Buying property in Greece

Interest in real estate has aroused for the last three years. Developers began to build block of flats buildings massively. It is planned to put into operation more than one hundred million square meters of housing annually. The state also ensured the demand for new buildings, giving citizens the opportunity to take out mortgages at a low rate. For at least a few years, this situation in the construction industry will continue.

Bank deposits do not even cover inflation, and apartment prices are rising. In some regions, the demand for real estate is so high that square meters are sold twice more expensive. Naturally, there were people who wanted to make money on apartments.

Buying a property is one of the most popular savings methods in our country. Every year more and more people find real estate as an investment very attractive. However, almost every beginner investor makes a number of typical mistakes, which in the end can lead to the loss of money, which is often borrowed.

The lack of real aim for buying

A person wants to buy an apartment in order to live in it and sell it later at a higher price. This will not work in investments: you should either buy for yourself or buy for sale. It is not a fact that an apartment that an investor likes will suit a potential buyer. In this case, you will have to look for another person or give a discount.

Expert help denial

Investors often hope to buy and sell an apartment on their own. In fact, it turns out that due to lack of experience and knowledge, bad objects are overestimated, while good ones, on the contrary, are underestimated. An experienced broker, for example, can know all the advantages and disadvantages of the developer, the pros and cons of the housing complex. He conducts hundreds of real estate transactions a year; the average person has a couple of transactions in a lifetime. Therefore, the broker will evaluate the investment opportunities more adequately.

A big trust in Internet power

Media, Internet, radio, forums are full of different materials about real estate. Often there you can be acquainted with the opinions of experts who advise you to buy apartments in various residential complexes. Such information should be critically evaluated. It happens that developers to make their properties look more attractive buy comments or expert opinions. Sources of information should be strictly filtered. If the resource is full of advertising, only positive reviews about the object, it is better to ignore the material.

Location-check ignorance

Before buying an apartment, it is recommended to personally visit the place where it is located. Walk around the area, visit shops, check transport accessibility, the availability of educational institutions, hospitals. People often just see an advertisement on the Internet, they like the picture. In addition, they agree. Moreover, after the purchase, they discover that they have to walk a kilometer to the stop, the school is in the neighboring area, and there is nowhere to relax at the weekend. It is much more difficult for an investor to make money on such an apartment.

Discount willing

You need to understand that developers will never give a discount on real estate, which in the future will definitely give a good increase in price. Be aware of the advertisement that “investment property” is on sale at a discount, and then something is wrong with it: poor location, low quality, lack of infrastructure. Most likely, the developer is not selling; he is just trying to get rid of the apartments as soon as possible. Often, over time, the construction company only increases the size of the discount.

Purchase for several years

Over the past year, the price per square meter has increased by about a third. That is, it was possible to buy an apartment at the beginning of the year, sell it at the end of the year and make 30% per year on this. Novice investors mistakenly buy a home and expect to sell it in an average of three years. Although the price during this time may remain at the same level. It turns out already 10% per year on average. It is most profitable to invest in housing for up to a year. If the term is longer, then profitability drops markedly.

Not having approved mortgage

Investors rarely use their own funds to buy real estate. Mortgage is usually used. But if there is a suitable apartment, it is better to have a pre-approved loan. Transactions often go quickly. You need to answer the seller immediately. Naturally, if he has several buyers, then he will sell to the one with whom he will quickly make a deal. No one wants to wait until you are approved by the bank. It is possible that the bank will refuse. It is better to have a pre-approved mortgage with several lending institutions.