John Everitt is a consultant to Globespan European property portal. Please visit our estate agents directory

Source: http://www.articletrader.com ]]> http://www.articletrader.com/finance/real-estate/advice-on-buying-croatia-property.html http://www.articletrader.com/finance/real-estate/advice-on-buying-croatia-property.html Wed, 25 Jul 2007 00:00:00 -0500 Istria
Easy and inexpensive access, including by public transport from Italy. Istria is often called "the Croatian Tuscany" - there are lovely historic coastal towns (Porec, Rovinj, Pula) whilst the interior is very picturesque. The climate includes warm summers and cooler winters. Property is quite expensive due to high demand and Istria's proximity to the rest of Europe.
Kvarner Riviera
The main town is Rijeka, which has an airport on the nearby island of Krk and also has reasonable access from Zagreb (bus/train journey is just over 3 hours). Lovely coastal resorts include Crikvenica (one of the Croatians' favourites), Kraljevica and Novi Vinodolski. The climate is warm in the summer but some winter days can get quite cold. Bargains are hard to find as this area is close to the Croatian interior and therefore popular with many Croats.
Nothern Dalmatia
Some lovely historic towns (Zadar, Sibenik, Trogir) with small coastal resorts between them. Warm in the summer with mild winters, although some strong winds occasionally. Some bargains to be had, particularly in the smaller towns!
Southern Dalmatia
The main town is Split, with good transport links by ferry to the Italian port of Ancona. Rather long journey times if travelling to/from Zagreb by bus or train. The Makarska Riviera and the ancient town of Dubrovnik are amongst the most attractive places, although both these locations are quite expensive to buy property, especially due to the popularity of Dubrovnik. Very warm summers and mild winters.
The Islands
There are thousands of them - just take your pick, although only about 60 are inhabited. On the other hand, if you are really determined, you could splash out and purchase a whole Croatian island of your very own!
Inland Croatia
Zagreb, as the capital, is where property can get very expensive, although it is, of course, still cheaper than comparative property in other European countries. Many smaller towns in Northern Croatia, in which property is very cheap, are close to Austria and Hungary and might be suitable for those wanting the quiet life.
Advice on purchasing Croatia Property
If you decide to purchase a property you will need a proof of citizenship: your passport has then to be notarised in Croatia.
Legal Fees and Taxes
and The property transfer tax in Croatia is currently 5%.
If you buy newly-built property like off plan apartments, this 5% will be levied just on the cost of the land.
If the property is older, the 5% will be on the entire property value.
Mortagages
At the present time, mortgages are not available to foreigners in Croatia secured on property in Croatia.
The Contract
On the assigned day of completion, the buyer and seller (or their authorized representatives) will be presented at the office of the Notary (Javni Biljeznik) to sign the title deed (Ugovor or Kupoprodaji Nekretnine).
The Croatian Notary does not check any terms when buying property in Croatia, but certifies that both parties have agreed to the terms stated, (the Notary is in place to witness both parties' signatures). At that stage your agent will prepare a copy of your contract and all other (see below the list of documents needed) necessary documents to be sent to the Ministry of Foreign Affairs of Croatia.
A clause in the contract allows you to take advantage of your property with immediate effect while you wait for the paperwork
When acquiring a property in Croatia, foreign citizens need to obtain the approval of the Ministry of Foreign Affairs of the Republic of Croatia.
This is a formality that requires 12 to 18 months to complete.
Applications are not refused unless the individual has an adverse history with relation to Croatia.
In Croatia the ultimate proof of ownership is entry of the owners name in the local Land Registry (Zemljisne Knjige) on that specific property.
The local courts will not allow a foreign citizen to be entered in the Land Registry without the MFA approval.


