How to Sell Property Abroad

Real estate abroad is generally a stable asset, but under global or local shocks, its value can start to decline. For example, in the United States, following the devastating hurricane of 2023 and the wildfires of 2025, insurance payouts exceeded $100 billion.

Such losses have made insurance a low-margin business, prompting major market players to stop issuing policies in states prone to natural disasters. As a result, analysts forecast a rapid 20–40% drop in property values in those areas.

These cases are not isolated; price declines are also being observed in Ontario, London, and Cambridge. Foreign property owners are hit the hardest, often rushing to list their assets for sale.

In this article, we explain how to prepare your foreign property for sale and successfully close the deal without future issues, whether with the buyer or with the laws of either country: the owner’s country of citizenship and the property’s location.

Preparing Property for Sale

International buyers expect a property to be in excellent condition, with a clear legal history and no hidden issues. Let’s start with the renovation as the first aspect. In international markets such as Spain, Portugal, and the UAE, buyers often look for turnkey properties that require no additional investment. According to Knight Frank’s 2024 reports, quality cosmetic renovations can increase a property’s value by 7–15%, and up to 20% in the premium segment. Here’s what needs to be done:

• Cosmetic renovation. Repaint walls in neutral colors this appeals to a broader range of potential buyers compared to thematic or niche interior designs.
• Modern equipment. Upgrade the apartment’s equipment, whether it’s installing an air conditioner or smart home systems. For example, in Italy, simply modernizing bathroom equipment with digital control systems can increase the property’s value by 5–10%.
• Fix defects. Inspect and repair minor issues like wall cracks, squeaky doors, ceiling stains. These seemingly small flaws easily ruin first impressions and catch the eye immediately.
• Focus on key areas. Pay special attention to the kitchen, bathroom, balcony, and washroom, as buyers tend to prioritize these areas. In the U.S., for instance, a renovated kitchen can recoup up to 80% of the renovation costs at resale.

A critical prerequisite for a successful property sale is the proper functioning of electrical systems, plumbing, heating, air conditioning, and ventilation. In countries with mature real estate markets, it’s standard practice for buyers to request technical reports or commission independent inspections. Naturally, any identified issues will negatively affect the final sale price.

What to check:

• Electrical systems. Ensure wiring complies with local regulations, outlets and switches function properly and do not spark, and meters are in working condition. In Germany, for example, outdated wiring can be a deal-breaker, as replacing it may cost between €5000 and €10,000.
• Plumbing. Inspect faucets, showers, and toilets for leaks. Pipes older than 10 years should be replaced. While this may require an investment of €2000—3000, it can justify a price increase of at least €5000.
• Heating and air conditioning. In countries with harsh winters (Finland, Sweden, Norway, Canada, etc.), buyers will prioritize the availability and condition of heating systems. In warmer climates, they will focus instead on air conditioning and cooling systems.

Keep and organize all documentation related to the property and its components including manuals for climate control systems and plumbing fixtures. This is especially important for technical reports and records of completed repairs or replacements of internal systems.

Legal Cleanliness of the Property

Hidden encumbrances can derail a sale or lead to legal disputes. In 2024, 12% of transactions on the European secondary real estate housing market failed due to unverified legal issues. In many cases, owners are not even aware of these problems until they surface during the property registration stage with the local land registry.

To avoid such complications, the first step is to verify the existence and validity of the ownership documents for your property. In Spain, this can be done through the Escritura Pública; Title Deed in the UAE; Deed of Trust in the U.S. Request an official extract from the real estate register (e.g., the Land Registry in the UK or Catastro in Spain) to eliminate any doubt for the buyer that you are the sole legal owner.

Next, check for any liens, fines, or outstanding debts. For instance, in Italy, unpaid property tax (IMU) may be transferred to the buyer, an unpleasant surprise that can lead to disputes. While these checks can be done through the local property register, it’s strongly recommended to engage a local attorney to conduct a thorough due diligence.

One of the most common hidden liabilities arises from unpaid utility bills, property taxes, or service charges. Such debts may accumulate even if you pay on time for example, due to a miscalculation or a missed levy (e.g., a local waste removal fee). In most cases, it’s sufficient to contact the homeowners’ association, utility providers, or municipal authorities. At the same time, it’s best to obtain an official debt clearance certificate stating there are no outstanding obligations.

