Ok, there’s quite a bit to think about if you are a foreign buyer. You should be asking at least these questions:
- Is there any truth to the rumour that non-resident ownership of land will be limited?
- Who should own? Me in my personal capacity? A local company or close corporation or trust? My foreign company or trust?
- Should I bring in foreign currency and risk a decline in the value of the Rand or should I borrow locally at relatively high interest rates?
- How much can I borrow locally and how much must I bring into South Africa?
- What is unusual about the process of buying property in South Africa?
- What can I do now to make it easier for me to repatriate my funds when I sell the property?
There are good answers to all these questions but they should be considered taking into account your personal circumstances and can’t be answered without a conversation.
It is a good idea to seek the help of a local property attorney who specialises in non-resident property purchases. Contact us to make an appointment to suggest a suitable attorney to help you, if you wish.