As Smart mentioned in an email sent out to all clients, and I quote: ” Even though the European Central Bank and the IMF say they have agreed a debt rescue package for the Greeks the markets remain unconvinced. And problems are spreading to other European countries such as Spain and Portugal, whose debts are much greater than the Greeks.”
You can buy currency at today’s rate for up to a year in the future. This means effectively that you will know in advance exactly how much your currency transfers will cost you. You will not have to be in the hands of whatever financial disaster may arise, and that includes any problems that may hit the UK. Frankly, the wisest course of action would be to pick up the phone and have a chat to a currency expert about this. Right now! Go to www.smartcurrencyexchange.com
Let me know how your plans to visit or buy in Greece are going. I am planning a visit in August and I can’t wait! Any ideas out there – what’s your favourite place? I’m toying with the idea of Hydra, Evia or perhaps Corfu…?
Take care…bye for now!
Carol.
www.greecebuyingguide.com
The measures were instituted at the insistence of the EU and the IMF (International Monetary Fund). Greece's inability to keep borrowing at exorbitant rates, coupled with the delay in decisive action to remedy the situation, led to the rapid collapse of the Greek bond market. This in turn affected Portugal and Spain, driving the euro lower against the dollar and sterling and prompting losses on all Western European stock markets and Wall Street.
There is a great deal of bitterness in Greece as people feel that the man in the street will have to pay for years of corruption and prevarication by greedy and/or incompetent politicians. Prime Minister George Papandreou talks of the need for ‘decisive’ action as Greece earns an 11th-hour respite with EU-IMF aid package set at 120 billion euros over three ‘harsh’ years - but will he have the guts to push unpopular legislation through? Will the opposition put petty politics aside and put the country first? It remains to be seen…
What we sometimes lose sight of is how the economy is tied up with politics. As an example, close to 1,000 tourists on a cruise ship were stopped from disembarking in Piraeus by Greek unionists, protesting planned legislation that will allow cruise ships with foreign crews to dock in Greek ports. This prompted the cruise company to warn that it may suspend visits to Piraeus.
You don’t have to be Einstein to work out that, if this occurs, at least 1,000 tourists per week will no longer visit Athens as part of their Mediterranean cruise, and that’s just one cruise liner. It means that the alighting passengers will not eat at restaurants, visit museums or buy souvenirs – and bear in mind that tourism forms the backbone of Greece’s economy.
It does seem that there is a singular lack of forethought as to how strike action and protest marches will effect the economy – mind you, I suppose the same could be said about the BA strikes at a time when BA is struggling to keep afloat. Add to this the natural disaster of volcanic ash making tourists wary of travelling to Europe and it really does seem a recipe for financial disaster when Greece relies so heavily on turism.
All this would seem to be unremittingly gloomy, but interestingly enough, if you are in the process of buying property abroad right now it may not be.
On Wednesday sterling hit €1.16/£1 against the euro. If there is one single thing that you can do right now to protect yourself, it is to sign up with a reputable currency company like Smart Currency and consider ‘forward buying’ your currency. As Smart mentioned in an email sent out to all clients, and I quote: ” Even though the European Central Bank and the IMF say they have agreed a debt rescue package for the Greeks the markets remain unconvinced. And problems are spreading to other European countries such as Spain and Portugal, whose debts are much greater than the Greeks.”
You can buy currency at today’s rate for up to a year in the future. This means effectively that you will know in advance exactly how much your currency transfers will cost you. You will not have to be in the hands of whatever financial disaster may arise, and that includes any problems that may hit the UK. Frankly, the wisest course of action would be to pick up the phone and have a chat to a currency expert about this. Right now! Go to www.smartcurrencyexchange.com
Let me know how your plans to visit or buy in Greece are going. I am planning a visit in August and I can’t wait! Any ideas out there – what’s your favourite place? I’m toying with the idea of Hydra, Evia or perhaps Corfu…?
Take care…bye for now!
Carol.
www.greecebuyingguide.com
Friday, 23 April 2010
Wills and Inheritance Taxes...
Hello there.
A deathly hush fell over my flat recently. Yes, you’ve guessed it: I live in Fulham, directly on the flight path to Heathrow Airport! It really drew attention to the volume of noise that we have subconsciously adapted to and no longer consciously hear. I must confess to feeling a little guilty, enjoying the quiet so much as millions of passengers suffered. As I write, the sky is again filled with vapour tails – which I love – and noise, which I don’t!!