If you purchased the property using a mortgage, contact the bank before listing real estate for sale to clarify the remaining loan balance, accrued interest, and the conditions of sale. Confirm whether your mortgage agreement allows a sale, and if so, what actions are required on your part. In most countries (including France, Germany, and Spain), the bank must provide written consent for the transaction. Otherwise, it may demand early loan repayment or charge a release fee (typically 0.5–1% of the loan amount). 

Be aware: the bank has the legal right to initiate court proceedings, which can temporarily freeze all operations involving the property, rendering any transaction both impossible and illegal until resolved.

Developing a Sales Strategy

Creating a strategy helps determine when, to whom, and how to sell a property. Without proper market analysis, it’s unlikely you’ll set an optimal price or choose the right time to sell. For example, in Spain, properties in tourist areas are best sold in spring, when demand peaks. In the UAE, the housing market prices tend to stagnate during Ramadan.

Seasonality plays a major role in buyer demand. In countries like Spain, Greece, and other tourism-driven markets, the peak season for property sales falls between spring and early summer. In Thailand, demand drops sharply during the rainy season (June to October).

Holidays must also be factored into your strategy. In Muslim-majority countries such as the UAE or Turkey, demand typically declines during Ramadan due to reduced working hours and religious observances. In Europe, it’s generally inadvisable to list a property for sale just before the Christmas holiday season in December.

To determine the optimal listing price, analyze the value of comparable properties. Ideally, base your estimate on 10–15 similar real estate listings. Your property will be more attractive to buyers if it is priced even slightly below the average. Even a margin of just a few thousand euros or dollars can make a noticeable difference in buyer interest.

Additional legal aspects to verify:

• Right to sell. The seller may not always have the legal right to sell the property for example, if restrictions apply that require five years of ownership or residence before resale is allowed. Such rules exist in Singapore and in certain cantons of Switzerland.
• Right of purchase by non-residents. It’s essential to confirm that foreign nationals without residency status are legally permitted to buy your property. In Canada, for instance, foreign buyers were banned from purchasing residential real estate starting in 2023. Although the ban was initially set to expire in early 2025, it was extended until January 1, 2027.
• Transaction requirements. Completed new-build properties fall under the primary market category, whereas your property will be classified as secondary market real estate and may therefore require additional documentation for sale. In Spain, the sale must be notarized; in the U.S., sellers are required to open an escrow account to ensure secure financial transfers.
• Tax considerations. Study the local taxes on property sales and most importantly, how the proceeds from the sale will be classified under the local tax code. For example, in Italy, the capital gains tax for non-residents ranges from 20% to 43%, but only applies if the property is sold at a profit. In Australia, if you sell the property within one year of purchase, you pay the full income tax rate (30%); however, if the holding period exceeds one year, the tax drops to 15%.

Countries where capital gains tax applies on property sales:

A final step in preparation is identifying the specific audience you want to attract. This helps you craft a targeted sales strategy in the following ways:

• Local residents. Often seek property for permanent residence, whether through purchase or long-term rental with a relatively cheap market price real estate. In your property listing, emphasize surrounding infrastructure such as shopping centers, hospitals, daycare facilities, and schools.
• Foreign investors. Typically focus on return on investment. Highlight the property’s potential real estate interest rates in the listing. The second key factor for investors is market demand, especially for short-term rentals i.e., among tourists.
• Tourists. Tailor your message to showcase nearby attractions. Describe points of interest within walking distance or easily accessible via nearby public transport.

Selling Property on the Foreign Market

Once the property is prepared and the sales strategy is in place, the next phase is active promotion. Choosing the right sales channel will largely determine how quickly you find a buyer. Here are the main options:

• Local real estate agents and realtors. Partnering with local professionals is usually the most reliable option. They understand the market, speak the language, are aware of cultural nuances, and have access to a local buyer base. Commission rates vary: 3–6% of the transaction price in most European countries, 2–4% in the UAE.
• International platforms. These platforms are more than just listing real estate portals; they verify sellers, hold strong reputations, and often support the transaction process. Posting your listing on such sites is the most effective way to reach foreign buyers. For example, in 2024, 30% of property sales in Dubai involving foreign nationals were facilitated through Property Finder. Choose platforms that feature both primary and secondary market listings.
• Selling independently. This option may work if you’re familiar with the market and speak the local language. However, it’s almost certain to take more time. If the buyer plans to finance the purchase with a mortgage, you’ll need to personally manage all legal and administrative aspects, especially if the property is still under an investment property loan agreement.

