Citizenship by Investment 2014
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Why Real Estate is the <strong>Investment</strong> of<br />
Choice for Global Citizens<br />
REAL ESTATE AND CITIZENSHIP<br />
It’s clear that <strong>Citizenship</strong>-<strong>by</strong>-<strong>Investment</strong> offers<br />
a whole host of benefits for high net worth<br />
individuals. Giving great benefits such as savings<br />
on taxes and the ability to move freely across<br />
previously restricted borders. These attractive<br />
privileges can be gained from careful investment<br />
in a country that best suits the investor’s needs.<br />
Most <strong>Citizenship</strong>-<strong>by</strong>-<strong>Investment</strong> programmes<br />
also offer the option of purchasing real estate as<br />
an alternative to a purely monetary investment.<br />
These real estate investment opportunities<br />
are giving investors the ability to seek out<br />
developing real estate and rapidly increase their<br />
profit margins.<br />
PROTECTED INVESTMENT<br />
Foreign owned real estate investment is also<br />
an extremely secure way to protect wealth and<br />
sustain growth. Real estate is a great addition<br />
to any high net worth individual’s portfolio,<br />
whether they’re looking to purchase a family<br />
holiday home, a permanent residence with an<br />
exclusive address or even commercial property.<br />
Real estate property that is owned overseas is<br />
almost, if not outright, impossible to be seized,<br />
repatriated or interfered with <strong>by</strong> the investors<br />
home government, making it one of the most<br />
assured assets that any investor can own.<br />
PLAYING THE LONG GAME<br />
As an ever-growing number of countries follow<br />
in the footsteps of St Kitts and Nevis – introducing<br />
Foreign owned real estate<br />
investment is also an extremely<br />
secure way to protect wealth<br />
and sustain growth.<br />
<strong>Citizenship</strong>-<strong>by</strong>-<strong>Investment</strong> programmes – the<br />
number of prosperous real estate opportunities<br />
continues to grow. This is good news for savvy<br />
investors; however, <strong>Citizenship</strong>-<strong>by</strong>-<strong>Investment</strong><br />
programmes that offer real estate investment<br />
can also include the burden of enforced<br />
mandatory possession. This compulsory ruling<br />
forbids owners from selling their property<br />
within the first five years, for some this period<br />
of mandatory ownership could prove too much<br />
of an inconvenience. For those investors with<br />
more endurance there are substantial rewards<br />
to be gained. The possibilities of rapid profit<br />
from rental and refinancing opportunities is<br />
considerable and purchasing real estate in the<br />
right developing country could see outstanding<br />
growth over the long term.<br />
DEVELOPING MARKETS<br />
Real estate is a thriving market in many countries<br />
across the globe, so finding the right opportunity<br />
that suits both your needs for citizenship and has<br />
great investment potential can be difficult. But<br />
with so many countries joining the <strong>Citizenship</strong><strong>by</strong>-investment<br />
programme investors can take<br />
advantage of the exclusive benefits that are<br />
available and choose the most suitable option.<br />
Each individual country has its own unique<br />
guidelines and there are a number of enticing<br />
offers open to investors, for example, Malta,<br />
which offers EU status, is the only country to<br />
offer no further real estate taxes whatsoever<br />
after the initial purchase. Bermuda, on the<br />
other hand, has a 0% Inheritance and gift tax,<br />
compared with charges of up to 60% in France<br />
and as high as 80% in Spain. Naturally, tax breaks<br />
like these should be considered carefully before<br />
any investment is made as they could prove to<br />
be crucial in the long-term.<br />
Real estate continues – as it always has – to<br />
be one of the single most major investments<br />
available to high net worth individuals.<br />
Moreover, the development of today’s global<br />
market presents the perfect opportunity for<br />
investors to build a stunning portfolio of real<br />
estate for their family or corporation.<br />
<strong>Citizenship</strong> <strong>by</strong> <strong>Investment</strong> / 14<br />
CbI PUBLICATION.indd 14 19/09/<strong>2014</strong> 09:32