Lying in my bed a few nights ago, I suddenly remembered something that I just must share with you. It’s kinda dreary – it’s not meant to be but hey…we cannot be ostriches with our heads in the sand forever! It’s this: if you are buying property in Greece you need to make sure that it is covered in your will. Speaking to a Greek lawyer a while back, he recommended that you lodge a will with a Greek lawyer concerning your Greek property. This even if you are still a UK citizen, just to ensure that there are no problems – you can also have another will lodged in the UK. Remember however to make note of this in your British will and not to contradict anything in either will!
It was this same lawyer who sorted out years of inheritance problems for someone I had been chatting to. It can all get very long-winded and very costly so the clearer you set out everything in your will the easier it will be for your beneficiaries. It’s also great to have someone on the spot in Greece who knows the terms of the will and who is conversant with Greek law plus who knows the property so that they can help.
I am not going to go into all the legal details - a lawyer can do that so much better than I can. Suffice it to say that, in terms of inheritance tax, citizenship is immaterial if you inherit property in Greece - you pay inheritance taxes on the property according to the rates which pertain in Greece. The law says that if the deceased was a British citizen and has a legal will in the UK then it's UK law which will determine what beneficiaries will receive according to the will, but the inheritance tax on property in Greece will be decided in Greece.
There have been enormous changes made in inheritance tax if someone dies after 19th January 2010.
The tax office in about 90% of cases uses the "objective" value of a property, which is the value determined by the tax office and it is usually less than the market value. The surviving spouse, married to the deceased for at least five years, now does not pay tax for inherited property worth up to 400,000 euros tax value. Tax is then introduced on a sliding scale. This also applies to the minor children of the deceased (children below 18 years old) – let me not bore you with the whole slew of figures that then come into play…suffice it to say that you need to make sure you have all this tied up in advance!
On to more cheerful matters…the weather is heating up, and I am already planning my next trip to Greece! I am thinking August – not so swamped in tourists – and I cannot decide between Corfu, Evia or Aegina – any suggestions? My friend of a zillion years that hitch-hiked around Europe with me years ago is coming over to stay with me then and it has always been our dream to return together. We have decided that this is the year…
I am now off to plan my trip! See you next week…bye for now.
Carol Dunning
http://www.greecebuyingguide.com
A deathly hush fell over my flat recently. Yes, you’ve guessed it: I live in Fulham, directly on the flight path to Heathrow Airport! It really drew attention to the volume of noise that we have subconsciously adapted to and no longer consciously hear. I must confess to feeling a little guilty, enjoying the quiet so much as millions of passengers suffered. As I write, the sky is again filled with vapour tails – which I love – and noise, which I don’t!!
Lying in my bed a few nights ago, I suddenly remembered something that I just must share with you. It’s kinda dreary – it’s not meant to be but hey…we cannot be ostriches with our heads in the sand forever! It’s this: if you are buying property in Greece you need to make sure that it is covered in your will. Speaking to a Greek lawyer a while back, he recommended that you lodge a will with a Greek lawyer concerning your Greek property. This even if you are still a UK citizen, just to ensure that there are no problems – you can also have another will lodged in the UK. Remember however to make note of this in your British will and not to contradict anything in either will!
It was this same lawyer who sorted out years of inheritance problems for someone I had been chatting to. It can all get very long-winded and very costly so the clearer you set out everything in your will the easier it will be for your beneficiaries. It’s also great to have someone on the spot in Greece who knows the terms of the will and who is conversant with Greek law plus who knows the property so that they can help.
I am not going to go into all the legal details - a lawyer can do that so much better than I can. Suffice it to say that, in terms of inheritance tax, citizenship is immaterial if you inherit property in Greece - you pay inheritance taxes on the property according to the rates which pertain in Greece. The law says that if the deceased was a British citizen and has a legal will in the UK then it's UK law which will determine what beneficiaries will receive according to the will, but the inheritance tax on property in Greece will be decided in Greece.
There have been enormous changes made in inheritance tax if someone dies after 19th January 2010.
The tax office in about 90% of cases uses the "objective" value of a property, which is the value determined by the tax office and it is usually less than the market value. The surviving spouse, married to the deceased for at least five years, now does not pay tax for inherited property worth up to 400,000 euros tax value. Tax is then introduced on a sliding scale. This also applies to the minor children of the deceased (children below 18 years old) – let me not bore you with the whole slew of figures that then come into play…suffice it to say that you need to make sure you have all this tied up in advance!
