5 Tips for Moving to a New Country
If you want to wake to the smell of freshly baked croissants from the Parisian bakery down the street or spend your days sunbathing on the beach in Spain, you’ve maybe considered moving abroad. With more companies offering remote work, now may be the time to fulfill that dream.
Moving even a short distance away can be stressful. When moving to another country, it’s normal for even the most relaxed people to feel overwhelmed. You can reduce the stress involved with your new adventure by planning and making preparations in advance. Here are five tips to help you with your move abroad.
Do Your Research
Even if you've visited your new country of residence, do your research, particularly when it comes to housing, transportation, and local culture. Once you know what city you'll call home, find out what different neighborhoods offer in the way of housing, nightlife, and other living requirements. Make a list of areas that meet your needs and budget, then look for homes in those parameters. Virtual home tours are increasingly common, meaning you can view numerous properties without having to take an extended trip overseas before your move.
Get Your Paperwork in Order
There's always a considerable amount of paperwork on every moving checklist. There’s even more when traveling to a new country. By tackling these administrative tasks in advance, you can reduce the hassle and cut any red tape that may occur during your move.
First, make sure you have a valid passport. Obtaining a passport can take several weeks or even months unless you pay to have it expedited. During this time, you'll also need to secure the appropriate visas and legal permissions for where you're moving.
You should also check with your financial, medical, and investment providers to find out what services – if any – will be available outside the U.S. In some cases, it may be best to transfer your accounts to a company that has active locations in your new country. Ask locals for suggestions on providers to use.
This is also a good time to sort out legal documents and paperwork. Make sure your will and beneficiaries are updated with your new address and information. If you don't have one already, take time to draw up a basic will that meets the requirements of your new home.
Build Your Savings
Moving almost always costs more than expected. Rather than rely on your monthly income or emergency savings, create a separate bank account where you can save money you'll need for moving-related expenses, such as shipping, transportation, and deposits.
Plan on saving at least 10% more than what you think you'll need in case you run into unexpected costs along the way. If you start far enough in advance, you can maximize your savings by putting money in a high-yield savings account that will accrue bonus earnings.
Rent or Sell Your Home
Deciding what to do with your home is an important decision because it's likely your biggest financial investment and asset. What you do with it may determine how comfortable you'll be in the short and long term.
Some homeowners may decide to keep their home and rent it. This could be a good choice if you plan to live overseas temporarily or if you owe more on your mortgage than you'd earn from the sale of your home. If you opt for this route, you'll likely need to enlist the help of a local property manager who can maintain the property and fulfill tenants’ needs while you're gone.
By selling your home before moving abroad, you can add a lot of money to the nest egg you've built over time. It also removes the hassle of finding tenants and maintaining the property while eliminating housing-related expenses, such as property taxes, maintenance, and repairs.
In most cases, you want to sell for a high price to maximize your earnings. Work with a real estate agent who can conduct a comparative market analysis (CMA) examining comparable home sales in your area to give you an idea of how much you can earn from the sale of your home. A CMA will help ensure that you price your home to sell on your timeline and for a price that supports your international dreams.
If you have a short moving timeline and are more concerned with selling your home quickly than fetching the highest price, you still have options. You may want to consider companies that buy houses for cash. You may not earn as much as you would by listing on the open market, but you may be able to close in a few weeks without having to prepare your home for sale.
Decide What to Do With Your Other Property
Packing involves more effort than buying enough moving boxes. Anytime you move, it’s important to sort your belongings and decide what you'll take with you, what you'll sell, and what you'll put in storage. When moving overseas, it’s even more important to review your property with a keen eye.
If you're moving for a year or two, it may be more cost effective to store some items, including furniture, dishes, and clothing. If you plan on moving permanently or for the long term, it might make more sense to sell most of your belongings and keep what you can pack in a suitcase or ship affordably. Remember, some countries may require you to pay customs fees.
