House with a plot over the sea for 4.000 EUR what is the truth
Seeing such price, everyone is wondering where is the catch and what is the thing, mayby somebody made a mistake with one or more zeros or maybe it is a marketing trick and it is a first installment or the amount of the credit installment? Here everyone of us is thinking and analysing...
I will not be fooled by simple tricks or manipulations so I prefer to check it.
Well, checking an actual status is simple and quite easy to verify. Just look at the portals which are presenting the foreign real estates, analyze the offers of houses sell prices in the european countries or even in the world to quick find out that it is the sincerest true, but if it is so, then in what country and is it safe?
Here is a surprise, the country like that is in Europe, completely safe, guarantees the property ownership also for the foreigners, the country which is a member of the European Union and even NATO, in the warmer than our climate where by minimum 1.700 hours in a year the sky is clear and the sun is shining, people are friendly and hospitable there, the houses over the sea with an average size about 120 m2 and plots from 2.500 to 4.000 m2 we can buy for a few salaries according to the polish national average that is for pennies because even for 3.900 EUR which in calculating on PLN shows the bid price even 14.000 PLN.
But what kind of house can cost so little? Cottages and wooden or year rounded and masonry, and what with a standard of such houses?
Yes – that question is next for us, so let`s think logically and the answer will once again appear naturally. Well, for these 3.900 euro in Poland we can buy perhaps movable properties because even on the polish eastern borderlands such price is impossible to achieve, simply there are no such opportunities in Poland, so with a small investment wallet I can really buy a house with a large plot outside the country. It sounds exotic but if it is true it is probably to the general renovation.
I am looking through the houses offers and it turns out that it is so, that is that there are houses and in addition masonry! But why they cost so little?
But, but – oh I know, these are often houses built at the forefathers time and now inherited by the younger generation of grandchildren who on todays global village and opens of richer European Union members are moving for looking job into the large cities, agglomerations and other wealthier countries such as Germany or United Kingdom.
I understand that not from today is know that plots both unbuilt and built with house are the surest and safest capital investment, so following the example of the great of this world we are learning basing on their experiences and getting know how to make huge wealth in a fair way, where in turn we can see one, repeatable and important rule of investing. Every inwestor is guided by the principle, buy cheap sell expensive. Summing up, the seller and buyer price always meets at some acceptable for both transaction parties level, where today the buyer is looking for buying as cheaply as possible and sell tomorrow with the greatest possible profit.
It is worth to remember that buying the property is not everything, appropriate choice with the value increase potential is a real art, but the same potential is a relative term which depends on many factors and like banks are rating the risk of potential borrowers we as the potential buyers would like to assess the potential of each property even if it is an investment of 3.900 euros.
Let`s imagine such situation: we bought the house over the sea in the village in any country few years ago. House completely ruined but around had already been seen that each owners of the neighbouring houses are renovating it and we knew that the country has used many of European Union grants, investing in towns and villages infrastructure. The society became richer and over last few years the small village has become more urban area and every year were coming new investments.
Well, today is today and we still have not renovated, old house with a plot and we need to sell it abruptly so to put it bluntly monetize. What then we do, we check and compare the prices and then there is a surprise. Prices increased several times and we sell easily our house with a big profit, though the price in relations to other offers was the lowest.
That history sounds like a fairy tale but it was happen inter alia in Poland when our country was adopted to the European Union members, then the prices of our houses by the sea even in the villages which are distant about several tens of kilometers away from the coast or major cities within the country, were much lower than today. It was only few years ago also in Spain when it was adopted to the European Union member.
So I will buy the house with a plot over the sea with a potential for only 4.000 Euro, and what is next?
Hmm, this answer is not so difficult as it seems to be. It is as simple as the earlier because here is important only to realize the available opportunities and then we know what`s next. What can I say, there are two options. First one is a strict long-term investment thinking, so I bought and wait for better times which will ensure the value growth to me, especially that the house, as the polish proverb says, did not calling eat, so let them building and renovating around and I will finally sell it in the same conditions as I bought, but for much more money than I paid. The second is a pragmatic investment thinking and connection work with pleasure even though it means another investment in repairing the purchased property. Thanks to the renovation I could use the house and plot during the holidays and enjoy the leisure and relaxation pleasures away from the hustle and bustle of the big cities in the picturesque lakeside or seaside in my own property being in the much warmer climate than our. Both of these depends not entirely on ourselves, our preferences and tastes but actually more from our investment wallets and gathered free cash. It is well known that to take out it should be put in, to win it have to be played and the most important – the more we put in the investment the more we can take out, like in agriculture where the larger field we sow the higher yields we will gather.
Everything is good but who will help me to buy such house with a plot?
About the purchase, the matter is simple – I can try to contact directly with the seller but whether I will achieve it and will not be fooled? Or maybe I will use the local companies services which specialize in carrying out the transactions of buying properties in these country but will it be safe for me? I think that I would use the services of brokers but with headquarters in our country to feel safe. Yes – during the purchase of the properties in other countries even if we know the native language of these country or region, the priority is our safe. Realize the risk of investing, so remember and always choose the companies with headquarters in your home country which have a polish representatives in the country of our interests, having liability insurance and employing licensed agents who are members of professional organizations such as national economic chambers with positive opinions about the honesty and reliability in the Internet and many satisfied clients. Security of the transaction, as the most important for every inwestor in properties abroad, in this case for us involves the risk and to minimalize it let`s choose native professionals, not exotic or local companies in so called folder where they don`t show on their website the profiles of people responsible for the transaction.
So where are these houses? Who will help me to renovate these house, how much will cost the eventually renovation and does it requires a building permit?
Very difficult questions, but if it is necessary to answer them, ok – so briefly and short. Let`s see that the major or general renovation of houses and even a reconstruction of house basing on foundations if it is not a rebuilding or enlargement the structure of the property, doesn`t requires time consuming projects and permits. Thus all renovations, big or small, can be performer without unnecessary bureaucracy and thus in a much shorter time. Depending on the size and extent of the repair works to be completed, it can be performer by yourself with help of local wholesalers or by renting a specialized company. However it is one company which will do everything for me, namely ILS Real Estate Agency. Well, this company apart from the transaction of the property purchasing offers to its clients also the ability of making any renovations or even reconstruction of the houses, where are those houses – these houses are still in Bulgaria.
An example of conducted transaction you can find in the photographs below this article.
At the end we give the costs of demolishing and rebuilding the house on existing foundations in the key standard (the realization from scratch each floors, all installations, painting, glazing, lecturing floor panels, roof tiles, ceramic coated etc.) for a bungalow house with area about 100 m2 is between 15.000 to 20.000 EUR with the materials and labor.
Differences in the final amount are the result of an individual choice of different quality of materials which are used to perform the renovation.
CEO in ILS POLAND GROUP ltd.
Co-founder of PIN-Polish Chamber of Real Estates