Buying A Home From Afar - Sanity For Semigration And Emigration Adventures

The dream of a new home in a new location, whether in another part of South Africa or in a new country, can be very exciting but when you have to buy that home remotely, the process can feel totally overwhelming. Where to begin and how to make the right decisions from afar? The strategy you need depends entirely on your destination.

Here's a practical guide from Lew Geffen Sotheby's International Realty to staying sane, split into two key scenarios.

Scenario 1: Long Distance Semigration

You're moving from Johannesburg to Cape Town, or from Durban to the Garden Route. You can't easily pop in for viewings, but the legal and financial framework is familiar. You know the law, the paperwork and the costs involved.

But without a good handle on technology and doing your homework to convene a truly local brains trust, you won't get out of the starting blocks, and you'll lose your mind in the shambolic process that'll follow.

The Troops

Until you're moved in and settled, your remote-enabled estate agent's team is going to be your most important partner. Choose an agent who is an expert in your target suburb and is proactive with technology. Only use "real life" professionals from the most reputable agencies such as Lew Geffen Sotheby's International Realty. For long-distance moves an online agent will be less than optimal. Your agent must be willing to conduct live, detailed video tours via WhatsApp or Zoom, showing you not just the rooms but also water pressure, cupboard space, and any potential flaws - in other words, all the nooks and crannies.

Your agent will also be able to facilitate a professional home inspection, which is non-negotiable. Your offer must be conditional on a satisfactory inspection. Insist on a report with photos and a video walkthrough with the inspector to explain their findings.

Don't forget your tech-facilitated neighbourhood reconnaissance, including:

• Use Google Street View to "walk" the streets.
• Join local community Facebook groups to gauge the atmosphere, noise issues, and security concerns.
• Research proximity to essential amenities using online maps.

As far as the legal process is concerned, don't stress too much: Conveyancing (transfer of property ownership) is standard across SA, whether you're buying a kilometre or 1 000 kms away. You will need to sign documents, but your conveyancing attorney can often courier them to you for signing, followed by a virtual meeting to verify your identity. A Power of Attorney (POA) can be arranged if you absolutely cannot sign in person.

Semigration sanity is ultimately going to depend on your professionals being on the spot when you can't. Trust your agent as your scout, but verify everything with independent reports. The process is largely the same as a local purchase, just with more digital legwork.

Scenario 2: The Emigration Move (Buying in Another Country)

Make no mistake; this is a far more complex and daunting process. You are not only buying a house in a totally unfamiliar location, but also navigating a new country's laws, finances and customs.

Don't even think of attempting this without experts at your side - literally and figuratively - because while you're grappling with foreign legalities, you'll also be juggling SARS and the Treasury and all the red tape they can generate.

First thing is to understand Your South African Financial Compliance (Before You Buy!):

• SARS & Capital Gains Tax: Declare your emigration to SARS (formally changing your tax status if applicable). Understand the Capital Gains Tax implications of selling your South African assets.
• South African Reserve Bank (SARB) & Financial Surveillance: You will need to use your foreign investment allowance (currently R 10 million per adult per calendar year) to purchase the property abroad. This requires a Tax Clearance Certificate from SARS and must be facilitated through an authorised dealer (your bank). This is your first and most critical step.

At the same time:

• Find a Buyer's Agent in the New Country: Do not rely on a seller's agent. Hire a buyer's agent or a real estate agent who specifically represents your interests. Their local knowledge about laws, taxes, and trustworthy builders is invaluable. They are your advocate.
• Hire a Local Lawyer Specialising in Property: Property law varies drastically. In Scotland, it differs from England. In Australia, it differs from the US. A local property lawyer will guide you on contracts, title searches, and your obligations. They are essential for navigating the process safely.
• The Financing Puzzle: Secure mortgage pre-approval in the new country if you need financing.
  Lenders will assess your new employment contract and local credit history, which may be limited. Be prepared for a larger deposit.
• The Virtual Viewing and Due Diligence: As with a local move, use live video tours. However, your due diligence must be more rigorous. Ask your agent about things like the impact of the weather on getting around. A remote property that's snowed in for four months of the year, for instance, won't work with schooling.
• Understand the full scope of the costs, such as property taxes (e.g., Council Tax in the UK, Rates in Australia).
• Absolutely do not forget homeowner's insurance. Find out the requirements and costs.
• Perhaps most important of all, ensure you meet all the requirements to relocate to your desired destination and that your visa documents are in order.

The only way to stay sane while going through the sky-high stress that is emigrating is to realise it's a marathon, not a sprint. Prioritise getting your South African financial emigration in order first. Then, build a team of experts in your new country. Your sanity depends on their expertise.