One expense rarely thought about when purchasing property abroad is the cost of transferring payment. Most people leave it to the last moment, instructing their banks to transfer the required amount and are then horrified to realise just how much it is going to cost. They are even more horrified when they realise there are further fees charged by the receiving bank.

There are other disadvantages as well when using a bank to transfer money, especially when property payments are made over a period of time and this is a fluctuating exchange rate.

Overlooking the dangers of foreign exchange can be a costly experience as this example below shows.

A property costing 250,000 Euros, purchased on the 24th June would have cost £165,175. However the same 250,000 Euros purchased on the 21st July, less than one month later would have cost £174,775 - a difference of £9,600 and brought about simply because of fluctuation between the price of the Pound and the Euro.

Had the rate of exchange been agreed with a currency trading company it could have been fixed, saving the buyers over £9,000. When taking into account bank transfer fees, commission charges and receipt fees, the buyers were fortunate that they were still able to afford their property but for many facing the same situation, their dream home is pushed out of their reach.

Although you have no control over the foreign exchange market it is possible to agree exchange rates which will be guaranteed for up to two years, ensuring that you know exactly what you are going to pay.

SPC have negotiated what we believe are the best currency transfer rates available and quite often the cost of transferring money is nil or very little. If this is a service you require simply email or telephone us for further information.