Kyiv, Ukraine, July 28, 2021 –(PR.com)– DGY is a real estate investment company that helps businessmen become successful investors. Having an impressive expertise in real estate, they have collected the most relevant information about the latest trends of real estate in Ukraine and explained why it is worthwhile to invest in properties in Ukraine in 2021.
There is a strong belief among investors that it is more profitable to invest in less developed countries because returns are higher in the long run compared to developed countries with stable economies.
According to real estate trends, Ukraine appears to be a very beneficial country. For example, it is clearly seen while comparing statistics of prices for property in other European countries. Thus, smart investors prefer to invest in residential complexes under construction as they can save a sufficient amount of money at early stages and, therefore, multiply the future profit from the apartments.
As it can be viewed, the cost of the property in Ukraine is relatively lower for investors, which makes it easier to purchase them and increase their worth. Thus, newly-built apartment prices in Kyiv increased 0.43% in the second quarter of 2020 (0.1% in real terms) to the US $930 per sq. m. (Delmendo, 2020). In contrast, the average price per square meter in Paris starts from $10,000, in Zurich from $12,000, and even reaches $16,000 in London. This comparison clarifies that property investment opportunities in Ukraine are far more affordable in terms of profit and initial investments for businessmen.
Moreover, Ukrainian real estate is a perfect option for investment as investors get the chance to receive a much higher Return of Investments (ROI). According to the Ukrainian central bank statements, developers keep optimistic forecasts for the Ukrainian real estate market. The research has shown that developers expect a double increase in housing prices compared to the start of 2021 (Datskevych, 2019).
Ukraine is becoming more and more attractive for abroad investors, and here’s why. The influx of tourists coming to Kyiv, the capital of Ukraine, is constantly increasing. The city has a lot of things which draw the attention of people all around the world. For example, Kyiv is considered to be one of the most greenish cities of Europe, combining a so-called “oasis” in the city with breathtaking views of the Dnipro river.
Moreover, Kyiv is full of historical places and architectural monuments that take you into another dimension. Tourists will also appreciate the vibrant life of the capital because the centre is full of nightclubs, karaoke, bars, and restaurants. Therefore, the demand for property, especially in the city centre, is always high. Investors should pay attention to investment opportunities Kyiv has.
Thus, the market findings state that the average cost for an apartment in a new construction building will start at $60k only. Such affordable prices allow businessmen to get a high annual revenue if they have tenants or get a yield of up to 15% from the property when selling it.
However, you can maximize the final price for the property if you flip it beforehand. Flipping is pretty profitable, especially if you easily deal with the properties and know how to fix them up properly. However, you may need a team of professionals to help you out with renovations.
The principle of this method lies in renovating the property, fixing stuff, changing interior design and layout, etc. Therefore, it will significantly increase the price of the apartment. No doubt, the revenue differs depending on the amount you have invested in flipping, the services of the construction crew you have possibly used, and so on. Nevertheless, the statistics show that the average profit from flipping varies from 5 to 20% of the apartment’s initial price (Datskevych, 2019).
As for housing market predictions for 2021, residential real estate will remain in high demand as property prices continue to rise. In terms of revenue, commercial real estate in Ukraine is quite profitable as well. As Kyiv becomes a huge megapolis, there’s a need to construct malls, shopping centres, business centres, etc.
For example, many commercial tenants tend to pay fees for the options like the right of first refusal in the office next door in order to hold those options. Look up the best prices on the Eastern European market, particularly in Ukraine, where 150 sq. meters will cost you around $2100, while the commercial property of the same area in Poland will be about $2700 (Delmendo, 2020).
All in all, Ukraine heads the top of European countries, where worldwide investors can easily invest their sums in Ukrainian property and multiply their return. Due to affordable prices for luxury apartments and attractive policies of the country, even beginner investors may start their financial journey and make a stable passive income in Ukraine with minimum risks.
If you want to save your time and effort during the investing process, contact DGY Investments. Our company specializes in finding the best property options on the market and making your investment profitable. No need to predict the market, compare the prices and calculate possible issues – our team of experts will do everything for you. DGY has a profound expertise in turning businessmen into successful real estate investors who easily make up to 15% of annual yield on property.