Here is a list of the documents, which have to be supplied to the MFA when requesting an approval to purchase property in Croatia: The sales contract;
An excerpt from the land registry for the particular property (In Croatian ZK izvadak). This document is usually obtained in each municipality (Opcina) at the local municipal court (Opcinski Sud); it's land registry division (Gruntovni Odjel);
A document from the local municipality (Opcina), from the following department: "Ured za prostorno planiranje". The document is called "Uvjerenje o namjeni", for the particular property;
Proof of citizenship for both buyer and seller (photocopy of passport); any photocopies have to be notarised by a Croatian Notary Public.
When buying property in Croatia, a clause in the contract safeguards your finances, protects your rights and allows you to take advantage of your property with immediate effect while you wait for the paperwork.
Once the approval arrives from the Ministry of Foreign Affairs of Croatia your agent will fax it to the local Land Registry and confirm you as a new owner, then the final step is to pay the tax for your new property in the Taxation Office.
These guidelines are meant for guidance only and describe a straightforward purchase scenarios. However this information is not meant to replace proper legal advice, which we always insist you take.


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John Everitt is a consultant to http://www.globespanproperty.com/ Globespan European property portal. Please visit http://www.globespanproperty.com/agents_directory.php our estate agents directory

Source: http://www.articletrader.com ]]> http://www.articletrader.com/finance/real-estate/advice-on-buying-bulgaria-property.html http://www.articletrader.com/finance/real-estate/advice-on-buying-bulgaria-property.html Tue, 24 Jul 2007 00:00:00 -0500
With new, off-plan developments it is not necessary to own part of the land or set up a company as buildings can be owned by foreigners.

Bulgarian Property hotspots
The Black Sea Coast
With a climate similar to northern Spain and golden sandy beaches aplenty, the Black Sea coast is a popular destination with holiday makers and property buyers alike.

Property prices along the coast have increased rapidly over the past 12 months and continue to do so. However, 65,000 euros will still be enough for a one-bedroom apartment on the coastal strip of Sunny Beach, les in less popular resorts.

Sofia
Bulgaria's capital is where those with an eye on making a profit will undoubtedly find themselves drawn.
New one-bedroom apartments can be bought from 55,000 euros, while on the city's outskirts, prices are closer to 20,000 euros. However, the cost of Sofia apartments are almost certain to rocket in the coming year, as the country moves closer to joining the EU.

Bulgaria Ski Resorts
About 30 per cent of Bulgaria's territory is occupied by mountain areas. Of these, the Rhodope, Rila and Pirin mountain ranges all offer fantastic ski resorts between October and March, one of which could be in the running to host the 2014 Winter Olympics.
Prices of apartments in Bulgaria's ski resorts vary from between 40,000 euros for one bedroom, to 75,000 for two bedrooms.

Plovdiv
The country's second biggest city behind Sofia, Plovdiv has slowly started to generate a trickle of interest with British buyers. Property prices are still extremely cheap - a two-bedroom house could cost as little as 15,000 euros - although rental potential is still limited.

Legal fees & costs of buying property in Bulgaria
Legal fees & costs on purchase price totals around 5%
This includes
Solicitors fees usually 1%
Notary expenses are approximately 2%
Notary fees varies, but usually are less then 0.5-0.8%
Stamp duty of 2%
Land registration tax of 0.1%
Time scale for the entire process is around 30/40 days.

These guidelines are meant for guidance only and describe a straightforward purchase scenario. However this information is not meant to replace proper legal advice, which we always insist you take.


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John Everitt is a consultant to Globespan European property portal. Please visit our estate agents directory

Source: http://www.articletrader.com ]]> http://www.articletrader.com/finance/real-estate/advice-on-buying-canary-islands-property.html http://www.articletrader.com/finance/real-estate/advice-on-buying-canary-islands-property.html Tue, 24 Jul 2007 00:00:00 -0500
A 10% deposit is normally required on a resale property.The vendor and the purchaser must sign a contract which will include a completion date and the method and dates of payment.
Your estate agent or solicitor then has the responsibility to gather all up to date receipts to confirm there are no debts on the property.

