As someone who loves to captain their own ship, I welcomed the pension changes that will see around 10 million British people who have reached the ripe young age of 55 between 2010 and 2020 being able to cash in their pension pots to do with as they please.
The sharks are circling
Press reports have disclosed that the sharks are already circling in an effort to lay their hands on pension pots. Without permission from the individuals, highly sensitive financial and personal data is on sale for as little as 5p for each person approaching retirement. As a result, many beneficiaries of pension pots will come under pressure to part with their cash, with promises of returns which sound too good to be true and are therefore likely to turn out to be too good to be true.
3,000+ attend Manchester property exhibition
Britons are still willing to pursue the dream of owning property in sunnier climes. That is if the Channel 4 TV show ‘A Place in the Sun Live’ overseas property exhibition that was held in Manchester on Saturday, 14th March 2015 is anything to go by. The event was attended by over 3,000 people, making it the busiest day at an overseas property exhibition in the UK for seven years. Many of those attending the event took advantage of low property prices in Spain and the Mediterranean.
The Caribbean property world
Britons with lump sum pensions can look further afield – the Caribbean – for that holiday, second or retirement home. Depending on your reasons for choosing the Caribbean as the place in which to spend your pension pots, you’ll be bowled over by the diverse selection of properties for sale in this part of the world. These include luxury villas, condominium units, detached homes and residential lots on which to build your own style of home. If you’re an investor looking solely for income generating property in the Caribbean, then a boutique hotel, residential apartment block, commercial building or development land may suit you. The choices of property for sale in the Caribbean are endless!
All that glitters is not gold
I could not end this article without a cautionary note to new pension pot beneficiaries. There is no doubt that buying property abroad can be a truly exciting and rewarding experience. However, be aware that the stunning beachfront resort development with every amenity and facility that you could possibly want may never be completed. Your real estate agent may be more incentivised and motivated by lucrative commission fees than the outcome of your property purchase. Don’t allow the promise of a ‘to die for’ lifestyle or ‘too good to be true’ returns on your investment persuade you to part with your lump sum pension funds.
You can definitely invest in overseas property – just be diligent, vigilant and prudent every step of the way!
Article by Maureen Smith, Caribbean Property Consultant, Tropical Connections Ltd.