Land, real estate and international markets: how and how much you can earn on investments
In connection with the launch of the land market in Ukraine from July 1, 2021, individuals will be able to buy up to 100 hectares in one hand and make money on it. According to calculations, such investments have a yield of 4-5% per annum, says the story of The Page's partner, the business program "Persha Shpalta".
Land market: where to invest in Ukraine in 2021 (video):
According to Igor Kravtsov, partner of the legal group LCF, you can make money on the land in the following ways:
- buy as an investment for sale to high value legal entities when permitted;
- buy for rent;
- for transferring to a bank mortgage and obtaining a loan for other purposes.
“However, I do not exclude cases when certain land speculators buy up part of the land and it will be difficult for them to sell it in the future, or the price for which they want to sell it will not correspond to the market value,” explains Kravtsov.
Where can you invest in Ukraine
Investments in real estate. According to the observer of the real estate market Victoria Bereshchak, in order to save capital from inflationary factors and increase due to the growth of costs, it is necessary to invest in housing at the initial stage. Despite the risks, you can get 30-40% of the amount at the exit.
With regard to rent, then, according to her, buying a one-room apartment with an area of 40-45 square meters in a new house will bring you $ 300- $ 400 per month. The yield is about 8-9% per year.
Domestic government loan bonds. According to Ivan Kompan, a professor at the Edinburgh Business School, they bring in about 2.9% per annum.
Investment and international capital markets. If you invest in international capital markets, for example, in the US stock market, then on average you can count on 10.5% per annum.
“It is better to invest in international capital markets, because this is higher profitability and liquidity - I can quickly turn my assets into money.”
Context. Earlier we wrote that a hectare of land costs much more than a regular rent. For more information on prices in various regions of Ukraine, read the link.