Sunday, April 14, 2024

4 of the Best Locations for Investment Properties

Property investment is a lucrative business. Depending on where in the world you buy, you could secure a valuable asset that pays for itself, all the while appreciating in value and providing you with a place to stay when not in use.

However, not all destinations are made equally. Considering supply and demand, real estate prices and the types of rental opportunities available in different areas, there’s a good chance that the best return on investment (ROI) isn’t right on your doorstep.

In fact, it might not even be found in your home country. With that in mind, we’ve compiled a list of some of the best locations around the globe to invest in property, so you can build a portfolio to be proud of. Grab your passport and let’s take a trip.

1.    Dubai, United Arab Emirates

Tourism in Dubai is booming. The cosmopolitan jewel of the UAE is hugely popular with the trendy and elite, who splash big bucks to stay near iconic attractions like The Palm or the Burj Khalifa. And this isn’t letting up: as rental management agency Frank Porter reports, “with over 16 million tourists in Dubai per year, the demand for holiday homes will continue to increase”. This makes Dubai a golden choice for investors looking to purchase and lease short-term rentals to the burgeoning numbers of holidaymakers going East.

Dubai is also a hotbed for international working contracts due to its status as a tax haven. Many workers come to the city for business trips lasting longer than the average holiday, making hotel stays unaffordable. As a result, they choose to stay in short-term rental accommodation, creating a market demand that is begging to be met by investors.

2.    The Algarve, Portugal

Portugal’s Algarve region is located on the southernmost coast of the country, and is home to sandy shores, sparkling waters and an ever-increasing population of expatriates. This is due, in part, to the generous financing options provided by Portuguese banks, offering low mortgage rates and incentive programmes for international buyers.

Cultural hotspot Lagos is one popular destination for relocation in the Western Algarve, boasting undervalued and underdeveloped property waiting to be flipped and sold on for a high price. Elsewhere, the central area of Albufeira contains a wealth of amenities that have earned it the title of Portugal’s “tourism capital”. Albufeira’s historical old town and picturesque golf courses make it a profitable option for short-term letting, particularly during the peak summer months.

3.    Milan, Italy

The rich culture, delicious cuisine and fashionable spirit of Milan make it one of the trendiest cities to live in Europe. Property purchases are inevitably on the pricier side, but offer investors significant returns on their payment with high rental costs commonplace in the city. Buying in Italy is relatively straightforward, as UK nationals and residents of other countries with reciprocal agreements can make purchases without living in the country.

Those that choose to invest in real estate in Milan could benefit from a new incentive programme to encourage energy efficiency in the city’s homes. As reported by the International Trade Administration, the Italian government has launched a scheme that “reimburses homeowners for up to 110% of the cost of building improvements that increase energy efficiency”. For those looking to sustainably invest their money and ensure a healthy ROI, Milan may be just the place.

4.    Kingston, Jamaica

Flying to the other side of the world to the capital city of Jamaica could be well worth the extra travel time. The allure of the Caribbean is ever-present across the islands, but few tropical destinations are more appealing to investors than Jamaica. Recently reduced mortgage interest rates and higher loan limits have boosted demand for homes, and property value in Kingston continues to increase.

So much so that Jamaica’s famed port city offers some of the highest buy-to-let gross rental yields on the international market. According to Global Property Guide, the figure sits at an average of 9.75%. This is calculated based on the value of the property and the potential income it could generate per year, thanks to lower relative prices for homes in Kingston and the high demand for rentals in the city.

Claire James
Claire Jameshttp://www.firedigitaluk.com
Claire is an accounts manager at Fire Digital UK, an online publishing and content marketing company based in the North West.

Recent Articles

Related Stories

sakarya escort bayan Eskişehir escort bayan