Creating an Attractive Property Listing

The first thing a potential buyer sees at home search is your listing. It forms their initial impression and often determines whether they’ll explore it further or scroll past particularly for foreign buyers who can’t visit the property in person. Photos, 3D tours, and descriptions are all they have to rely on.

How to make your listing stand out:

• High-quality photos. Take clear, well-lit photos using natural light. Capture all key areas: kitchen, bathroom, living room, and the view from the windows. Consider hiring a professional photographer: according to Rightmove data from 2024, listings with professional photos receive 60% more views.
• 3D tours. Virtual tours are widely used in new developments, but they’re just as effective in the secondary market, especially in the premium segment. Matterport technology allows you to create a fully interactive 3D model of the property for €200—600. In Dubai, for instance, 70% of apartments offer 3D tours, as most buyers from Europe or Asia cannot inspect properties in person.
• Detailed description. Include full specifications: area in square meters, number of bedrooms and bathrooms, floor, year of construction, condition, and nearby infrastructure (beach, schools, transport, etc.). Mention legal aspects such as rental potential or the absence of encumbrances. Translate the description into both the local language and English to broaden your audience. If you’re working with an agent, they will typically handle most of this.
• Transparency. Don’t hide flaws. For example, if there’s no elevator or if the area is noisy. In the U.S., buyers have the right to walk away from the deal or demand a 5–10% price reduction if hidden issues are uncovered post-agreement.

As an alternative to a 3D tour, consider a live video showing via Zoom or WhatsApp. Prepare a walkthrough script in advance. If you can’t conduct the tour yourself, a local real estate agency can represent you and handle viewings on your behalf.

Additional Costs When Selling a Property

It’s commonly assumed that only buying real estate involves significant expenses — but selling also incurs a range of costs, including some mentioned earlier. Below is an overview of the main expenses using the example of selling a property in the United States:

In some countries (e.g., Thailand, Turkey), there are legal restrictions on transferring proceeds from a property sale abroad. Consult with a bank or legal advisor in your country to determine whether such capital controls apply, and what the current transfer limits are.

Closing the Sale

In most countries (such as Spain, Italy, and France), the transaction begins with the signing of a preliminary property purchase agreement (Contrato de Arras in Spain, Contratto Preliminare in Italy). This document defines the price, deadlines, and key terms of the transaction — including the deposit, typically 5–10% of the property value. In Spain, for example, the deposit is returned to the buyer if the deal falls through due to the real estate seller’s fault. Conversely, if the buyer backs out, the deposit is forfeited as a penalty — effectively a financial loss.

In many European countries (Spain, Portugal, Germany), real estate agent services are not mandatory, but the involvement of a notary is. The notary is responsible for certifying the final sale-purchase agreement and registering the deal in the property registry. Notarial fees typically range from €500 to €2000 in Europe, and $1000 to $3,000 in the UAE.

Although optional, using a real estate agent or agency is strongly recommended. Reputable agencies have vetted professionals who ensure the legal clarity of the transaction, help protect you from fraudulent buyers, conduct due diligence, and prepare the full set of required documents.

Final Step is the handover of the property. To officially transfer the property to the new owner, complete the following actions:

• Prepare and sign a handover protocol. This document confirms that the property has been transferred (Acta de Entrega in Spain, Handover Protocol in the UAE) and records its current condition. If any issues arise after the sale — such as wear and tear or system failures — and the buyer attempts to hold you responsible, the protocol serves as legal proof that the property was in good condition at the time of transfer.
• Notify utility providers. Transfer accounts for electricity, water, gas, and building maintenance to the new owner. In Spain, this is usually done through the building’s administrative body (comunidad), while in the UAE, it’s handled via DEWA (Dubai Electricity and Water Authority). Any outstanding balances must be paid before ownership is transferred.
• Register the sale in the land registry. In most cases, this is done by the notary during registration of the final buyer and seller agreement contract. In some countries, however, it may require action by the seller or their authorized representative. In the U.S., this responsibility is typically handled by the escrow agent.

If you’re working with a real estate agency, they will typically take care of this on your behalf. If no intermediaries are involved, you can either hand over the keys personally or assign someone to do it for you.