How to Safely Invest in Real Estate in the Middle of a Pandemic
We've been asked by our clients multiple times about where we stand in the middle of the pandemic, what we preview to be the next big trends, and generally how much property investment is and will be changing.
It is important to know that real estate market crashes aren't unknown, in fact, if we go back to 2008 we can see how deeply an economic crisis can impact the industry - from the inflation bubble burst to the downfall of foreign and national investment. However, no real estate agency should adopt the "ostrich strategy". It is most definitely possible to benefit from this conjuncture and even more so becoming a staple in the real estate industry by mastering the market in these difficult times.
TOTE SER, gathering more than 25 years on the field, is a veteran on Real Estate and architecture design. We've gone through crisis and difficult times, and we've mastered how to act in these periods of time. Investing when the entire economy is falling might not sound like a smart thing to do; however, you'd be surprised how much you can achieve with the right strategies and sharpshooting property acquisition.
Real estate isn't rocket science, it is a way more stable market than buying shares, which means that you can safely preview what course the industry will take, giving you a very competitive advantage and therefore making you a powerful player.
We believe this is the time to be a high-roller in the Real Estate market, betting high on fast-growing markets that aren't overly-saturated yet. Among many countries in Europe, we think Portugal is without a doubt one of the safest and most lucrative markets of today.
Now, why would you choose to invest in Portugal? The real estate market in Portugal has recorded remarkable growth in the last few years, quickly becoming one of the most wanted countries of investment for various reasons.
What makes Portugal one of the Top countries to invest?
With more than 3.300 annual hours of sunshine per year, the Portuguese weather can count stable temperatures year-around, making it the sunnier country the whole of Europe.
Portugal is the 3rd safest country in the world. Very rarely do you see violent crimes being committed, leaving the majority of crimes to be limited to pickpocketing. An equally important factor is how Portugal has managed to stay away from immigration crisis, a very common problem in some European countries.
The investment boom in Portugal hasn't started recently; in fact, its potential has been targeted for quite some years now. This translates into newer and more sophisticated infrastructures - from new airports, to highway networks, residential units and even health care. The base for business exploration has an unprecedented support to hold whichever areas of operation are in demand.
International Standard Health Care
Portugal's health care stands out as a high-quality and prepared service that is available for everyone. Prices are a fraction of the cost of health care in the United States, meaning treatments are incredibly affordable. Health care, with the help of health tourism is becoming one the fastest-growing industries, leveraging from Portugal's success on containing the pandemic. From hot spring SPA's, to residential acquisition enabling treatments in both Lisbon and Porto's best hospitals, anti-aging and detox centers - Health tourism is going to grow immensely.
«The cost of living in Portugal is among the lowest in Western Europe, on average 30% lower than in any other country in the region. A couple could live here modestly but comfortably on a budget of as little as 1,300 Euros per month. With a budget of 2,000 Euros per month or more, you could enjoy a fully appointed lifestyle in this heart of the Old World. And right now your dollars buy a lot of Euros.» - Forbes
The Real-Estate Panorama
The Portuguese real estate market is notable for its strong growth in the recent years and increased demand from large multinational companies, residents, entrepreneurs, students, among others, making it one of the most sustainable and desirable markets in Europe .The “Emerging Trends in Real Estate” study realized by PwC and Urban Land Institute validates this growth, naming Lisbon the top-choice European destination for real estate investment in 2019.
Portugal has always been a fairly stable country politically. However, the impact of Covid-19 resulted in a never before seen togetherness between parties. It was early concluded that now, more than ever, the necessity of joint-forces to combat the current situation was something that needed to be done.
How to get an edge on your competition
Once you have chosen your market of operation, the second step will be about gathering a variety of key factors that play a very important role in your success. On this stage, looking for privileged information of the market granted through experts in areas like tourism, economy, demographics and trends is a must to get the edge on your competition.
We compiled a list of strategies that made us a staple in the Portuguese Real Estate Market, take a look:
- In-depth exclusive information of the market, working with several real estate partners and economy experts to assure you're getting the best investments at the best price while having the biggest profit margin.
- TOTE SER specializes on investing in “hidden gems” - having completely overhauled dozens of neglected buildings in downtown Lisbon, and turning them into exquisite pieces of architecture and design that translate into vastly profitable properties.
- A network of very satisfied and loyal clients that trust our hawk-eye investment and deposit confidence in our field experience.
- Being a reference in local partnership, meaning you'll benefit from not only experts on investments, but also in architecture and design.
In conclusion, it is safe to admit that Portugal has the recipe to safe and highly-profitable investments. At TOTE SER, we believe that now is the time to be a high-roller in the Portuguese market, making the most of the current economical conjecture to enable big returns on investment through affordable and promising yields.