Recent studies have shown that many UK expats currently residing in France and Spain are returning home due to the financial hardship these countries are facing.
Results of the study, undertaken by HiFX, show that one in 10 UK Citizens holding or living in overseas properties are looking to sell up, if possible. Almost 50 per cent of those planning to return to the UK have Spanish homes, with 25 per cent owning houses in France.
The two countries are the most popular for UK expats, both for the perceived charms of expat life and as hubs for second homes to escape the British winter. Spain is suffering from the euro crisis, with property values still falling, and the new tax increases in France are causing homeowners to reconsider their positions.
Second-home owners in France who rent out their properties for periods during the year have been hit by a rise in rental income tax from 20 to 35.5 per cent, and capital gains tax levied on property sales is up from 19 to 34.5 per cent. At a time of falling property values, many expats believe it’s the best idea to sell, even at a loss.
Especially in Spain, which now has a glut of unsold properties; many UK expats are struggling to sell at any price, although others are determined to hold on due to soaring property prices in the UK. A third of owners whose homes are on the market have waited over a year without any offers, with eight per cent of homes still unsold after two years.
So one stop shopping is important here for property portals. If they are looking to sell in their adopted country and buy in the UK. Wouldn’t it be nice if the same portal offered both listings; an International section is a must for 2013. For a turnkey solution, give ListGlobally.com a look.