On to more cheerful matters…the weather is heating up, and I am already planning my next trip to Greece! I am thinking August – not so swamped in tourists – and I cannot decide between Corfu, Evia or Aegina – any suggestions? My friend of a zillion years that hitch-hiked around Europe with me years ago is coming over to stay with me then and it has always been our dream to return together. We have decided that this is the year…
I am now off to plan my trip! See you next week…bye for now.
Carol Dunning
http://www.greecebuyingguide.com
Friday, 16 April 2010
Planning...Before Rather Than After Your Move!
Hello there.
What an erratic time it has been weather-wise hasn’t it? After a particularly warm day last week I set off for a long day out, only returning in the evening. I optimistically left my coat at home – MISTAKE! I have learnt the ‘umbrella lesson’ (never leave home without one…!) and I am now rapidly learning the coat one!
I was recently reminded of my move abroad in that a really good friend of mine has fallen into a trap that I narrowly avoided - he left South Africa without actually going through the emigration process. His wife has a British passport so there was no problem when it came to entering Britain, but the problem has arisen now that he wants to transfer the balance of his funds to the UK.
If he had officially emigrated this process would have been comparatively easy but since he did not do so it has become highly restricted and complex. Plus of course there is the added problem of trying to get things done from a distance. For myself, it took me a full month of visits and endless phone calls to tax and government offices 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’ – never lose sight of the personal touch and of being remorselessly pleasant and patient throughout! A few tantrums and ill temper can delay you by weeks as obstructive staff may decide that it’s payback time!
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.
For instance, British pensions – when paying out – are now deeply unattractive. One of the reasons for this is that the income generated by a pension is restricted by the fund it is invested in. Then only 25% of the fund value is available as a tax-free lump sum, plus of course the annual/monthly amount paid is taxed at source. And sadly the final proceeds on death often disappear back to the insurance company rather than going to loved ones.
Alternatives are available and benefits can be extremely advantageous - this is what you need to look into before rather than after your move. In 2006 new EU legislation opened up opportunities for UK pension holders to move their pension abroad, thus giving greater control to the pension holder. However, the scheme, called Qualifying Recognised Overseas Pension Scheme (QROPS – pronounced Crops) needs to meet certain criteria.
To get you started you can access a short guide that the Overseas Guides Company has put together which details exactly how this works. It's about what can be done about increasing the income you get, eliminating or reducing the tax you will pay and effectively ensuring that beneficiaries get ALL of the funds upon death rather than just a percentage plus lots more. This may be a good way to start the process - if you are interested in getting a copy of this guide, please go to: http://www.overseasguidescompany.com/downloads/OGCQROPSGuide.pdf
Also, Smart Currency has put out a brilliant FREE relocation report. One of the toughest lessons I learned was that I should have used a currency company to transfer my money abroad rather than my high street bank. Why? Well, this report will explain all that and tell you how to save money…always useful! Go to http://www.smartcurrencyexchange.com/emigrationreport.aspx if you want to access this.
Once again, it’s all down to planning and homework but seriously, 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.
More next week! Please jump in and add anything that you feel may help or that you would like me to discuss won’t you?
Best,
Carol.
http://www.greecebuyingguide.com
What an erratic time it has been weather-wise hasn’t it? After a particularly warm day last week I set off for a long day out, only returning in the evening. I optimistically left my coat at home – MISTAKE! I have learnt the ‘umbrella lesson’ (never leave home without one…!) and I am now rapidly learning the coat one!
I was recently reminded of my move abroad in that a really good friend of mine has fallen into a trap that I narrowly avoided - he left South Africa without actually going through the emigration process. His wife has a British passport so there was no problem when it came to entering Britain, but the problem has arisen now that he wants to transfer the balance of his funds to the UK.
If he had officially emigrated this process would have been comparatively easy but since he did not do so it has become highly restricted and complex. Plus of course there is the added problem of trying to get things done from a distance. For myself, it took me a full month of visits and endless phone calls to tax and government offices 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’ – never lose sight of the personal touch and of being remorselessly pleasant and patient throughout! A few tantrums and ill temper can delay you by weeks as obstructive staff may decide that it’s payback time!
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.
For instance, British pensions – when paying out – are now deeply unattractive. One of the reasons for this is that the income generated by a pension is restricted by the fund it is invested in. Then only 25% of the fund value is available as a tax-free lump sum, plus of course the annual/monthly amount paid is taxed at source. And sadly the final proceeds on death often disappear back to the insurance company rather than going to loved ones.
