TIRANA, March 5
If you are looking for a country where to maximize investments in immovable property, Albania is a great option. It has a good geographic location, a long coastline in the Adriatic and the Ionian sea, and it’s a short flight distance from the major European capitals. All these and much more make it a good option for investing in immovable property in suburban zones, old towns, historic centers, and rural areas.
Today, residential property in Albania is cheaper in comparison to the upcoming years. In short, the best time to invest in immovable property in Albania an apartment, villa or land is now. Before buying a property in Albania as a foreigner, there are some things you need to know about the real estate market and the land of Eagles in general.
The Albanian real estate market, with the exception of a few coastal cities and villages mostly in the southern Riviera, is geared towards Albanian citizens and Albanians that live in other countries. Meanwhile, capital city Tirana is still not seeing the foreign appetite for residential property. Even the foreign citizens that look for commercial property tend to rent instead of buying.
The good thing about the real estate market in places like Saranda, Vlora, Gjirokastra, Qeparo, Borsh, Himara, Vuno and other coastal villages is that they are not as expensive as the immovable property on the other coast of the Ionian or Adriatic seas. Compared to Italy where only wealthy foreign buyers can afford a property in a highly sought area like Cinque Terre or Como Lake Albania offers excellent properties at a fraction of the price in other countries in the Mediterranean region.
The categories of people with the highest interest in immovable property in major cities like Tirana, Durres, Elbasan, Shkodra, Gjirokastra, and Korca are students and foreign citizens working in Albania. The majority of Albanian citizens are homeowners. Recently, realtors noticed an increasing trend of second home buyers. They invest in immovable property and give it for rent. There are different ways of monetizing a real estate investment like flipping for profit, renting, or Airbnb.
What scares away potential foreign buyers?
While in other countries the taxation system may be the scarecrow that scares away buyer, in Albania the problem is part of the immovable property sector. The law on foreign investments grants special protection to investors regarding immovable property disputes. In Albania is still difficult to find who the rightful owner of a specific property is due to various reforms and even unlawful activities. On the other hand, the legal system is still weak and not the most efficient when it comes to protecting the right of a citizen, Albanian or foreign.
However, the Justice Reform, also known as the vetting is expected to clear the system from corruptive elements and reform the entire sector, but this is another story.
If you plan to invest in real estate in Albania aim either for university cities or tourist destinations. In both cases, you can put your property on Air BNB for the time of the year that you don’t use it. These areas and economic hubs attract long-term tenants.
Types of properties you can find in Albania
Charming and historic buildings are possible to find from capital Tirana to every corner of the country. Old houses in traditional architecture can be found at affordable prices when a lot of reconstruction work is required. On the other hand, they can be too expensive especially in the UNESCO World Heritage Sites of Mangalem Quarter in Berat and in the historic area of Gjirokastra. Other cities to consider are Kruja, Shkodra, Durres, Korca, the northern areas of Kelmend, Theth, and Valbona, Permet, Konispol, coastal villages in the southern Riviera.
Old houses are less efficient to new houses and this is an element that can lower their price.
Countryside properties are great options and they can also include plantations of citrus fruits, olive groves, and even vineyards. The Albanian authorities have recently launched 100 Villages initiative. There are the best options to take into consideration if you’re looking for the countryside.
Olive Grooves in Lukova village
Waterfront properties. If it’s waterfront it is found in a popular tourist area. One of the areas with the cheapest waterfront properties in the city of Durres. It is the Albanian version of Florida as many Italian elderly people prefer Durres when retired. They like the warm weather, cheap prices and, friendly people. Saranda in the south is the city that attracts the highest number of foreign buyers. This trend is affected by the high number of visitors and tourists and the competitive prices compared to the other countries of the region.
Saranda is closer to Greece. It shares two land cross-border points in Kakavija and QafeBota, it is connected to Corfu Island by regular ferry boats. The highest number of visitors arrives from Corfu via its airport. Yacht’s owners can anchor their boats at the city’s port. Besides the numerous beaches, Saranda attracts with its cultural and historic heritage. Butrint, a UNESCO World Heritage Site and the most visited tourist attraction in Albania is 18 km away from Saranda, while there are numerous locations to explore in the southern region. The price of small apartments in Saranda and other coastal villages in the south varies between Euro 30,000-40,000.
The list of the best coastal areas where to buy a property includes Orikum, Radhima, Spille, Qerret, Golem, Lalzit Bay, Rodoni Kape, Shengjin, and Velipoja. Prices start with Euro 300 in Durres to Euro 1,000 in Saranda.
Read more: French in Love with Qeparo Village
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