Five interesting tips for buying

Do you want to buy a second home? Read below some tips that can come in handy if you are going to buy a second home. If you take into account the following points of interest, you will enjoy your second home in the long run!

Buying a second home: What can I afford?

We don’t want to scare you off, but we do want to avoid the possibility that you will impulsively decide to buy a second home and may end up in financial trouble. Buying a vacation home abroad seems wonderful and it is. But there are other costs involved, besides the purchase price. Just think about gas, water, maintenance costs and airfare. Buying a second home is a long-term investment. Before you start, you should make a good overview of your future expectations, both personally and financially. That way, your vacation home will be a virtue and not a burden.

Buying a second home: Apartment, villa or chalet?

Do you choose an existing vacation home or a new one? A villa or an apartment? A large garden or not? A property in a vacation park or on an individual piece of land? If you are going to buy a vacation home, these are things you need to think about carefully. For example, an old vacation home involves more maintenance and specific rules apply in vacation parks. The same goes for the country where you buy a second home. Therefore, it is advisable to be guided by an expert when buying your second home. This expert can be a real estate agent who has a lot of experience in a particular country or region, or an external person. This will cost some money but it will undoubtedly save you problems afterwards.

Buying a second home: What about taxes?

If you are going to buy a vacation home in your own country, you have the advantage of being well-versed in many rules and regulations. Abroad, it’s a different story. Make sure you have sufficient knowledge of a particular country’s tax laws before buying a second home there. Also keep in mind possible currency differences. During the Second Home Expo, several lectures will be given on the purchase of a second home and the tax aspect involved. A good way to get informed and get in touch with an expert.

Make a realistic expectation of the expected return

Many people purchase a second home with an eye on getting a nice rental return. You can certainly earn something from a vacation home but it is important not to focus on this. Return partly depends on the type of vacation home, its location and accessibility. Something you should therefore take into account when buying a vacation home. There are also the projects with a guaranteed return, check carefully whether this return is real and what is and is not included.

Insure your second home against contingencies

Buying a second home is a costly investment. Even with a well-thought-out financial plan, you’re not there yet. It is important to properly protect your vacation home at home or abroad against unforeseen issues after the purchase.

For example, if you are buying an apartment whose realization has yet to start, make sure you know well how the completion will happen and if there will be financial compensation in case of any delays. Or suppose you are buying a second home in a region that may face extreme weather conditions: then it is important to provide proper insurance. Such things are very important to consider when buying a second home.