So you’ve saved up enough money to buy your first investment property and you’ve visited all the real estate agents in your local area and they keep showing you either 1-bedroom apartment, 2 bedroom apartments or re-sale properties.
I’m going to give you 5 reasons why you should consider a Studio apartment as your first investment property in Northern Cyprus.
Buying Off plan
Investing in the project before construction has given you means to snatch up the property at the lowest value possible (Normally up-to 30 % lower than the completion price) which in turn means maximum profit if you so choose to sell it later.
Price to Income Ratio
The price to income ratio of a studio apartment makes it one of the most affordable properties which yields better rental benefits than a larger apartment. A Studio apartment normally cost around half the price of a 2-bedroom apartment however it can be rented in peak season for around 70% of the 2-bedroom apartment value.
It’s Basically a Hotel Room!
Whenever I have clients that are interested in making a first time purchase and want to create their very own investment portfolio I always like to show them a studio apartment on a site that has amazing facilities (one example would be 7 Star Life). Sometimes I have clients see the property and tell me “but it’s a little small” in which I normally respond “when you go on holiday and stay in a 5-star hotel, what is the size?” well this apartment is larger than most hotel rooms and the facilities on site are to match. Moral of the story is you can invest into a small holiday apartment on an amazing site which will yield amazing rental income and give you somewhere to holiday a year for free and later down the line sell for a profit.
Small Size = Less Expenses
The cozier size of the apartment means less furnishing are needed, yearly site maintenance is lower and upkeep if the actual internals of the property will be less. Making all these costs lower make it easier to finish paying of this property and start getting ready for your next investment.
Views come with height
Most studio apartments in Northern Cyprus are in high-rise blocks, this gives you certain views which are just not attainable if purchasing a villa or staying in a hotel.