When individuals are considering purchasing homes abroad, there are many issues for them to bear in mind. Often, they engage in such activities as a means of making money, but in order to achieve this, they have to be savvy.
One of the factors they must consider is foreign currency exchange. Rates have changed considerably over recent times and the pound has fallen in value against many currencies, an article in the Financial Times points out.
The publication noted that whereas in 2007, consumers in the UK could get €1.5 to the pound and 2.4 Swiss francs, this had fallen in September this year to 1.14 and 1.37 respectively.
This has made buying abroad more expensive and it also makes finding the best money transfer services all the more crucial.
Meanwhile, the newspaper went on to claim that with the cost of purchasing a holiday home in Europe now far greater than before the banking crisis, many cash-rich consumers are now opting to take out euro-denominated mortgages instead. This can reduce the cost of buying in other countries.
Commenting on such strategies, Simon Smallwood from International Private Finance said using debt that is denominated in the same currency as properties are valued in provides people with greater natural protection against exchange rate moves.
Despite such issues concerning foreign currency exchange, people have not been deterred from purchasing second homes overseas. The Financial Times pointed to research conducted by World First that showed popular destinations like France, Italy and Spain are still attractive.
The firm found that property-related transfers in Spain by Britons were up 68 per cent in July this year compared with the same month in 2010. Meanwhile, they were up 20 per cent and 34 per cent in France and Italy respectively over the past three months.
People keen to make use of money transfer services and other provisions can source assistance quickly and easily over the web.
About Author
The Article is written by currencies.co.uk providing best exchange rates and international money transfers Services. Visit http://www.currencies.co.uk for more information on currencies.co.uk Products & Services
___________________________
Copyright information
This article is free for reproduction but must be reproduced in its entirety, including live links & this copyright statement must be included. Visit currencies.co.uk for more services!
