i'm 17. Planning to take out a loan soon as i turn 18 to do real estate abroad. how and what to do? any advise

Answer 1

Unless you have already become de-motivated by the answers you have so far, here goes:

Banks etc find it riskier to lend to people with no credit history so try and get a small loan or even a store card (pay it off before it becomes due as the interest is a killer!!) and build up a good credit rating. Don't apply for anything and everything as the amount of times a credit search is done on you is recorded, and this will be done each time you apply for credit.

It has become increasingly popular for people to invest abroad to enable them to buy property in the UK, as they just can't get on the 1st step here.

Bulgaria and Romania are due to join the EU in January 07, although there have been talks of extending this as they aren't meeting all the pre-requisites. You can still pick up run down property for under 10k and labour is much cheaper over there - although you do have the language barrier. MAKE SURE YOU RESEARCH THOROUGHLY AND PAY FOR PROFESSIONAL ADVICE AND SERVICES, IT HAS BEEN KNOWN FOR PEOPLE TO SELL PROPERTY THAT DOES NOT BELONG TO THEM TO SELL - A GOOD LAWYER WILL MAKE SURE YOU DON'T GET STIFFED.
Hopefully you can pick up a bargain - or a few, and they'll be worth at least triple what you paid in five years.

Take a look at expatfocus.co.uk, it has sections for destinations around the world and the folks are only too happy to share their experiences of buying and moving abroad.

There is loads of advice available on the net and lots of forums you can talk to real people on - though don't take everyone at face value you meet on the web, there are some fraudsters who have no qualms about targeting inexperienced investors, and don't believe everything you see on UKTV about developing abroad, they make it look a bit too easy.

With pensions being in the state they are now it's a good thing you have the foresight to think about your future, at least if anything goes wrong the investment itself should be able to pay for itself. It would also be a relatively quick mistake you could learn from and recover fairly easily. It sure beats paying into a pension fund for 50 years expecting to get at least 20k per anum and then when you reach 65-70 find you could be getting around £200 per month, especially since you can't even cut your losses and get rid of it.

Good luck, research thoroughly and expect a lot of people not to take you seriously because of your age - then have the last laugh when your retired at 40 and they're eating hotdogs for dinner and sitting out their days in community centres playing bingo because they can't afford to heat their homes.

Answer 2

First of all, how exactly do you plan to "do real estate abroad" with no experience in your own country? Why would a parisian buy a house from an American who knows nothing about France? Catch my drift?

WHen you turn 18, you will have no credit. Start with 2 or 3 credit cards and manage them wisely. You'll have enough credit in a year or so to get a loan, albeit at a high rate. And if you're thinking tens of thousands of dollars, think again. An unsecured loan with mediocre credit will be in the 1-3K range. Not enough to travel abroad, let alone live there or do business.

Answer 3

OK, Not to patronise but 18 is young, the overseas property market is a mine field, I would suggest working for a while in a company that specialises in it, get the free training and get paid on the job.

Secondly, the set up costs must be astronomical, I can't see any lender loaning a large amount without 1) you having a credit rating which you need to attain over time 2) some of your own money to invest, 3) Collateral and 4) a business plan. They need to know that as this is a business venture you have a full knowledge of all that is involved.

I wish you all the best, don't give up on your dream but let it take it's time.

Answer 4

I would strongly advise that you consider all the risks associated with taking this loan out to pursue a career in real estate.
First you must realize that the real estate market has cooled of considerably as interest rates have been on a steady increase. When interest rates go up, real estate market growth and investment goes down as consumers take out less mortgage loans.
Secondly you must consider that at such a young age do you want the responsibility of having a large loan to deal with. The financial decisions you make today will influence your credit history for the rest of your life!
Third, and finally, do you think you will be able to qualify for a loan to help you in your endeavors.

If you have thought about all of these risks and still feel like you would like to pursue real estate, then all I can say is proceed with caution as it will definantley be a gamble. Good luck with whatever you choose.

Answer 5

I'd advise not trying to take out a loan on a Burger King salary. It will save you getting laughed at since you have no income and no collateral, just because someone gave you a credit card doesn't mean a bank is dumb enough to give you a loan.

I'd say go to school and get a real job instead of trying to make easy money while you sit on your *** and xbox your life away.

Answer 6

ignore the assholes who dont even want to answer your question.

first off id say get a phone contract and wait a couple of months as you cant get a loan if you havent had any credit because you still have to have somthing on your credit record to be able to have a credit serach done on you

secondly i would reseach what you want to do in real estate and draw up a business plan so you have somthing to show your bank.

thirdly, shop around for a loan, there is a lot of banks and loan companies but DONOT go to a loanshark!!! possibley get one of yourparents to be gauranter for you.

hope this helps

Answer 7

Selling real estate can be tricky, especially abroad. Try buying some and discover the pitfalls first hand. Then try to sell it at a profit using your newly acquired knowledge. Bon chance.

Answer 8

Bang, bang, clang, clang, red light, red light.
You haven't reveled the whole story yet. There all kinds of alarms
going off in my head.
First of all, I doubt you can get one one. You must qualify.i.e. have a strong income history, have a considerable down payment, and have a property in mind (not always necessary).

Answer 9

Grow up and do some living first - you have the rest of your life to get into debt

Answer 10

The only 'advise' I can give you is to get an English teacher...