If you know you are going to be living in London for a few years, you may want to consider buying a property instead of trying to find a flat in London for rent, which will not give you any return on investment. The property market in England and London in particular is complicated, so you might want to get to grips with the way things work before buying a London home. It is true though that property is an excellent investment and if you manage to buy in an area in London that is set for future development then you could end up making a lot of money.
The first aspect of buying a property in London is whether it will need to be financed with a loan. Most people will apply to a bank or financial institution before they start looking at properties, so they have a good idea as to how much they can spend before they start. This is a legal document that will be provided to you by the bank and is known as an ‘in-principle mortgage agreement’. It does give you some sway when making an offer on a home because they seller will be aware that you are able to get financing quickly. There are also extra costs involved when you find a flat in London, such as stamp duty tax and conveyancing fees. These can reach thousands of pounds so make sure that you have extra money available to cover all of the taxes and duties that are required by English law.
Once you have established the amount of money that you have available to buy a property, the work of finding available properties begins. You need to establish which area you would like to live in based on the needs of your family. Transport will probably be an important factor in choosing a property as well as schools, parks and other amenities. Be aware that you will have to pay council tax on your home after you have bought it, and this can differ tremendously from area to area, so check on the amount of tax you’ll have to pay before you buy.
You can buy property through an estate agent or directly from the seller, in both cases you will still have the final agreement drawn up for you by a lawyer that specialise in real estate and conveyancing. A conveyancing attorney will handle the transfer of funds from the mortgage lender as well as paying all of the stamp duties and taxes that are owed. They make the buying of property much easier and your attorneys will communicate directly with the seller’s attorneys so that everything is handled smoothly and efficiently.
Buying property is a major investment, but if you are going to be living in London for a number of years or are looking for an investment opportunity then buying a property makes the most sense. When you find a flat in London and when you return to your country of origin, you will have a great rental property that will provide you with an income.