According to Yandex, Russia’s largest search engine, the Top 10 destinations for commercial property investment were all in Europe, except for US or Turkey. Germany was the most popular, accounting for 22.1 per cent of all foreign commercial property searches in 2015.
Tranio’s own data, echoes those findings, with the Top 20 destinations all located in Europe, save for Turkey, the USA, Thailand and the UAE.
The average amount invested in buy-to-let residential property in Europe is €200,000 and €1.2M in commercial property, although this figure varies across countries and property types. Russian investors spent 70 per cent less than average in the UAE, for example, but 40 per cent more in Spain – a trend that Tranio attributes to the availability of bank loans. Indeed, the UAE rarely gives loans to foreigners, while financing in Spain is far more accessible.
George Kachmazov, managing partner at Tranio, comments: “Russian nationals frequently buy commercial property where they already own residential property. This is because they know the features of these locations well and are familiar with the local market. Usually they spend time in their homes abroad and find it more convenient to manage commercial property located nearby.”
Apartments and houses are the most sought-after investment, with demand particularly high in Bulgaria, Hungary and Portugal. Residential buy-to-let, on the other hand, is not as popular in leading destinations such as Germany, Italy and the UK.Google+