Is investing in property abroad as good as it seems?

Having a holiday home is a dream for many of us, and while it can be a great source of rental income if you let it out, there are many downsides to consider before taking the plunge too.

Here is a list of a few of the pros and cons associated with buying a property abroad:


  • Having a holiday destination booked and ready for use all year round

  • Being able to let the property for a significantly higher amount than standard residential lets

  • You get to enjoy a location you enjoy

  • It can be a good investment

  • You'll be the envy of your friends and family

  • Potential to buy a low value property with a high commercial value


  • If you have a mortgage on your property abroad as well as in the UK, you'll have two significant debts to manage

  • Your rental income may not cover the mortgage payments

  • All maintenance costs are your responsibility

  • The actual cost and return on an overseas property will be determined and swayed by fluctuations in the exchange rate

  • You will feel obliged to holiday in the same place each year

  • You will need a management company - or understanding friends - to deal with the property for you

  • You would have to choose between a 'ski' let and a 'summer' let in most cases

How easy is it to buy abroad?

Investing in property abroad may simply be a way to make money, rather than a reason to go abroad throughout the year. Whatever your reason for wanting to buy outside of the UK you should prepare yourself for a different type of property market.

If you get to the stage that you enjoy being abroad more than being in the UK and feel that a permanent move may be a viable option for you, then read our guide Emigrating? How To Prepare Your Finances For Moving Overseas.