A stable, diversified economy is at the core of the European real estate investment. There is potential for tremendous returns on European real estate investments. Recent changes to the European Union have highlighted the many outstanding real estate investment opportunities across the continent that could offer investors the potential for above-average long-term growth. European real estate investment offers opportunities at all ends of the spectrum from stable capital city markets to emerging growth markets and economic revival and turnarounds.
The city of London offer investors opportunities to purchase new homes, apartments, penthouses and lofts in some of the trendiest neighborhoods. The long-term growth characteristics of investing in real estate in London can also be an excellent way to augment your other sources of retirement income.
Paris is arguably Europe's most historic and beautiful city and a fashion capital visited by more tourists than an other city. Paris and London are two of the largest real estate markets in the world offering a complete range of real estate investment opportunities.
There are many cities in Germany that offer above-average potential returns in real estate investment, and none is more exceptional than Frankfurt. Frankfurt is a mature and stable city with a robust real estate market. During the last calendar year, home price rose approximately 6.5%.
In addition to the stable cities of London, Paris and Frankfurt, other emerging growth opportunities are being talked about in Dublin, Madrid, and Athens.
According to the Central Statistics Office, Ireland's national residential property price index rose by 6.54% in 2015 compared to over 16% in 2014. Many feel that the slowdown offers a potential opportunity for investment as economic growth in Ireland continues unabated. Central banks intervened in 2014 to slow the real estate boom that was feared would overheat. Statistics for 2016 could show that Dublin and the surrounding suburbs are back on track for double digit real estate growth.
Madrid is another potentially attractive city for those interested in European real estate investment. As Madrid, the capital city of Spain has a stable real estate infrastructure that centers around government buildings and international embassies and the supporting personnel. With over 3 million people, Madrid is the third most heavily populated city in the European Union.
Finally, if you are looking to speculate on a potential turnaround in the European real estate investment market, Athens Greece may offer an attractive opportunity. Prices for real estate have been falling for over seven years, but the trend seems to be slowing. According to the Bank of Greece, real estate prices have fallen by an average of approximately 5-10% over the last few years but the decline in Athens slowed to only 1% in 2015.
Nobody can tell you what your investment temperament should be. Only you know how much profit you expect and how much risk you or your organization is willing to assume. Some real estate investment professionals suggest that having a diversified real estate investment portfolio throughout Europe that includes high-growth, stable market, and speculative turnaround properties in order to spread the risks around yet keep you in the game to potentially profit from a turnaround. No matter what your investment needs, Ketenci & Ketenci is a team of international lawyers that can advise corporate clients and investment groups on the ins and outs of every aspects of European real estate investment.
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