Does real estate investment work in Sweden? If you are new to Sweden and want to invest in real estate, then you are spotted the right place as we have got the answer to all your questions. As a matter of fact, real estate investment does work in Sweden and it is really worth it. If you want to know why and how does it work, then continue reading this blog.
Swedish real estate prices were less volatile during the 1950s, but it has started rising since then. The prices were even rising during 1991-1995 when economies around the globe were suffering badly. Buying an apartment in Malmo or Stockholm isn’t that easy but really worth investing in.
Stockholm and Gothenburg are seeing a tremendous increase in real estate prices. The booming growth rate isn’t stopping at any point. Stockholm has increased its real estate worth by 17% during 2014 and 2015 according to a research study. The continuous increase in the prices is due to the economic stability and growth rate. Residents of Stockholm have observed that the biggest increases are occurring in Botkyrka, Värmdö, Vallentuna, Ekerö, and Sigtuna.
The population of Sweden is growing day by day and the word “growing” doesn’t do justice here. Every single day around 100 new people are entering Stockholm. Just imagine, hundreds and thousands of people are appearing and settling down in Sweden every year. This is the best opportunity for entrepreneurs and real estate investors as everyone needs a home to live in. Though this population escalation is due to the on-going conflicts among countries. The current scenario, however, is creating a golden opportunity for investors to invest in real estate in Sweden.
Sweden has its main business centers around the three largest cities- Stockholm, Malmö in the south, and Gothenburg on the west coast. The real estate investment in Sweden isn’t a tricky job to do as there are not any restrictions on foreign ownership. The real estate market has been fluid during the past few years due to the good supply of funds for real estate investment. Finances from traditional bank resources and other lending programs have been introduced in recent years to help investors.
Real property in Sweden can be owned both by public and private figures. Almost all the land in Sweden is divided into property units and these units are given specific names. This makes it possible to identify the property unit with the help of the municipality in which the property is situated. The land registries are maintained by the national Land survey of Sweden. Every buyer is liable to register the property within three months of buying the property. If you fail to do so, then the government or regulating authorities will not be liable to give you any protection if someone else gets that property registered under his name. This provides a safe investment in real estate to avoid any fraudulent activity.
You can get benefits from real estate investment in the form of rental yields as well as capital gains. If you have savings with you and want to start a real estate business, then investing in Sweden is the right choice for you. The stable and growing economy, high rental yields, increasing trends in prices of real estate, and lower transaction or transfer costs have made it an interesting way to invest and earn a profit. However, you should keep this in mind that investing in real estate is altogether a different thing as compared to buying a house or apartment for yourself.