Alternatives are available and benefits can be extremely advantageous - this is what you need to look into before rather than after your move. In 2006 new EU legislation opened up opportunities for UK pension holders to move their pension abroad, thus giving greater control to the pension holder. However, the scheme, called Qualifying Recognised Overseas Pension Scheme (QROPS – pronounced Crops) needs to meet certain criteria.
To get you started you can access a short guide that the Overseas Guides Company has put together which details exactly how this works. It's about what can be done about increasing the income you get, eliminating or reducing the tax you will pay and effectively ensuring that beneficiaries get ALL of the funds upon death rather than just a percentage plus lots more. This may be a good way to start the process - if you are interested in getting a copy of this guide, please go to: http://www.overseasguidescompany.com/downloads/OGCQROPSGuide.pdf
Also, Smart Currency has put out a brilliant FREE relocation report. One of the toughest lessons I learned was that I should have used a currency company to transfer my money abroad rather than my high street bank. Why? Well, this report will explain all that and tell you how to save money…always useful! Go to http://www.smartcurrencyexchange.com/emigrationreport.aspx if you want to access this.
Once again, it’s all down to planning and homework but seriously, 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.
More next week! Please jump in and add anything that you feel may help or that you would like me to discuss won’t you?
Best,
Carol.
http://www.greecebuyingguide.com
Friday, 9 April 2010
Living in Greece
Hello there!
My name is Carol. I immigrated to the UK - the land of my birth – in 2006, after spending a lifetime in South Africa. I had a serious health scare and it’s funny how something like makes you reassess your priorities isn’t it? It took me a very short time to realise that I wanted to be nearer both my children and their families in London and so I packed my bags, left behind me a wonderful job and many close friends to move here.
Anyway, as luck would have it, my daughter had a friend who was relocating to New York so I moved into her lovely flat for a while. Another friend of my daughter’s bore my CV off to her child’s school where it was picked up by my present boss’s wife…and here I have happily beavered away at The Overseas Guides Company ever since! My friends in SA were disbelieving at first: could it be true that I had a job that entailed visiting, writing about and endlessly discussing the country that I truly love – Greece? And they call that WORK?
Part of my job has been to travel abroad, to have a look at various property options and to meet all the property professionals that many of the OGC readers have come to use and rely upon. Crete, Corfu, the Peloponnese, Aegina, Athens...those are just a few of the places that I visited and established contacts that could offer OGC readers assistance.
I have talked to literally hundreds of folk who are taking the plunge and moving to Greece. I have also contributed to the Greece Property Buying Guide and it struck me that it may just be useful for me to share with you what I have learnt, both from my own personal experiences and from what I have picked up from listening to the many concerns, experiences and tales shared with me on a daily basis by OGC readers.
So do join me weekly as I chat about various aspects of visiting Greece with a view to buying property or indeed just to share a few thoughts on the country that I have been visiting for well over forty years. You never know, there may just be something that will help you, inspire you or just plain bring a smile to your face!
www.greecebuyingguide.com
My name is Carol. I immigrated to the UK - the land of my birth – in 2006, after spending a lifetime in South Africa. I had a serious health scare and it’s funny how something like makes you reassess your priorities isn’t it? It took me a very short time to realise that I wanted to be nearer both my children and their families in London and so I packed my bags, left behind me a wonderful job and many close friends to move here.
Anyway, as luck would have it, my daughter had a friend who was relocating to New York so I moved into her lovely flat for a while. Another friend of my daughter’s bore my CV off to her child’s school where it was picked up by my present boss’s wife…and here I have happily beavered away at The Overseas Guides Company ever since! My friends in SA were disbelieving at first: could it be true that I had a job that entailed visiting, writing about and endlessly discussing the country that I truly love – Greece? And they call that WORK?
Part of my job has been to travel abroad, to have a look at various property options and to meet all the property professionals that many of the OGC readers have come to use and rely upon. Crete, Corfu, the Peloponnese, Aegina, Athens...those are just a few of the places that I visited and established contacts that could offer OGC readers assistance.
I have talked to literally hundreds of folk who are taking the plunge and moving to Greece. I have also contributed to the Greece Property Buying Guide and it struck me that it may just be useful for me to share with you what I have learnt, both from my own personal experiences and from what I have picked up from listening to the many concerns, experiences and tales shared with me on a daily basis by OGC readers.
So do join me weekly as I chat about various aspects of visiting Greece with a view to buying property or indeed just to share a few thoughts on the country that I have been visiting for well over forty years. You never know, there may just be something that will help you, inspire you or just plain bring a smile to your face!
www.greecebuyingguide.com
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