** We are presently unable to cover property in Chile.**
The republic of Chile located in South America, occupies a long and narrow strip of land wedged between the Andes mountains and the Pacific Ocean. Almost a third of the country is covered by the Andes mountain chain. A beautiful country of great contrasts, in the north, you can find the driest place on the planet, whilst in the centre of the country is a 700 mile long fertile valley.
Holiday or second home insurance is available to purchase for property in Chile from the United Kingdom. If you are intending to purchase a property in Chile using a mortgage, then obtaining building insurance will almost certainly be a requirement. Chile has in recent years suffered from the effects of flooding and historically, Chile is one of the most seismically active regions in the world. It sits on the South American plate, directly above the sub ducting Nazca plate. This active zone causes frequent earthquakes in the region. The good news for property buyers is though that whilst earthquake hazard in Chile is among the highest in the world, the countrys building codes and practices have been adapted to respond to this and most modern structures have taken the increased chance of a financial loss in to consideration.
A holiday or second home insurance policy, will cover a broad range of insurance perils and you should be able to obtain a list of the available perils covered prior to your purchasing your policy. If you are intending to rent your property, either on a short or long term basis, you should check with a local solicitor who can alert you to any special legal requirements.
Probably not on many peoples dream holiday list of destinations, Chile is now beginning to attract the attention of many investors. Often considered to be The end of the earth”, such names as Cape Horn or Tierra del Fuego, conjure up pictures of brave mariners battling with inhospitable weather. However, this overlooked country has much to offer, for one thing property prices are very cheap and the economy is stable and growing. The country has the highest credit rating in South America. Corruption levels are low, in fact, the country has a comparable rating to Belgium and lower than Spain. Chile has one of the most open and investment friendly economies in the world, there are very few restrictions on foreign investments and foreign and local business are treated equally. The legal system is highly respected as are the police force. From an investment point of view, it has a large and growing middle class all looking to buy property. These factors make many believe that Chile offers excellent investment opportunities.
The process of buying property in Chile, whilst free from many restrictions, can be a little involved and thus it is important to seek out good quality legal advice. Whilst the process itself is not overly complicated and follows along the same lines as many European countries, problems can arise for persons of overseas origin. If you have a tourist visa, work visa, or you are a foreign investor, and you do not have temporary or permanent residency in Chile, you must apply at the National Tax Office (Servicio de Impuestos Internos SII) for a RUT (Rol Único Tributario). This is merely a formality and like many other countries, this number issued for tax purposes and is needed before you can buy property. If you are a permanent resident in the country, a different number issued.
Once you have overcome this hurdle and all the checks relating to title are undertaken you can validate the sale with the signing of a formal document called escritura pública.
The main holiday home areas are: Antofagasta Region, Araucanía Region, Atacama Region, Aysen Region, Bío-Bío Region, Coquimbo Region, Los Lagos Region, Magallanes Y La Antártica Chilena Region, Maule Region, O’Higgins Region, Santiago Metropolitan Region, Tarapacá Region and the Valparaíso Region.