If you plan to buy a Costa Blanca property this year, it's clear that you'll want a fantastic exchange rate, when you transfer your money to Spain. After all, when the pound stands tall versus the Eurozone's common currency, you receive more euros in your Spanish bank account!
In turn, this gives you a helping hand to buy your dream Costa Blanca property, whether that's paying the legal costs, the administrative fees, or even buying a more luxurious property than you'd had in mind, by the beach or with a terrace! With this in mind, here are 5 tips to lift your exchange rate.
1. To get the best exchange rate, plan your money transfer well in advance.
Do you intend to buy the Costa Blanca property you've got your eye on in the Winter? In that case, look at exchanging currencies as far in advance in you can, for example in the Autumn. Why? Well, because the sooner you look at transferring your money, the bigger the window you give yourself for a good exchange rate to become available.
For example, just this past month the GBP has jumped +6 cents against the EUR, to 1.1426, its highest since mid-July. With this in mind, it makes sense to keep an eye on the FX market, to lift your euro total, to buy on the Costa Blanca!
2. For a stress-free money transfer, talk to a friendly, professional currency dealer.
Is this your first time transferring a significant sum of money abroad, to buy a Costa Blanca property? If so, you might have questions about how the money transfer process works, whether your funds are secure, and what's affecting the exchange rate currently.
With this in mind, to answer your questions, just speak to a friendly, professional currency dealer. He or she will speak to you in straightforward language, without any jargon, to put your mind at ease. Given this, whatever beautiful Costa Blanca property you plan to buy, your money transfer will go 100% stress-free.
3. Transfer your money with a specialist currency broker, instead of your high street bank.
When we transfer money to Spain, it's tempting to go straight to our high street bank. After all, we use our high street bank for other financial matters, so it's our first port of call. The thing is though, the high street banks know this, so they use this as an excuse to offer inferior exchange rates.
Instead, a specialist currency broker can get you an exchange rate significantly better, when you transfer money to Spain. This is because foreign exchange dealers take smaller margins than the banks, thus passing the savings onto you. As a result, you receive a higher euro total!
4. Accept a good exchange rate as soon as it becomes available.
When you exchange currencies, our impulse is to wait and see how high the exchange rate goes before we transfer our money. The thing is though, the foreign exchange market is highly volatile, meaning that a favourable pound to euro rate can quickly fall.
Given this, instead of trying to "time the market" and transfer your money to Spain when the exchange rate "peaks", it makes more sense to exchange currencies when a good rate arises. This way, you'll make sure that you receive the euro total you need in your Spanish bank account, to buy your ideal Costa Blanca property!
5. Keep an eye on the foreign exchange rate with Google, to see when the pound rises.
To keep an eye on the foreign exchange rate, and find out when sterling climbs, you can simply use Google. Just enter "GBPEUR" into the search engine, and Google will return the current exchange rate, as well as a historical exchange rate graph, so you can see if the exchange rate is favourable compared to the recent past.
This way, you'll know when's a fantastic time to transfer your money to Spain, to buy your Costa Blanca property!
By Peter Lavelle at foreign exchange broker Pure FX https://www.purefx.co.uk
+44 (0) 1494 671800