In the midst of the New Year’s marathon, fate brought me to the same table with a married couple from Jerusalem, who arrived in warm Kiev in Israel to see for themselves the city where the parents of the spouses were born.
Netta and Arnie complained that supposedly in Jerusalem real estate is too expensive, and they cannot afford to move to a new building. First of all, Israel is a relatively small country, and housing supply is limited. Secondly, among wealthy Jews in the USA, France and Great Britain, it has become fashionable to have an apartment in Israel, preferably in Jerusalem, in its prestigious areas. Overseas owners buy a second home in Israel, dreaming of moving to the promised land in old age. And in anticipation of this hour they rent it out. Continue reading
The fact that today’s investments in suburban real estate promises considerable profit in the future to any participant in this market segment is noteworthy. Prices for objects annually only increase, and in successful projects their growth is about 15-20% annually. So the construction of cottage villages can rightfully be considered a profitable business. Even those who purchase suburban real estate on credit, and that will not remain on the loser – the final profit significantly overlaps payments to the bank. At the same time, buying a plot of land at an early stage of development is more profitable than during the construction of a cottage or upon completion of work. This is proved by practice: most sites in suburban villages usually sell out long before the start of construction work. Moreover, the higher the class of the object, the more noticeable is the benefit, reaching up to 25% of the total cost. Continue reading