Real estate in France is still considered attractive for investments
UNITED KINGDOM
The United Kingdom remains an attractive country for investments, though getting an investor visa there became more costly last year. Since November, the government increased the minimum investment threshold required to obtain an investor visa, which gives a non-resident the right to obtain residency and citizenship, from 1 million to 2 million pounds sterling.
If you have no plans to move to the UK, you can simply try to make money on real estate. "The tax system is convenient here, and rental yields continue to grow. This attracts eager investors from all over the world," says Igor Indriksons, real estate investment manager and founder of Indriksons.ru. The yield on British residential properties exceeds 5%, the expert says.
Furthermore, according to a forecast by Yulia Kozhevnikova, leading expert at Tranio.Ru, prices for luxury housing in London will stagnate or even fall in 2015 if a mansion tax – a higher tax on expensive properties – is introduced. It is expected that it will be levied on owners of properties worth more than 2 million pounds. Then, over the next five years, once the market gets used to changes, prices could rise by 15-20%, the analyst believes.
Thus, the coming year is ideal for buying an apartment in London.
AUSTRIA
Austria is suitable for those who love to admire the mountains or go skiing. This country is not without reason one of the most stable markets for 'ski real estate' in Europe. The season lasts almost 150 days a year, meaning you can both have time to relax yourself and earn money by renting out property. The occupancy of resorts here is almost year-round.
"The rental yield on Austrian residential properties reaches over 4% per annum," says Igor Indriksons. However, the expert notes that buying a home in Austria can be difficult and recommends paying attention to commercial properties – for example, a chalet at a ski resort.
Investors who prefer an urban lifestyle will find suitable properties in the Austrian capital, Vienna. The rental housing market here is quite stable, with tenant numbers and prices hardly subject to sharp fluctuations.
FRANCE
Real estate in France is still considered attractive for investments, and experts say it remains popular among Russians, despite a slight outflow of our compatriots from that country. The most popular with Russians are the Côte d'Azur and the 'Golden Triangle' in Paris – between Avenue George V, the Champs-Élysées, and Avenue Montaigne.
The yield on real estate in France, according to Indriksons.ru, averages 3.5-4.2%. Apartment prices in Paris are slightly decreasing: in 2015, the average price per square meter may drop below 8,000 euros for the first time in a long time, Tranio.Ru reported.
"Such a situation is unlikely to last long, so buyers should take advantage of the chance to buy before prices start to rise," says Yulia Kozhevnikova.
MALTA
If you are interested in a way to move to another country, you should also consider Malta. The citizenship by investment program here de facto started working in spring 2014.
To obtain Maltese citizenship, you need to buy property worth at least 350,000 euros. "For that amount, you can purchase quite interesting apartments. For 650,000 euros, you can already buy your own house or multi-room apartments, a penthouse," says Irina Simonyan, Marketing Director of Henley & Partners for Russia and the CIS.
According to her, an apartment on the secondary real estate market in a good area can be purchased on average from 300,000 euros. New apartments in a good location will cost 600,000-800,000 euros.
According to the program rules, purchased property cannot be sublet or resold within five years after obtaining citizenship, so you should approach the choice of housing as responsibly as possible.
If the idea of living in Malta eventually loses its appeal, you can try to make money on the subsequent sale of the property. "Given the limited supply of real estate in Malta and the constant growth in demand for property, its value will only increase, which will certainly be attractive for investors in the long term," says Irina Simonyan.
ANTIGUA AND BARBUDA
Another nice place where you can get citizenship by investment is Antigua and Barbuda, a state on islands in the Caribbean Sea. The minimum investment amount is $400,000. However, there is a limited list of projects of completed or under-construction real estate that the government recognizes as a basis for obtaining citizenship, explains Irina Simonyan.
The purchase of yacht berths is also considered an investment. Investments in marinas are considered one of the most effective types of investments.
Citizens of Antigua and Barbuda can visit over 130 countries worldwide, including Europe, without a visa, which can be an important bonus given the difficult relations between Russia and the West. Moreover, the country recognizes dual citizenship.
According to Henley & Partners (Russia and CIS), most program participants buy housing for $500,000 – $1.5 million in resort areas.
Ekaterina SAKHAROVA.
Gazeta.ru