How to Buy Property Abroad

If you’re moving to a foreign country, you will need to purchase a house before you get there. But don’t worry, as purchasing a house abroad isn’t beyond the realm of possibility. Of course, there are some legal, financial, and cultural obstacles along the way; however, these obstacles will be easy to handle once you know the process of buying a property abroad. You might find a lot of options in the real estate market of that foreign company, so you’ll have to find a way to narrow down your options to make your purchasing decision easier. In this guide, we’ll help you on how you can buy a property outside your country.

Search the Market

It might sound like you’ve searched every nook and cranny of the market to find the best houses overseas, but due to the fluctuating nature of property prices, better options might already exist in the market even if you’ve just done your search. This is why you will always have to look through real estate markets in different areas of the country you’re planning to travel to. Also, property prices in your area are irrelevant to property prices in other countries. The rise in prices in your country, for example, may not be affected in other foreign countries. This can prove profitable, especially if you’re looking for investment options, as you can buy a house when prices are low and sell it when they are increasing again. Depending on where you want to live and the type of house you’re going to buy, prices will also be drastically different. In any case, make sure to know your legal rights to buy a house in that country, so as not to fall victim to scams.

Financing Options

Unfortunately, mortgages aren’t an option for property buyers in countries other than the U.S. That’s why you’ll have to start thinking of other options to finance your new house. U.S. banks won’t lend you money to pay for abroad purchase either. Thus, a buyer might find a perfect house for sale abroad but won’t have the proper means to pay for it. In that case, there are three viable options to consider, so make sure to take a look at them.

  • Cash

There’s nearly no one who would refuse a cash payment. They do have their merits, such as instant purchase, discounts, and upgrades. However, they can also pose a great risk to you if you choose a house that hasn’t been fully constructed yet. Cases such as these mean delays in getting your purchase. If the seller runs into technical or financial problems, chances are there will be more delays and you won’t be able to take your money back. This, in turn, will hinder your plans, whether you were planning on using the house as an investment property or a rental


SDIRA (Self-Directed IRA) is another good way to finance your property overseas. Self-Directed IRAs only emphasize what you cannot invest in (like stamps and antiques, for example), which means that you can use your SDIRA on multiple assets and that includes— you guessed it—financing your real estate property abroad. However, you will only be able to use the property as an investment. You can neither rent the house to yourself nor use it on holidays. At least not until you can receive distributions from your account

  • Developer Financing

Developer financing usually involves little paperwork, no minimum age requirement, and, in some cases, no interest. However, financing plans might vary. For example, one plan might require that you make fixed payments and that you stick to your deadlines. Other plans are designed in accordance with the construction stages of the house. For example, you might pay 10% every six months until the project is completed.

Hire a Translator

Hire a Translator

Naturally, you’ll have to hire a translator or an interpreter if you don’t understand the language of that foreign country. When you buy a property abroad, you will receive documents that might be in a foreign language or could be mistranslated. In any case, don’t leave anything to chance and make sure that you hire a translator who can render all relevant documents into clear English. Also, make sure that the translator you hire is independent that he can accompany you to all meetings related to legal and financial matters.

Once you pick the best house for you abroad, it should be easy to move from there. Be sure to provide a financial plan that accommodates your financial situation. Also, go over the terms and conditions of your overseas purchase and consult a lawyer on your purchase, as he will be more privy of these unfamiliar details and prevent any potential legal problems.