British expats eye high returns in burial plots
If you can’t make that big ticket investment in the UK’s real estate market, here is an alternative way to invest – buy a burial plot.
The company that is offering burial plots in the UK to residents of the UAE says investors can get a return on investment (RoI) of over 37 per cent.
“Plots are purchased at £1,850 (Dh11,306) each and sold for a minimum of £2,595, in accordance with the terms of the contract, in approximately 24 to 36 months. There is an exit administration fee of £50 per plot, which means that the minimum net profit is £695 per plot, amounting to at least a net 37.5 per cent RoI,” according to FJP Investment website.
In response to a resident’s query, an investment manager for FJP Investment, clarifies that there are no restrictions on who is eligible to buy to cemetery space in the UK.
“British passport holders are able to buy cemetery space as is the case for any foreign national, there are no restrictions on who is able to buy. The terms and conditions/price is exactly the same for every person buying even if they are British or Chinese.”
He adds: “The only other costs you may incur are the cost of sending your contract back to the UK and maybe your bank will charge you to send money to the UK. But otherwise that is everything.”
The advisor reveals the company has received a lot of interest from expatriates living in Dubai.
“Typically we have noticed that they are building their portfolio of investments back home (UK) in preparation for a return in the future. I would estimate that around 15 to 20 per cent of purchases made over the last three cemeteries have come from expats/foreign workers living and working in the UAE.”
FJP Investment states the sales process is quite simple, the plots are purchased by investors at a pre-opening discounted price and then resold via existing funeral homes, other arrangers, hospitals and various religious organisations.
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