'Be aware of currency fluctuations' when buying abroad

It is important to be aware of currency fluctuations when considering the purchase of a property abroad, says one industry commentator.

Knight Frank's Nick Barnes explains that while there are no restrictions for residents of the European Union when buying a home in another member state, it is crucial to think about possible changes in currency exchange rates due to the sterling giving "ground" to the euro in recent months.

He says another thing to remember when buying abroad is the likely difference in tax regulations and the maintenance needed if it is to be let out.

If you are buying property in another country, whether it is in Germany or wherever, someone has got to maintain it and collect the rent," Mr Barnes remarks.

Those in the private-rented sector might also need to take out building insurance or complete fire safety checks before tenants move in.

A recent announcement made by the National Landlords Association pointed out the necessity of the latter, with chairman David Salusbury describing it as "of vital importance".