These documents include:
Nota Simple (Confirmation of ownership and any mortgages or embargoes)
I.B.I. (Local council rates)
Electricity and water receipts up to date
Community fees receipts up to date, signed and approved by the President of the community of owners and the secretary
Copy of the deed (Escritura)

Without the original of these documents on the day of completion a Notary will not sign the deed unless it is clearly stated that you are aware that certain receipts were missing.
Should there be a mortgage on the property, this will be cancelled and the cancellation registered on the same day that you sign at the Notary.
Advice on Taxes and Legal Fees
These are in addition to the sales price and range between 8-10% of the new declared value on the escrtitura. They are as follows:
Transfer Tax
5% (I.G.I.C.) of the official (declared) value, when you buy a NEW build property
or 6.5% ((Impuesto sobre Transmisiones Patrimoniales y Actos Jurídicos Documentados- Mod 600) when you buy a RESALE property from a private owner.
Title Deed
(Documented Legal Acts Tax) (Impuesto de Actos Jurídicos Documentados) 0.5% of the declared value
Title Deeds
A Spanish Escritura, the equivalent of title deeds in the U.K., is a more complicated business than similar documents in other E.C. countries. The document consists of several pages and contains details of the property including number of bedrooms and bathrooms, the size in square metres of each room and any terrace, garage or garden space. It also contains the names and ID numbers of both seller and buyer and the purchase price.
Land registry fees
This fee is about 0.5% of the declared value
Notary Fees
This fee is about 0.75% of the declared value The Notarial charges for preparing the Escritura and presiding over its signing are set by law on a set scale depending on the property value.
Lawyers fee
Depending on the time and work involved normally a fee of between 1 - 2% of the purchase price may be requested.
Plus Valia Tax
The Plus Valia Tax is a type of capital gains tax, based on the increase in value of the land and not the increase in value of the property. It is strictly speaking, a tax payable by the seller, but in practice the purchaser is normally asked to pay all fees and taxes due on transfer of property, this can be negotiated at the time of sale. This is a tax levied by the Town Hall and is based on the surface area of the land and is calculated at various rates on the annual increases in the value of the land since the previous sale, on the cadastral value and on the date of the previous escritura.
Guide to Mortgages
Non-residents can obtain between 60 to 70% of the bank valuation. We must point out that banks in the Canary Islands do not value a property the same as in other countries. Rebuilding costs play an essential role in the official valuation purpose of mortgage loans
Costs involved
Valuation will cost approximately 210€
1% mortgage opening commission
Insurance will vary from 120€ to 240€ per year.
Notary and registration of the mortgage

Advantages:
Provided you submit the requested financial information, it should be in place within 10 to 15 working days.
The financial information required is minimal
Amongst the lowest interest rates in Europe, currently approximately 3.75%
Banks in the Canary Islands will finance you a percentage of the valuation, NOT of the real selling price, sometimes higher than the buying price
Frequently asked questions

What is a sales agreement?
A private document signed between the buyer and seller. It must reflect true ownership, legal definition of the property, the exact dates of payment, currency of the transaction (euros, pounds, dollars etc) completion dates and penalty clauses. We strongly recommend that the vendor commits to paying double the amount of the deposit paid should he withdraw from the contract. There would also be a penalty paid by the purchaser in the amount of the deposit held should he withdraw from the agreement.
Is it easy for a foreigner to obtain a mortgage?
Yes, Provided you can submit basic financial information to them, getting a mortgage here is much easier than in most European countries.
Other costs involved in owning a property in Tenerife

LOCAL RATES Local rates are payable annually, and are calculated from the rateable value of the land assigned by the local Tax Office.
RUBBISH COLLECTION
The rubbish collection rate is applied by the Town Hall according to the property and payable every 6 months.
WATER RATES
Water consumption is calculated by the water meter and is payable every 3 months. Payment can be made directly at the Town Hall or by bank with direct debit instructions
COMMUNITY FEES
Properties on some complexes will have an annual community charge to cover costs of general maintenance, pool care, gardens, reception etc. Depending on the size of the development and the services offered, this can vary between £800 and £1200 per annum. Other complexes will not share services and there will be a minimal fee to cover street lighting etc.
ELECTRICITY
Charged bimonthly with minimum rates applicable (whether you are in residence or not). Don't forget you use a lot less electricity in Tenerife as no heating is required.
TELEPHONE
Charged monthly. Standard rates vary according to equipment installed, but can be in the region of £9 per month including a touch-dial telephone. Broadband internet connections are available in Tenerife.
These guidelines are meant for guidance only and describe a straightforward purchase scenarios. However this information is not meant to replace proper legal advice, which we always insist you take.


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John Everitt is a consultant to Globespan European property portal. Please visit our estate agents directory

Source: http://www.articletrader.com ]]>