With the global economy recovering, real estate markets in many countries are booming, presenting opportunities for real estate investment. Factors like low interest rates, post-pandemic demand for more space, and remote work driving demand have led to rising property prices worldwide. For overseas investors, some of the best countries to invest in real estate now include China, Turkey, Portugal and others with strong housing market growth and high yields.
China’s property market seeing strong demand, high yields for investors
China has been a top destination for global real estate investment for years, with Chinese buyers also investing heavily overseas. The rapid urbanization and economic growth have driven up property values while yields remain attractive compared to other major markets. First-tier cities like Beijing and Shanghai as well as fast-growing second-tier cities have seen tremendous price appreciation. Investing in China real estate can produce annual rental yields of 3-6%, higher than many Western cities.
Turkey’s housing boom produces high returns for overseas investors
Turkey’s housing market has been booming, with house prices up 30% in 2021. Low interest rates, strong demand and a construction boom have led to the price rises. For overseas investors, buying property in Turkey can bring strong returns, with rental yields of 5-8% in Istanbul and other cities. The tourism market is also recovering post-pandemic, bringing more demand for Airbnb and other rentals.
Portugal emerging as top real estate investment destination
Portugal has gained popularity among overseas property investors in recent years thanks to golden visa programs, beautiful lifestyle, and low cost of living compared to other EU countries. Lisbon and Porto have seen significant price increases, while yields remain strong at 4-6% annually. Portugal also grants residency rights to real estate investors, making it appealing for securing EU access post-Brexit.
Other promising real estate markets include Greece, New Zealand
Some other countries stand out for overseas real estate investment as well currently. Greece is benefiting from stronger economic growth, while New Zealand has been boosted by tighter supply and strong demand. Both countries offer relatively low costs for property investment along with solid yields and potential for price appreciation going forward.
With factors like economic recovery, low rates, and rising demand driving real estate markets globally, investors have promising options spanning China, Turkey, Portugal and more for investing in property now. Focusing on markets with fundamentals supporting continued price growth can produce strong yields.