Talk about shooting yourself in the foot

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This topic contains 7 replies, has 6 voices, and was last updated by Profile photo of Igurisu Igurisu 3 years, 7 months ago.

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  • #57441
    Profile photo of marios
    marios
    Participant

    People fear a Cyprus-style grab’: Expat exodus from Spain as deadline for Britons to declare property and savings at home arrives

    Read more: http://www.thisismoney.co.uk/money/mortgageshome/article-2317127/Expats-head-home-Spain-forced-declare-overseas-assets.html#ixzz2SA0xJHAj
    Follow us: @MailOnline on Twitter | DailyMail on Facebook

    http://www.thisismoney.co.uk/money/mortgageshome/article-2317127/Expats-head-home-Spain-forced-declare-overseas-assets.html?ico=money^editors_choice

  • #83118
    Profile photo of Igurisu
    Igurisu
    Participant

    Meanwhile, Portugal is encouraging expats to up sticks and move there, announcing that any new residents will not have to pay tax for the first five years

    Slick thinking by the Portuguese there I think 🙂

  • #83115
    Profile photo of Anonymous
    Anonymous
    Participant

    Yes, don’t be fooled by this. Portugal is no tax haven and what happens after the five years. Oiut of the pan into the fire comes to mind.

  • #83103
    Profile photo of angie
    angie
    Spectator

    5 years tax break would not inspire me to buy Portuguese property, 5 years flies by, the Eurozone problems could continue much longer, and then people will rush to sell these properties, I’d feel safer buying in the UK, renting it out for 5 years, and renting to live in Portugal if it was all about sun and lifestyle 🙄

  • #83104
    Profile photo of marios
    marios
    Participant

    I have my own dilemma, my own house here in UK is remortgaged near to the maximum and we have a Spanish mortgage our intention is to move in 2 years time, if I sell would get only a few thousand spare from the sale, our intention is to move to Spain and run our own rental saving us about 8000 euro and we have a Co in the UK that takes our villa off us for a set fee for 7 months and we would live in it for 5 months renting for seven. At the moment the money from the rental pays my Spanish mortgage circa 12,000 euro per yr so it does pay its way and I do have a good pensions and have worked out we could easily manage in Spain.

    Me personally I would carry on working I have a good job in the uk and so does the wife but she wants to stop working in 2 years when she will be 59 and me 63 and we could not lose one wage and fund 2 properties.

    So the dilemma is do we rent our house (4 bed detached) or sell it, I’m weary of UK property prices rising the big issue being its on Interest only to run about another 4-5 yrs then it has to be changed to repayment which would be a big draw on our finances put that with all the issues over in Spain I would prefer to sell but as you know its just the wrong time.

  • #83106
    Profile photo of Anonymous
    Anonymous
    Participant

    Marios, I can’t work out if your dilema is to sell your Spanish property, or your UK home?

  • #83108
    Profile photo of logan
    logan
    Participant

    The answer is keep the UK house as long as you can and rent it out long term. The UK is slowly becoming a safe haven financially and that’s likely to continue.

    Europe and especially Spain is toxic, has an uncertain future and could possibly collapse completely.

  • #83086
    Profile photo of marios
    marios
    Participant

    @mark wrote:

    Marios, I can’t work out if your dilemma is to sell your Spanish property, or your UK home?

    Yes Mark I would like to sell my Villa but I obviously will not get what I paid to buy the land and build so that’s a non starter, it is a good business that would give someone a good cash return but for me its just paying down the mortgage with a little to spare providing no issues with the villa.

    So the question was do I move and sell up or rent the UK property but bearing in mind if I start paying for a repayment mortgage well actually a buy to let(from a interest only)they may not give me one as you usually need a fair sized deposit, I suppose the other way is to sell the house and buy a flat and rent that out.

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