Grass is not always greener - if you even have a garden

BY BONNY FOURIE bronwyn.fourie@inl.co.za

You can get a lot more for your money when you’re seeking a home in this country. Overseas property prices can be scary

WHEN it comes to property - and what your money can buy you - South Africans are in the pound seat. Not only in terms of size, but also amenities and luxury, local properties offer so much more value compared to homes overseas.

No wonder foreigners snap up properties here.

Similarly, South Africans buying property across the ocean, are often disappointed at what they get for their money compared to what they own, or could own, in their home country.

In South Africa, an amount of R4 million could get you a large free-standing home, complete with garden and entertainment area, or a luxury apartment with a sea view. But take that money and spend it on bricks and mortar overseas and you get a lot less bang for your buck.

The weak value of the rand compared to many other currencies makes it easier for foreigners to own homes that are bigger and more luxurious than what they could buy at home. In addition, house prices in South Africa have remained relatively stable over the years.

To compare, we have looked at properties in some countries popular with South Africans buying property abroad.

And while different areas in these countries will, of course, offer different value for money, it does give a general idea of what hard-earned rand can buy overseas.

Here is what R4 million will get you in four other countries:

MAURITIUS – BLACK RIVER Price: Rs11.99m (R3.985m)

Bedrooms: 3 bedrooms, 2 bathrooms Size: Land 321m² External features: Private garden, swimming pool, 2 parking spaces Location: Close to all the daily conveniences: various shops, shopping centres, schools, banks and public transport. Golf, spas, climbing, hiking, mountain biking and a wide range of water activities are easily accessible. Source: Rawson Properties Mauritius

WHEN making comparisons, it is important to bear in mind that, whileparking in South Africa is a necessity, in most overseas countries it is notas important as many people choose to use the reliable public transporton offer over owning their own cars. Higher levels of security in manyother countries also mean cars parked on the road are not at the samerisk of being broken into or stolen as they are here.

A number of safe public spaces, such as parks and other family orientated facilities, are often plentiful in suburbs and residential areas,which means that having a garden is not as desirable as it is in SouthAfrica. Many will, however, still desire at least a small private outdoor area at home to have the traditional braai.

BEWARE TAXES AND RESTRICTIONS WHEN BUYING OVERSEAS

– SARA CLEMENCE

YOU DON’T have to star in a spy movie to have multiple passports. Buy a house in Malta, Cyprus, Grenada or several other countries with special investment programmes, and you could be eligible for a second citizenship.

But on the flip side, many countries place restrictions on foreign ownership.

In Costa Rica, they can’t own 100% of any beachfront property while, in Mexico, the constitution forbids foreigners from directly owning property in a “restricted zone” that extends 50km inland from the ocean and 100km from any national border.

Regardless of where you buy a home, you’ll be on the hook for extra taxes. Spain levies a 10% sales tax on real estate. Nonresidents buying in Italy have to pay about a 9% tax on the value of the land. On top of that, there can be ongoing property taxes. Although, depending on where you buy, they might be a pleasant surprise.

When you fall hard for a farmhouse in the South of France or a studio with a view in Hong Kong, your long-term thinking is often focused on how much you’ll enjoy it in the years to come. That’s not the wisest approach, experts say.

A lot can change over the years. A blossoming local economy might double your property value over time. Or, the government might change the local laws – and not in your favour. – Washington Post

ENGLAND – MAIDSTONE, KENT Price: £210 000 to £220 000 (R4.175m to R4.374m)

Two-bedroom apartment in Maidstone, England.

Bedrooms: 2 bedrooms, 1 bathroom Size: 70.5m², double storey External features: Garden, patio area, on-street parking Location: Well-located near the town centre with a vast choice of shops and restaurants, a cinema complex and supermarkets. Easy access to Maidstone’s three train stations and local bus services. Source: Knight Edmonds

AUSTRALIA – EAST END, ADELAIDE Price: AUS$360 000 to AUS$380 000 (R3.875m to R4.090m)

One-bedroom apartment in Adelaide, Australia.

Bedrooms: 1 bedroom, 1 bathroom Size: Building 60m², land 76.52m² External features: 1 garage/underground parking Location: Positioned within the heart of the vibrant East End. Near trendy cafes, restaurants and wine bars, as well as Adelaide universities. Close to Adelaide Oval. Source: Ray White/www.realestate.com.au

PORTUGAL – VALE DE PARRA, ALBUFEIRA Price: €225 000 (R3.83m)

Two-bedroom apartment in Albufeira, Portugal.

Bedrooms: 2 bedrooms, 2 bathrooms (fully furnished) Size: 104.69m² External features: Communal pool; garden and playground; Storage room and dedicated parking space Location: Close to Gale and Salgados beaches, Guia shopping centre, as well as a cinema, a variety of shops and pharmacies. Source: www.idealhomesportugal.com