
Istria 2018: Wave of huge investments beneficial for your real estate
But before mentioning the investment opportunities we would like to explain the differences of real estate
What is an real estate investment?
There are two types of real estate investment:
1.Investment real estate – Rental Income
You can generate a profit and an stable income by renting, and in this case it is important that the property and its location are attractive.
Buying a real estate where the location is not high demand and healthy growing can result in expenses.
2.Investment real estate – Capital Gain
You can get a return on your investment also when you decide to monetise your real estate generating a capital gain.
You buy something paying X and then, after few years, you get “10+X” when you monetise it. This is not as simple as it looks, but the analogy of making a profit this way is like having a delicious dessert after a good meal.
Making a profit this way requires good location. No investments taking place in the area, is a sign that the region is not attractive and the value of the property in this case can even decrease.