My property buying experiences in the Czech Republic.
Over the last 8 years I have bought a number of properties in the Czech Republic, mostly in Prague. I did buy an apartment in a fabulous up scale development in Ostrava which at first was giving me a rental yield of 18% gross but once the recession hit it became harder and harder to source a tenant so when the opportunity came to sell I took it and made myself a healthy profit. Thank you Ostrava! Would I buy again down in that part of the country? If the right unique development came along I would certainly think about it but for now I will stick to the capital.
A lot of property investors I know have bought in Brno, Czech Republics second city. Having worked in Brno I can appreciate all the logical reasons for buying there- close to Vienna,a large and growing student population but for me the city has never really moved in line with the rest of the markets and therefore I have never bought any property here. For those of you who are considering Brno or who have already bought the good news is that the capital growth here has been very robust and what you might have lost in rental yields over the past years you will surely have made up for in terms of increased value of your property.
I currently own 8 apartments in Prague all of which are fully rented. The majority are new built projects by reputable developers but I do have a few historical properties. The linking factor is that I have always bought either studio apartments (1+kk )or 1 bedroom apartments(2+kk).My logic is that providing the price is right you should always be able to source a tenant and the void periods between tenants should be minimal.This is the life blood of property investing – your property needs to work for you and not the other way round! My rental strategy may have changed a few times out of necessity but on the whole I have achieved what I aimed to do – buy good quality property, find quality tenants paying sufficient rent that cover all the costs and achieve a good level of capital growth whatever the market conditions.
Have your properties achieved their full potential or are you having problems? Why trust your money with people whose only experience with property investing is the listing on their company web site? Talk to the professionals who have seen it all, bought the t-shirt and lived to tell the tale! Give me a call on +420 724 747 861 to discuss your existing property portfolio or your property needs.