Domestic buyers must understand these issues when buying a house in the UK for investment or owner-occupation.

More and more overseas buyers are buying property in the UK.Whether it is investment appreciation or studying and working abroad, buying a house is a cost-effective choice.

So what are the basic issues that you need to know about buying a house in the UK? Today I will give you a brief introduction. If there are more If you have any questions, please contact Lan Shajun via private message, and someone will provide you with detailed one-on-one answers.

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1: Can foreigners buy a house in the UK?What are the specific requirements for buying a house in the UK?Can I immigrate if I buy UK property?

Yes, the UK allows overseas buyers to buy houses in the UK, and there are no restrictions.As long as adults are over the age of 18, they are allowed to purchase property in the UK.In addition, buying a house in the UK not only allows full payment, but also supports loan purchase. The down payment is low and the loan interest rate is also low.However, it should be noted that buying a house in the UK is mainly for self-occupation or investment. Immigration is not allowed when buying a house. There is no immigration program for buying a house in the UK.Unlike in China, real estate in the UK is not linked to household registration. Buying a house is not of great benefit to immigrants/ who apply to settle in the UK for the time being.

2： What types of property rights are there in the UK?

Freehold (Freehold< /span>)-The owner owns the land and all real estate on the land.

Leasehold (Leasehold)# {16}-The owner has the right to use the house and land within a limited period of use.

Shared freehold (Share of Freehold) is provided by Land owned jointly by different owners.

Shared OwnershipShared Ownership) - Only owns the right to use part of the property, and pays rent for the part that is not owned.

3： What is the process of buying a house in the UK?

In order to promote the development of the British real estate market, the British government adopts an equal treatment attitude towards British and non-British home buyers, that is, as long as they buy a house in the UK Investors enjoy the same house purchase and loan policies as local residents.Home buyers only need to make various payments within a specific purchase period.

4 What you need to prepare when buying a house in the UK file?

Proof of ID (Proof of ID): Passport, Driver's license, ID card3Within one month

Proof of address (Proof of Address): Water, electricity and gas bills

Bank Bill : 3Bank statement within the month (same account that requires down payment transfer)

#{5 }To apply for a loan, you need a mortgage loan letter of intentA- Agreement in PrincipleBank statement for down payment funds/#{12 }Proof of deposit

#{24 }5: What documents do overseas buyers need to provide when applying for a loan?

Personal identity certificate - valid passport, identity card Certificate, visa, address proof, income certificate - bank statement, pay slip

Address proof - mainly refers to the recent Water, electricity, gas and credit card or bank statements within 3 months

Down payment Proof of payment, bank statement and purchase contract/Reservation order, different lenders will have slightly different requirements

6 What do I need to pay to buy a new house (off-plan)? Are they all given directly to developers?

1# {73}, booking fee

2, lawyer’s deposit

3、Loan fee

#{ 95}4, house appraisal fee

5#{ 106}, down payment

6, stamp duty#{117 }

7、Balance

8# {10}, Others

When buying a house, there are some other minor expenses. Generally, a lawyer will make a list for us. We just need to pay it on time: generally speaking, these include local survey fees, land bureau registration fees, bank transfer fees, etc., which are between tens to hundreds of pounds and are very trivial except for the deposit, which will be collected directly by the developer. The rest of the money settlement is handled by your lawyer and the developer's lawyer.

# { 32} British real estate does not have a real estate certificate. After the completion of the settlement, the lawyer will immediately start the land registration (Land Registry). The land registration will require at least# {37}6 months

It is completely possible to choose an interest-only loan, and you will still have a lot of balance if you choose to repay both principal and interest. The method should be that the rent covers the loan. The rental income needs to be paid, which is called income tax. The tax point is generally the net income of the rental income minus your deductible expenses. 20%. As far as CGT is concerned, overseas buyers should have an advantage. Home2019/2020You can enjoy a tax exemption limit of £12,000 #{79 }.

The "deductible expenses" that you can deduct are: #{ 89 }

- General maintenance and repairs of the property (more Replace roof tiles blown off by storms, replace faulty boilers, etc.)

- Water rates, council tax, gas and electricity

- Insurance such as owner's building, property and public liability insurance

- Service charges, including gardener and cleaner wages#{24 }

- Leasing agent fees and management fees

- Accounting fees#{54 }

- Ground rent and service charges

- Direct costs such as phone calls, stationery and advertising for new tenants, etc.

- #{74 } Vehicle operating expenses or air tickets to and from overseas landlords.

9Excuse me What do you think of school district housing in the UK?

School district housing in the UK refers to houses near excellent public schools. The scientific name is Catchment area, each public school has its own catchment area.Public schools only admit children from families who have lived in the UK for a long time.In other words, the child's parents must have a British passport or long-term residence visa (including work visa, chief representative, entrepreneurial signature, investment visa, permanent residence, etc.), usually the better the public schoolcatchment area#{ 104 }Fan� � smaller).

Due to the different enrollment situation every year, catchment area The range is not fixed either.This requires parents to call the school and the council in advance before applying to confirm.

10overseas What exactly is buyer’s tax?Is there a holding tax on UK property?What are the carrying costs?

Overseas buyer tax will be implemented in 2021#{36 }4 Collection will begin after 4 months.It is 2% of the house price.This is a one-time purchase tax, that is, the normal stamp duty plus 2% will be paid when the house is handed over.

There is no holding tax on real estate in the UK.Your holding cost is

1) Property fee

2) Ground rent

Depends on the size of the house And real estate, generally around £3000-5000 per year.