Investing in the Property Market

EUROPEAN REAL ESTATE MARKET:

Its true that financial market has sent many of the investors to the real estate market to get some good results from their investments, I also want to share with you some of the same information as should be helpful for you if you have the same interest or planning for the same as investment in the property market. The crisis in international financial markets has prompted many investors to invest in the brick, even across borders. Where to buy? Experts advise Berlin, Budapest and Athens. Buy homes across borders.

The idea back to like the Italians. If in fact in 2002 the purchase of homes abroad has declined by 5%, in 2003 foreign investment in bricks and mortar are back in vogue complicates the crisis in financial markets worldwide. “At the moment – says Mario Breglia, president of Scenarios estate – the average investment for a home abroad is around 150 thousand euros, in practice 11% more than last year.” But where to invest? The best-known experts recommend buying real estate in European countries and focus on properties of small size. “The studios and apartments situated in some of the most famous European capitals – says Alex Benedetti, Secretary General of CEPI (European Council of real estate professionals), the most important European organizations, comprising between 150 thousand and representing real estate brokers and managers for business Foreign Fima / Italian federation of brokers and dealers business) – offer an average return that ranges from 4 to 6%, but can go up to 8% if the investment takes place in areas of particular prestige. An example is Berlin. Here, the average prices of homes ranging from 1,800 to 2 thousand euros per sqm. Little, if you compare the prices of this city with those of other European capitals.”

Where should invest: Excellent deals can be concluded also in Spain, Portugal and Greece. Here the prices were unchanged. And the prices are even below the European average. In Spain, for example, one can still conclude good investment. Particularly along the Costa Brava, where expenditure on the purchase of a property does not exceed 2,200 euros per sqm. Also offers excellent opportunities to Portugal. In Lisbon, the houses in the center and semi-central areas (Avenida José Malhoa and Praca de Espanha) do not exceed 1,800 euros per sqm. Low prices destined to rise in 2004, the year in which the city will host the European football championship. The same goes for Greece. Here are the areas most attractive suburbs of Athens. And if we consider that in 2004 the city will host the Olympic Games, it is easy to understand that if you invest without losing time, there is only to gain.

Those who prefer to plan their business in the long term. You can opt for Turkey. In Istanbul, for example, prices are very low by European standards of other capitals. And, according to experts, the cost of houses will remain for at least a couple of years. Who bothers to make purchases in this area, the advice is to buy apartments in prestigious condominiums or villas, which, being little demand from the local market, prices remain almost balance. Just go in the ancient city to understand that, in the suburbs of Eminonu, Fatih, Antalya, Beyoglu, Sisli, Besiktas and Saiyer, share prices of property vary between 350 and 420 euros per sqm. Low prices in the Netherlands. For example, in Rotterdam, where, in recent times, property prices have experienced a slow decline (-10%). A trend that, according to the analysis of industry experts, will intensify towards the end of this year.

Another country that offers good investment opportunities and Hungary. The proof lies in the fact that in recent years Budapest has been able to attract the attention not only of individual investors, but also and above all, a major international real estate companies, including Tecnocasa. “This is the case – says Stefano Accornero, in charge of Hungary for Tecnocasa – for those who are content areas near the center, have prices ranging from 400 euros per apartment to be restored to a maximum of 1,200 euros per sqm. With the possibility where the property purchased was rented, have a minimum average annual return of 7%. Those, however, does not want to give up a home overlooking the Danube, in the hills of Buda, which together with that of Rose and the Royal Palace, is among the most beautiful in the city, spending goes up to touch the 4 thousand euro per square meter.. Still remaining in the east, among the countries to consider, there are Romania and Bulgaria. “In Bucharest, for example – says Flavio Sanvito, national president of Unioncasa – a prestigious apartment in the heart of the city can cost around a thousand euros per sqm. Not much, considering that a building of this kind can provide an average return of 15 % if leased. Another area that currently attracts the attention of many real estate companies is that the Black Sea Why is he here now are focusing first direct investment in bricks and mortar in places like Kenya, Santo Domingo, Islands and the French Riviera, areas have been off limits. Rising interest for the Baltic Republics, especially in view of their entry into the European Union, scheduled for 2004. Here the average cost per square meter, if you do not have excessive claims, partly by 400 and reaches the 750. Among the countries to be taken into account. There is also Croatia. “In this region – Attinà said Rocco, vice president and head of the observatory building Fiaip (Italian Federation of Professional Estate Agents) – the Board is to invest in the coastal area. Not everyone can do this. Legislation in the place indeed, not permitting ‘direct purchase as individual, but only through a company.