I am pretty set on moving out to Europe (specifically London), when I graduate. My plans are to start my real estate investing career over there, where I will buy my first multi-family, buy and hold properties etc. I follow a few developers from London and they do some incredible work. - Has anyone ever had any deals in London or Europe? Does anyone know of anyone who have properties over there and are doing well? What are the differences, if any?
@Theresa Amouzou There is a huge difference from country to country in Europe, so I would try to get in touch with investors in UK spesifically.
One major difference between the US and Norway for instance is the fact that offers are binding. When you bid on a house it's like an auction. The highest offer wins, and you cannot back out of the offer once you've made it.
Finally be wary of immigration laws and health insurance/benefits. Are you transferring as an employee of a company or are you doing it on your own?
Don't invest in Europe.
It doesn't work like in the US.
Prices are way too high, rents too low, they will tax you to death on rental income(Portugal is 28%, Germany is 40%) and there is red tape from here to Mars.
@Ingrid J. Hi Ingrid, I will be doing it on my own. Thank you so much for your input, ill keep that in mind. Maybe it will be better to get in touch with the investors there and get an idea of how it works. Find a mentor there maybe would be smart before i get into anything.
@Diogo Ferreira do you think it would be better to start in the US then work my way over there? As I begin to understand the market there better. Thanks for your advice. going to keep this in mind as well.
Stay invested in the US. I created a whole channel to educate foreign people to invest in the US. Europe is for "appreciation"... It does not cash flow. Properties are all way overpriced and the rents are way too low. The only thing you see here is AirBnB, that defeats the whole process of investing. Happy to talk if you have any further questions. At this time i am trying to figure out a way to get out of Europe and get in the US, bringing value with my experience. Here is good for vacations, that's all.
@Diogo Ferreira thank you for your honest advice. Will very much think through this. I will contact you if I have anything further questions, I am sure I will have plenty.
Firstly if you have the opportunity to start now do it immediately. You only start making returns when you start investing so the sooner you start the better off you will be. Equally having experience over there and the extra capital will always be beneficial.
Secondly I'm in the UK and have been involved in property investing for almost 15 years. There is cashflow to be made in the UK but like all countries there are better and worse placed to do this. e.g. London is awful for cashflow (probably the basis for Diogo's comment) but better for stability and growth than some of the high yielding areas away from the capital.
When you are over in the UK I'm in West London and always happy to have a chat if you have questions....
@Charles Maxwell Hi Charles, I guess it is possibly to invest and produce cash flow out in the UK. (As I presumed !) I'm happy to hear this because I am very set on eventually moving over there. I'm guessing Diogo had a different experience. I respect his advice but I am hoping to connect with investors over in London ( a few I have my eye on) and see if there is a potential mentorship relationship I could form.
I am planning to be out in London during the Christmas holiday. I have a few weeks off from school, so I will stay to get to know the areas and connect with people. Yes, I would love to have a chat. I will send you a message in the next two months to connect. Thank you so much, very appreciated.
Like i said, investors don't especulate. If you are looking to buy low cap rates, Europe is the place, but if you are looking for cash flow its US
@Theresa Amouzou Can I ask: why the UK? Is it a spiritual thing where you wish to go somewhere else and live abroad? Or is it a financial manner in the sense that you can't find any good deals at home.
@Ingrid J. I love the UK, I have always wanted to move out there, so I would very much like to become successful in my real estate career over there. Thats why I wanted to get information on any UK investors that have had success or failed. I follow a few firms out there, Northacre and Grosvenor to name two. i love their work
@Theresa Amouzou I see. The UK is beautiful and there are many great places to see over there.
Be sure to investigate immigration policies properly before you go. Like how you get hold of a work permit or green card. Me and my boyfriend are in the process of investigating our move to the U.S, and it's been a lot of paperwork so far. In fact, we will probably have to get hold of an immigration attorney before we move, as there are strict requirements for any foreign citizens applying for green cards. And that's with me being a U.S. citizen to start with.
When I was in Spain, quite some time ago, I was told that you need 50% down to buy a house and that the percentage of renters is much higher there than in the US for that reason.
I've been to some other countries, where foreigner are either restricted from owning real estate, or outright prohibited. I've been in a country where nobody can own real estate.
But the best of all was Turks and Caicos, where there is no income tax, no capital gains tax, no real estate tax and no inheritance or estate taxes, if that doesn't encourage real estate investing, I don't know what will.
@Ingrid J. I will be sure to look into that. Thank you so much for your help, definitely has given me a perspective. I have a lot to learn about the markets there. I will look into getting a mentor from there.
Depending on the amount of capital you have and what type of investing you want to do in UK, you may want to consider starting here and moving when your investment income can cover your starting costs in the UK. I have visited UK & much of Southern Europe, and for sure there are many beautiful aspects. But if you are a US citizen with no family connections to Europe/UK, it's going to be hard to obtain residence and work authorization. There are some "investor" visa categories (as there are for the US), but usually looking at a high six or low seven figure USD amount to make it a go.