In the last 10 years, Serbia has proven to be the fastest-growing country on the European continent when it comes to infrastructure and economic growth.
By doing this, it offers a good standard of living and at the same time very low real estate prices compared to the rest of the countries.
Little by little, it is becoming one of the more desirable destinations for both young people and those who want to retire.
These are some of the differences that need to be considered before planning to buy real estate.
Price of the real estate
The first and most important factor when choosing real estate is the price. Comparing prices per square meter is the easiest and most effective approach.
Western European countries have several times higher price per square meter compared to Serbia. On the other hand, countries like Ukraine, Latvia, and some other Balkan countries have a similar price.
Here are a few countries and their average prices per square meter in their most important cities:
Switzerland 13,000 Euros
With a price of about 2,300 euros per square meter, Serbia is one of the most favorable countries for buying real estate and finds its space lower than most other countries on this list.
However, if you are looking for real estate in terms of investment, rental yield is something that you want to consider.
Most European countries have a rental yield that goes up to 5%.
Best situation is in countries such as Montenegro and Ukraine.
Serbia finds its place in the middle and its situation is quite good.
Many countries in the world restrict foreigners when it comes to buying property in their country.
Foreigners may be able to buy some types of properties and other types not, which is often the case with agricultural land.
This is common thing in nearly all European countries. Serbia shares the same rules and also has interesting law of reciprocity which means that foreigners can only buy property if Serbian citizens can also buy property in buyer’s country of origin.
This process can be more complicated than you think. Even if you have proof of income it is hard to get the mortgage as a non citizen. Luckily Serbia is one of the only countries in Europe where you can get mortgage as a non resident or with temporary residency.
Residency permit by real estate
Owning a property doesn’t mean that you can be resident and live in that country through the entire year.
Countries like Spain, Greece, and Portugal for example have the golden visa program where you can spend 250000 euros on real estate and have the right to apply for a residency permit.
Serbia gives you the right to be its resident without having to spend large amount of money on the property that you want, so you are free to choose the budget that you are willing to spend.
All European countries share the same situation when it comes to liquidity. This depends more on the region instead of the entire country. If you plan to buy real estate that is located in the city, make sure that is located in city that has net positive population growth.
Serbia may not be as popular place to buy real estate as some of the EU countries, but it gives you much more flexibility in terms of budget, law, and financing.
The decision is up to you.
If you ever decide to buy real estate in one of the Balkan countries, you can rely on our assistance.