Such investment is usually welcomed by the foreign local community, as the injection of cash usually benefits the region. However some countries/regions have legislation which prevents foreigners owning such investment/holiday property.
Many from Northern Europe and the UK have bought property in Southern European countries, most notably Spain. Such property is predominantly used as either a dedicated retirement home or holiday rental property. Over the last couple of years, there has been an increase in the number of people investing in Eastern Europe. The regions stability coupled with affordable property prices make the area an attractive proposition, especially as such investments are likely to yield big returns should the country then gain membership to the EU.
The advent of the internet has also contributed to the number of people buying abroad. Before property websites existed, the search for the perfect foreign property was expensive and exhaustive. However today a number of sites provide information and property searches, removing previous barriers to entry and offering a degree of choice before really spending any money.
Revenue turns gaze on owners of holiday hideaways ; Identifying who owns property abroad could be huge task for taxman. Colm Keena reports
Jun 18, 2004; The Revenue Commissioners have managed a fantastic public relations job in recent years, scaring tax dodgers into coming forward...
Property Abroad: Great Escape for Home Buyers ; More and More of Us Are Buying Property Abroad, Either as an Investment, or Simply as a Holiday Getaway, Says GINETTA VEDRICKAS
Apr 27, 2002; Welcome to The Independent's guide to buying overseas property. We hear much of the strength of the current British housing scene...