Back in the 1980's many people were encouraged to buy properties in France on 11 year leaseback contracts.
To say this has been controversial is a major understatement. There have been cases of overpromising of rental returns leaving the owners with properties difficult to sell and little opportunity for private usage.
This is not to say some companies have not honoured their contracts. MGM as an example have been very successful by not overpomising.
However the good news now is that it is possible to buy a property with very flexible rental opportunities with the buyer able to select times and dates they wish to reside in their property while allowing the management company to use the remaining dates.
Our advice is always do your deligence when signing a management contract an ensure it is the one that suits you. Most contracts now allow yearly changes to suit your changing needs.
And of course the major advantage is you will still be able to reclaim the VAT on the full purchase price of the property.
If you would like nore information on management contract please contact us or call us on our contact us page