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European Buy To Let. Worth It?

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It's clear that BTL is just not worth it any more in most parts of the UK. Does it still make sense abroad though? I'm specifically thinking about European holiday hotspots, where you can get a decent return in peak season.

What about property prices - are they as unstable as the UK? Is there a general feeling of foreboding? Willl Spanish prices fall further? Are there areas that are still booming? I'm curious, as I know very little about what is happening outside of the UK.

Any thoughts / opinions.... anyone actually do it?

Cheers.

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It's clear that BTL is just not worth it any more in most parts of the UK. Does it still make sense abroad though? I'm specifically thinking about European holiday hotspots, where you can get a decent return in peak season.

What about property prices - are they as unstable as the UK? Is there a general feeling of foreboding? Willl Spanish prices fall further? Are there areas that are still booming? I'm curious, as I know very little about what is happening outside of the UK.

Any thoughts / opinions.... anyone actually do it?

Cheers.

And you ask this here...what kind of answer are you hoping for :unsure:

This is the house price crash forum...is there no forum for BTLers?

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And you ask this here...what kind of answer are you hoping for :unsure:

I thought it was quite relevant actually. Seeing as there are 1000's Of British people involved in it. I'm not a prospective investor (at the moment anyway!) - I'm simply curious about what's happening outside the UK as there seems to be plenty of interest in overseas property from UK residents at the moment.

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Quite a few of us from this forum have done it in Berlin.

I was offered a flat by my contact for £31000 in nice condition with an existing tenant but you wont get a mortgage on it as its too low a sum. Im a bit too tied up with other property to buy this one.

Im looking at selling on a whole block I own for about £120,000 if anyone is intereted!! The yield is more than double UK property.

Year round rent and rock bottom prices. Im now looking into German property in the touristic parts - I didnt realise was a pretty place Germany is and with prices far cheaper than France to which it adjoins.

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Quite a few of us from this forum have done it in Berlin.

I was offered a flat by my contact for £31000 in nice condition with an existing tenant but you wont get a mortgage on it as its too low a sum. Im a bit too tied up with other property to buy this one.

Im looking at selling on a whole block I own for about £120,000 if anyone is intereted!! The yield is more than double UK property.

Year round rent and rock bottom prices. Im now looking into German property in the touristic parts - I didnt realise was a pretty place Germany is and with prices far cheaper than France to which it adjoins.

If the yields are so good and property in Germany is so cheap why exactly do you want to sell your entire block of flats? :unsure:

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If the yields are so good and property in Germany is so cheap why exactly do you want to sell your entire block of flats? :unsure:

let me guess..is it in east Germany :lol: ?

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Quite a few of us from this forum have done it in Berlin.

I was offered a flat by my contact for £31000 in nice condition with an existing tenant but you wont get a mortgage on it as its too low a sum. Im a bit too tied up with other property to buy this one.

Im looking at selling on a whole block I own for about £120,000 if anyone is intereted!! The yield is more than double UK property.

Year round rent and rock bottom prices. Im now looking into German property in the touristic parts - I didnt realise was a pretty place Germany is and with prices far cheaper than France to which it adjoins.

MAy I ask why you are selling?

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let me guess..is it in east Germany :lol: ?

You know the best tool an investor can have is knowledge of an asset that 99% of people dismiss out of hand.

Its just brilliant for me that 99.9% of Brits think E Germany is a dud :P

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If the yields are so good and property in Germany is so cheap why exactly do you want to sell your entire block of flats? :unsure:

To release capital to develop further property over there. Its the only gold mine Im ever likely to come accross again. What makes it such a goldmine? Poor sentiment amongst the locals of course ;)

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BTL is probably more difficult in continental Europe as the regulation is more in favour of the tenant.

Property markets are a lot less liquid, and in some countries like Spain or Portugal, there is no rental market (unless for the people you precisely don't want in your property).

In Germany or even France, renting is widely accepted and the break clauses are far longer, plus you cannot evict tenants easily. You often have cases where the tenant is not paying rent for 2 years and yet is still in the property. At a big loss to you .

That is why the yields appear higher but the so are the risks.

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I was offered a flat by my contact for £31000 in nice condition with an existing tenant but you wont get a mortgage on it as its too low a sum. Im a bit too tied up with other property to buy this one.

What's the monthly rent on that? Are the rents fixed? What are the costs?

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It's clear that BTL is just not worth it any more in most parts of the UK. Does it still make sense abroad though? I'm specifically thinking about European holiday hotspots, where you can get a decent return in peak season.

What about property prices - are they as unstable as the UK? Is there a general feeling of foreboding? Willl Spanish prices fall further? Are there areas that are still booming? I'm curious, as I know very little about what is happening outside of the UK.

Any thoughts / opinions.... anyone actually do it?

Cheers.

La Manga? Buy 3 bed apartment for 300K, put 100K down, rent at an average of £500 per week for 50 weeks of the year? What's that 10% yield? Apparently the place is always in demand due to 'aspirational tourists' - soft tw@ts who probably think they'll bump into Wayne and Colleen :blink:

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Quite a few of us from this forum have done it in Berlin.

I was offered a flat by my contact for £31000 in nice condition with an existing tenant but you wont get a mortgage on it as its too low a sum. Im a bit too tied up with other property to buy this one.

Im looking at selling on a whole block I own for about £120,000 if anyone is intereted!! The yield is more than double UK property.

Year round rent and rock bottom prices. Im now looking into German property in the touristic parts - I didnt realise was a pretty place Germany is and with prices far cheaper than France to which it adjoins.

7% yield? I'll give you 70K ;) What did you pay and when did you buy?

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http://www.ft.com/cms/s/48cca8b2-2348-11dc...0b5df10621.html

This is in line with what a lot of people on here have been saying

****

Cerberus, the US private equity group, is to sell off a large property portfolio in Germany. The portfolio consists of 20,000 flats formerly owned by trade unions that it bought for €1bn in 2005.

“Cerberus is disappointed by the investment,” a person familiar with the situation told FT Deutschland. The returns Cerberus had hoped for had not been achieved, the person said, adding that the fund might even have to inject fresh capital.

The US group would be the first big investor to exit the German property market, which attracted a swathe of private equity firms a few years ago. Investors including Goldman Sachs, Blackstone, Terra Firma, Morgan Stanley and Fortress spent about €20bn ($27bn, £13.4bn) buying more than 600,000 properties in Germany.

Their deals were mostly financed with debt. Investors expected rising rents and quick returns on sales to tenants, but are increasingly facing problems.

It is difficult to increase rents outside urban areas in Germany and investors are not achieving the margins they had hoped for by selling properties to individual tenants.... continues

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I was at the gardeners world/good homes/good food show the other week, plenty of stalls in the homes bit from companies selling properties abroad, I stopped to read the marketing....

Apparently you can make money from buying properties in spain! :lol::lol::lol:

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