Reversions: An Attractive Investment Opportunity! By Farida Vidal At Isnare.com Ezine Articles

Reversions: Property Investments with a Discount of up to 50%

Reversions are attractive for elderly people, ‘Reversions offer elderly people stability as they can keep living in their own home and at the same time release some equity’. In case that the property is vacant, the buyer can use the property or rent it out. The latter strategy minimises the risk and maximises the return on the investment as the rent covers part of, or the whole monthly payment to the vendor. The vast majority of properties, ninety-five percent, are tenanted. The vendor then lives on the premises until he/she decides to leave the property or passes away. Thirty percent of the tenanted properties are vacant before the vendor’s decease.

The rights and obligations of the buyer would be the following: he/she becomes owner of the property on the day of the exchange of the title deeds; he/she has to pay for all major work and land tax; he/she can sell the property whenever he/she wants; he/she is entitled to use the premises if the property is vacant; he/she can take an insurance policy to limit the risks of excess of the life expectancy.

Then there are the rights and obligations of the vendor. The vendor can use the property as long as he/she wants; however, he/she can not rent it out. Furthermore he/she has to pay the service charges, council tax and maintenance.

French reversions offer excellent opportunities on the medium- to long-term. Properties can be bought at a huge discount and the majority of the properties are located in prime areas such as the Cote d’Azur, Paris (the region surrounding Paris) and Brittany; this results from the days when the properties were initially purchased as a retirement home in the country side, near the sea or in a major city. Properties range from chateaux and villas to apartments in luxury residences with tennis courts and swimming pools.

It is also possible for business owners to sell their business this way in order to release equity and receive a regular income.

Published At: Isnare Free Articles Directory http://www.isnare.com
Permanent Link: http://www.isnare.com/?aid=86339&ca=Real+Estate

Important Notice DISCLAIMER: All information, content, and data in this article are sole opinions and/or findings of the individual user or organization that registered and submitted this article at Isnare.com without any fee. The article is strictly for educational or entertainment purposes only and should not be used in any way, implemented or applied without consultation from a professional. We at Isnare.com do not, in anyway, contribute or include our own findings, facts and opinions in any articles presented in this site. Publishing this article does not constitute Isnare.com's support or sponsorship for this article. Isnare.com is an article publishing service. Please read our Terms of Service for more information.