Hungary is a multi-cultural destination, with a tinge of many cultures left behind from its former rulers. At different eras throughout history, the country was ruled by the Magyars (a Finno-Ugric tribe that arrived via Russia in the 9th Century), Arpad Dynasty, and Mongols. The multiculturalism is also attributed to the shared borders with countries like Ukraine, Slovakia, Romania, Croatia, Austria, Slovenia, and Serbia.

Since Hungary is a landlocked country, the Ocean tourism is a non-starter. However, this doesn’t mean that the country has dearth of tourism potential. In fact, one of the highlights of Hungary is the water-features dotting the country. Lake Balaton is known for its hot medicinal springs. The River Danube runs in the middle of the capital city of Budapest, and divides it into two parts – ‘Buda’ and ‘Pest’. The River Tisza is regarded as one of the finest rivers in Europe for fishing.

Hungarian vineyards, orchards and National Parks offer a special treat for the visitors in this country. Hungary is also known for being home to internationally acclaimed writers, artists and musicians due to its rich history and culture that promoted intelligentsia to the hilt. The modern Hungary, including the capital city of Budapest, will welcome you with trendy nightclubs, bars and discotheques.

Property Investment in Hungary

As we can see that the country has lots of tourism potential. Therefore, any kind of investment in vacation property around the country should yield rich dividends.

Though the country became a member of European Union in 2004, the residential property market has not peaked as yet. In fact the recent years have witnessed a fall in property prices. However, commercial and industrial property in Hungary has shown remarkable strength, growing in leaps and bounds, and it’s just a matter of time before the residential property sector also catches up with other properties types in Hungary.

At current prices, you can hope to land yourself a decent apartment in Budapest for as little as £26K. Villas in Budapest command a higher price. But if you compare the size and location of property, then a Villa for £70K is not a bad choice in Budapest.

The overseas property investor, particularly from Ireland and the UK are flocking to Hungary purely on speculative instincts. The fundamentals of Hungary are too strong to ignore in the wake of the sluggish residential property market. Moreover, the government is doing its bit by relaxing the property owning laws of the country to bring them in consonance with the changing global order.

Property investors are targeting the tiny Eastern European country of Estonia with a vengeance because it offers massive and sustainable long term potential for profit and property price gains with real estate prices having already increased by as much as 30% in just three years.

The popularity of this breathtakingly beautiful country stems from many different points: firstly the country is an economic success story. Having escaped the domination of Soviet rule back in 1991 it has since established strong trade links with Finland, Sweden and Germany and now has a GDP growth rate of around 6% annually. Secondly the government of Estonia is committed to the promotion of foreign direct investment and to this end it offers some impressive tax breaks to companies who establish themselves in Estonia.

Property investors have been targeting the capital city of Tallinn where the majority of international companies investing in Estonia are establishing bases and where there is an increasing demand for quality residential and commercial property to rent, buy or lease.

Those who bought just three years ago in the most desirable districts have realized real profits in the region of 30%. These rates may not be sustainable over the longer term but prices and rental rates are set to keep on climbing because the demand for property outstrips supply and will likely continue to do so for quite some time.

A lot of the residential real estate in Estonia’s cities is old Soviet style apartment block units and these properties are not at all popular. More and more developers are constructing new and modern accommodation that property investors are snapping up and renting out to tenants or selling on to first time buyers or other property investors upon completion. Those who wish to buy these types of property pre-construction benefit from the fact they buy at today’s prices but take possession in 12 – 18 months when the real value of the property has risen quite substantially.

Unlike in many other countries around the world, those who buy off-plan in Estonia usually only have to find between 10 and 20% of the property’s price during the build period because the majority is payable upon completion – this makes it easier for a property buyer to save to afford a property or to flip upon completion and resell to realize the profits with which to pay the developer.

The investment property potential in Estonia is exceptional and anyone looking to diversify their real estate portfolio should consider this Eastern European country’s property market.