Frequently Asked Questions
Who Do I Talk To When I Have A Problem?
You will have a dedicated property consultant who is available to you by email or on 0121 286 8058 in UK or 0202 580 8615 in US. This person will remain your dedicated representative for the duration of his or her employment at Sash solutions. You representative will help you with:
• Answering any questions you may have during your investment process
• Guiding you through the contract and payment process
• Helping arrange a Power of Attorney if necessary
• Help organize and liaise with mortgage companies where necessary
• Arranging site visits
• Help source and organise furniture packs where appropriate
• Help source local letting agents where appropriate
• Update you on the progress of your investment
• Provide a friendly ear for any worries or queries you may have
What are Sash solutions charges?
We provide all of our information, seminars and educational based literature free of charge. We do charge a fee if you purchase property. The Sash Solutions fee is usually £ 600 , payable for every individual reservation made on each of our developments.
This Fee covers:
• Finding the deals through our network of international finders
• Personally visiting all developments for face to face meetings with key personnel and viewing the sites
• Negotiating the discount
• Financially structuring the deal for maximum returns
• Completing extensive research and due diligence on title, planning, legals, country and town, the development and the developer
• Securing protection for your investment
• Sourcing reputable local English-speaking lawyers
• Negotiating favourable fee structure with lawyers
• All post sale service.
When Do I Pay Sash Solutions?
Sash solutions fee is due immediately on reservation should you choose to purchase a property through Sash solutions.
How do I reserve a property?
The reservation deposit for a property is £ 1000 , that is refundable and transferrable to other properties that Sash Solutions offer. This deposit secures the property and takes it of the market. To reserve you need to pay at the same time Sash solutions fee ( non refundable ) , which means that in order to reserve a property you need to pay in total £ 1600 .
Are there additional costs in respect to my purchase price?
Yes. As with any property transaction there are other fees that need to be covered such as legal fees, stamp duty (or the foreign equivalent) etc. You should usually allow for an additional up to 5% of your purchase price.
What Do I Do About Mortgages, Especially When Investing Outside The UK?
Whether you buy with a mortgage or not depends on two things.
1 – Is that particular development suitable to purchase with a mortgage from an investment viewpoint? or, 2 – Are mortgages available in that country and are you eligible to get one? We will always advise on these points in our individual e-documents for each deal and also point you in the right direction for expert advice on point 2. If you are planning on purchasing with a mortgage then remember that in most off-plan developments, the mortgage is only required at completion. As in the UK you will not get a mortgage offer until perhaps six months prior to completion. It is therefore worth checking out the status requirements before you reserve.
Are there additional costs in respect to my purchase price?
Yes. As with any property transaction there are other fees that need to be covered such as legal fees, stamp duty etc. You should usually allow for an additional up to 5% of your purchase price.
Are there any property related government taxes (similar to UK council tax) payable each year?
Yes, every real estate property in Bulgaria is subject to annual taxation. The rate of tax is calculated according to special ratios and the amount payable depends on a range of factors such as: the location and the type of building, the date of construction and any improvements that have been made. For a 1-bedroom apartment in the centre of Sofia the annual tax is about 80 to 100 Euro.
What Do I Do About Mortgages, Especially When Investing Outside The UK ?
Whether you buy with a mortgage or not depends on two things. 1 – Is that particular development suitable to purchase with a mortgage from an investment viewpoint? or, 2 – Are mortgages available in that country and are you eligible to get one? We will always advise on these points in our individual e-documents for each deal and also point you in the right direction for expert advice on point 2.
If you are planning on purchasing with a mortgage then remember that in most off-plan developments, the mortgage is only required at completion. As in the UK you will not get a mortgage offer until perhaps six months prior to completion. It is therefore worth checking out the status requirements before you reserve.
Do I Own My Own Property When Buying Through Sash Solutions ?
Yes.Sash solutions introduces you to property opportunities. When you decide to buy you sign a contract directly with the developer, not with Sash Solutions. When the off-plan development is set for completion it is you (or your company if you have arranged this) that owns the property. Sash Solutions is not involved contractually between you and the developer, although our Investor Relation team help you through that process.
Is there any risk that government policy in the future regarding foreign property investors could change such that my ownership of the apartment could be questioned?
Absolutely not ! Such problems have been reported with properties in other countries, but Bulgaria has strong European style laws and property ownership is an extremely powerful legal concept. Furthermore, as we are now joining the EU, more and more of our laws are changing to harmonize with European legislation.
Do I need to find a Lawyer?
Sash Solutions carry our extensive due diligence out on a number of legal firms in Bulgaria. We will recommend a suitably experienced English-speaking lawyer for you to use if you like. This lawyer will act on your behalf and will be independent to both Sash Solutions and the Developer. You can find a lawer your self as long as you know he is experienced in International Law and Bulgaria.
Do Sash solutions Offer A Lettings Service?
Whenever we recommend a development to you, if appropriate we will find recommended letting agents for you to use amongst our trusted partners . Usually we will negotiate a special deal for Sash solutions investors.
Do I Need To Be Worried About The Developer Going Bust?
There are two aspects of this question. The first is the most immediate and centres around your natural anxiety that your money may be totally lost in the event of a developer hitting bankruptcy. The second aspect is more one of what will happen to the development itself.
Although Sash Solutions does ensure that to the best of its knowledge the developers or the key directors of the developers are of decent repute, there is no guarantee of the developer's financial health during the period of construction. This is why Sash Solutions will only deal with developers who either:
Work on escrow account
Offer bank guarantees
Use bank controlled accounts
An escrow account is one where your money is held by a third party independent agent. Both you and the developer have signed an agreement as to the terms upon which that money is being held in escrow, the terms by which your money can be forfeited by you, or returned to you or paid across on completion. Typically, based on various pre-agreed conditions, your funds are passed on to the developer once the development is ready for hand-over.
Some developers offer bank guarantees, which means that, subject to the wording of the guarantee, if the developer goes bankrupt, either the bank will ensure that the development reaches completion or will repay you the money you have invested. Like all contracts, the details can vary and one bank guarantee can differ greatly from another. In all cases you should be clear about your recourse to the bank in the event of a developer hitting problems.
Sometimes developers offer investors the safety of bank controlled accounts. This is where the investor pays into a bank account that the developer cannot receive money from until it has produced evidence to the bank that it has done certain amounts of work. Again contracts can vary from one situation to another but, generally speaking, this should mean that in the event of the developer running into problems, the work done so far should exceed the amount of your deposit money used.
Investors normally like to see their investments reach completion and go on to success in spite of a developer's hiccup. Whether or not this is possible depends on general economic conditions at the time of the collapse as well as complexities specific to the property development.
Is there a management company responsible for a block of apartments? For example, if the roof of the building has problems, who fixes it and who pays?
There is no such standard practice in Bulgaria. For new-build or off-plan developments, there will normally be an annual service charge (usually between 7 to 9 Euro per square metre) to cover the costs of maintenance and upkeep of the shared or communal parts of the building, such as: gardens, elevators, entrances, stairs and corridors. For established or re-sale apartments within an apartment block, there is a form of residents committee and a block manager. The people who live in the block regularly gather together to take important decisions or to collect money for repairs or refurbishment of the communal parts of the building.
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