Against the coronavirus pandemic and currency fluctuations, real estate is becoming a reliable financial instrument for preserving savings. An additional attractiveness to real estate investments is made by the president’s proposed tax on deposits over 1 million rubles.
If the object is purchased for further investment (resale or lease), it is better to consider small lots – one-room apartments or studios. Such real estate must be liquid for future sale and optimal for generating rental income.
Suppose an apartment is purchased for further use. In that case, it is necessary to indicate the request – it is being bought for children, for a young family with the prospect of a future addition – and taking these introductory notes into account, start searching.
Saving strategy
If the buyer is interested in saving a large number of funds in the form of a solid real estate asset, it is best to buy an apartment in a finished new building or secondary market.
The house should be close to the metro, and the infrastructure is developed in the area.
You also need to study transport accessibility, general concept, and projects in the neighborhood. The advantages of buying an apartment in a new building include long preservation of value compared to secondary housing.
It is also worth paying attention to offers at a high readiness stage, which are sold under escrow accounts. The new scheme protects buyers from risks associated with postponement and project freezing.
Profitable strategy
In the case of a profitable strategy, experts advise considering projects at the start of sales or construction. The
residential complex should also be as liquid as possible: it should be located next to the metro and have good infrastructure.
If you buy an apartment for rent, then it is better to consider compact lots. According to NDV-Real Estate, apartments (9-12% per annum) and studios (8% per annum) bring the highest profitability. For comparison, deposits in banks are now offered on average at 5% per annum. The profitability of housing can be increased if you register an individual entrepreneur and switch to a simplified taxation system: income tax for individuals when renting an apartment is 13%, and for individual entrepreneurs – 6%.
Over 10% of owners who have received housing in Moscow under the renovation program use it for commercial purposes – renting out or selling.
Don’t lose your head because of the big discount.
Over the past year, the cost of apartments in the capital has been increasing. However, in the current conditions (the collapse of the ruble and the pandemic), the trend may change – and prices may begin to decline, at least due to discounts and promotions. You can track them on the Internet: many developers, under the conditions of the recommended self-isolation, transfer the main advertising campaigns there.
Whether to take a mortgage
Buying an apartment with a mortgage loan can now be profitable – until all banks have raised rates, and the likelihood of their increase in the future is quite high. A home loan should be considered if there is a possibility of using maternity capital or preferential programs.
According to experts, now real estate investments should be considered primarily by buyers with spare funds. The mortgage is beneficial to those buyers who plan to buy an apartment for personal residence.