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Purchasing Overseas and then renting your property out, should give you returns in 3 ways.
A typical 1 bedroom apartment renting out:
| July / August 8 weeks high season @ approx £300 per week = £2,400 annually |
| June / September 8 weeks medium season @ approx £200 per week = £1,600 annually |
| May / October 8 weeks low season @ approx £100 per week = £1,200 annually |
| Total = 24 weeks @ average rental = £250 per week = £5,200 annually |
| Mortgage for a £55,000 apartment (based on 20% Deposit leaving mortgage of £44,000) @ 4% interest only element = £1,760 annually or £147 monthly |
The above figures are only a guideline and you would need to do your own research to attain a more accurate figure. Rental figures on properties can vary to the above.
A typical 2 bedroom apartment:
| July / August 8 weeks high season @ approx £450 per week = £3,600 annually |
| June / September 8 weeks medium season @ approx £300 per week = £2,400 annually |
| May / October 8 weeks low season @ approx £150 per week = £1,200 annually |
| Total income = £7,200 |
| Mortgage for a £80,000 apartment (based on 20% Deposit leaving mortgage of £64,000) @ 4% interest only element = £2,560 annually or £214 monthly |
The above figures are only a guideline and you would need to do your own research to attain a more accurate figure. Rental figures on properties can vary to the above.
Please remember you will have, in effect, FREE use of the apartment for the remaining times, not to forget the friends and family that you will sure to rent this out to, in addition to the above income.
There is presently a shortage of rental properties in many locations and such a shortage of supply should help rental returns.
If a good rental income is realised, a good net return on your capital invested can be achieved. This is generally better than bank interest and managed stock in a low no risk field market.