Market experts clearly distinguish three 'types' of buyers of foreign real estate depending on the purpose of purchase. The first are those who buy property for vacation – they are the majority. The second are those who intend to make money this way. The third, the smallest group, includes those who need a roof abroad for living, work, or both.
The most popular market segment today is resort real estate. Property at resorts in Bulgaria and Turkey was particularly widely represented at the exhibition. Bulgarians, by the way, occupied almost half of the 'international section' of the exhibition, and they offered not only houses and villas in coastal regions, but also near ski slopes. This is due to the relative cheapness of such property. A square meter of housing in new buildings costs here about $1.000-1.500. On the secondary market, the price drops to $300-500 per sq. m.
Real estate in Turkey is generally striking with affordable prices. For example, renting a small nice apartment on the coast of Antalya can be for $350 per month. And a five-room apartment, furnished to the highest standard with a sea view from all windows, will cost $2.800. In the Russian capital, that's the cost of renting a not-so-luxurious three-room apartment in the Garden Ring area, which, moreover, will also require buying interior doors and some furniture.
But it's better not even to rent property in Turkey, but to buy - while the country has not joined the European Union and prices haven't jumped threefold, as usually happens. Today in this country it is quite possible to buy an apartment on the secondary market for $20 thousand. All experts are confident that buying property in Antalya, Izmir or Bodrum is a very good investment. After all, life in Turkey is much cheaper than in Europe.
It is clear that having bought property in Turkey, there is no need to spend the whole year there. The agency that sold you the apartment, or a travel company (often companies combine these functions) will take the apartment or house under trust management for a 10% commission of the annual income.
Now in Bulgaria, for €100 thousand you can buy a two-story house. A villa of 300-350 sq m with a pool will cost two to three times more, depending on the prestige of the location. Even more will be asked for a similar house in Cyprus: 215 thousand local pounds, that is $420 thousand. For apartments - approximately $100-140 thousand. These are primary market prices; on the secondary market they are lower - $80-90 thousand.
Those wishing to live in Spain will have to pay €100-150 thousand for a bungalow of 100 sq m on the Costa Brava or Costa del Sol. But the highest prices in the Mediterranean are the French Riviera. Compare: the cheapest apartments here cost about €250 thousand. However, it's not uncommon for the price of luxury villas to consist of seven zeros.
The range of options is wide. There are companies offering property in the Dominican Republic, the USA, Madagascar, Mauritius, the United Arab Emirates - the Eastern 'vanity fair' recently allowed foreigners to buy housing. It goes without saying that the UK and Switzerland are in demand.
Those offering the Green Continent come up with very curious arguments. It turns out that 'the mentality of Australians is very similar to ours, but at the same time it is a legal state with real democracy.' It is noted that 'in a country of immigrants, you feel like a local from the first day.' And finally, 'in our turbulent times, you can feel completely safe from all possible European-Asian conflicts.' Plus unusual nature and good ecology. In the residential complex 'Centrum' on the Gold Coast near Brisbane, an apartment of 81 sq m - bedroom, studio, bathroom and balcony - costs $292 thousand. If the number of bedrooms and bathrooms, as well as the balcony size, are doubled, the price will be $368 thousand.
And those of our compatriots who intend not to live in the property acquired abroad, but to receive income from it, experts warn about the rather low payback of such property - on average 15 years with an investment return of 3-5% per year. Greater profitability is only achieved by purchasing an apartment building - investment returns increase to 12-15% per year.
It should also be noted that in most European countries, real estate speculation is not encouraged. For example, in France, if you sell an apartment within a year of purchase, you need to pay a third of its value as tax. Each subsequent year reduces this amount somewhat. In Turkey, such a fee is 25% of the property value, in Germany it ranges from 10 to 15%.