When investing in property abroad, many people fail to take into consideration the impact that fluctuating exchange rates can have on the price of a home.
The property market across many parts of the eurozone, for instance, has been improving, with property prices appreciating in many popular countries, such as Portugal and Spain, in recent months. But aside from higher property prices, Brits have also had to deal with the depreciating strength of the UK pound against the euro, which recently fell to a three-year low at €1.17, representing a major decline on the near €1.40 to £1 achievable 18 month ago.
But the pound-to-euro exchange rate is showing signs of recovery this month after a topsy-turvy year. The pound has bounced back from its post-Brexit low and is currently trading against the euro at £1 - €1.19.