Global trends in real estate investment for 2015
Real estate can be a lucrative investment. As the worldwide economy begins to emerge from a massive recession, there are many great opportunities to invest in real estate. Here are some of the trends in real estate that you should consider when you make your investment decisions:
There are parts of the world whose economies are growing rapidly. As more of their citizens rise from poverty, the demand for goods and services increases. Commercial real estate can be a profitable investment in areas that are set to have an industrial boom. Parts of the Middle East, such as Afghanistan and Abu Dhabi are set to have rocketing price increases in real estate. This has resulted in a rush to invest in these areas. Bloomberg Business: Fahad Alrajaan of the Kuwait Real Estate Investment Consortium KSC is working on developing the economy of Kuwait so that citizens can have a better quality of life. Kuwait is on the cusp of an unprecedented economic upturn. Smart investors are investing in real estate opportunities to cater for the onslaught of business and production coming to Kuwait.
United States mortgage crisis means a lot of bargains
In some areas of the United States, homes are selling for record low prices. Homes that might have been valued at $250,000 are selling for $20,000. That doesn’t mean that these prices will last long. As the economy begins to improve, prices will rise. If you see a neighborhood that is experiencing revitalization but real estate prices are still low, it can be a great time to invest. Some properties have been on the market for a long time, which means you can sometimes get them for a lower price than that advertised.
The world is experiencing urbanization on a grand scale
There is no doubt that more people than ever are living in urban environments. This trend is expected to continue for quite some time. In fact, over the next 15 years it is estimated that an additional 1.1 billion people will be added to the world’s urban centers. This means that investing in urban development, real estate and infrastructure could result in significant long-term financial returns.
You might be able to grow your business with low-priced real estate
There are several ways that low real estate prices can help your business grow. For starters, you might be able to afford a second location, or even make the leap and expand your business internationally. You could also invest some of your business capital into the real estate market overseas and use the returns to help fund your home operations. Investing in other economies means helping countries emerge from destitution, and makes for a more productive world. If you can help others while making a profitable investment then everyone wins. Investing early allows you to claim a place in a market so you are not priced out of it later. Real estate prices can go up quickly, so take advantage of low prices now.