Advantages of buying office apartments and hotel apartments for investment

Created: 2022-08-26
Last Updated: 2024-05-17
Views: 1157

Content Index

Advantages of investment real estate in Turkey:
1- Hotel apartments:
- Advantages of hotel apartments:
2- Home office apartments:
- How is the return on investment of a property calculated?

Real estate investment is one of the most successful investments in Turkey, after it has been able to build dozens of huge real estate investment projects to attract businessmen to gain billions of dollars into its economy, especially since Turkey realizes the importance of real estate as a source of income and foreign currency, as it realizes the advantages of real estate investment, Although Turkey is one of the latest emerging markets in real estate investment, but according to Bloomberg magazine, Turkey is the 7th most powerful emerging economy in the world because of its geographical location, infrastructure, and an attractive environment for investment, in addition to being a tourist country in the first place, Istanbul, Antalya and Mugla are placed in the top three cities among the rest of the Turkish cities with an investment return that is the highest and most competitive in the real estate market, whether at the local level or even at the European and global level.

The Turkish state was able to build dozens of residential and investment projects in order to be able to meet the needs of investors and satisfy all tastes. It also did not neglect establishing investment real estate projects, which varied between hotel projects, office and administrative projects with the Home Office system, in order to meet those looking for investments with a fixed financial return, in this article we will discuss investment properties and the advantages of buying it, as well as the difference between home office apartments and hotel apartments and the advantages of investing in both.

Advantages of investment real estate in Turkey:

Real estate investment has many advantages, including:
Obtaining a fixed, continuous and guaranteed monthly financial return.
Increasing the value of the property in the long term, especially since this type of real estate has high incomes, unlike the residential complexes that are much less, and therefore the investor can sell its property after several years to increase his capital, and this type of investment with long-term investments is known as an additional saving for retirement.
Obtaining Turkish citizenship by owning an investment apartment or a hotel apartment with a value of 400 thousand US dollars.

1- Hotel apartments:

They are luxury apartments furnished with the highest and fully furnished and start from one room or more, these apartments are built according to international hotel specifications and equipped with the hotel services that hold its brand, it were built within hotels or residential projects of a Turkish or international hotel chain, and their furnishing and interior decoration must comply with the hotel is affiliated, so its prices are always high because you are buying the luxury of a super luxurious hotel.

Hotel apartments are furnished and contain a kitchen, unlike hotel rooms that do not have a kitchen, and therefore the owners of these apartments feel that they are in their own apartment, but with five-star hotel services, and they usually come in types ranging from one room to three rooms and a salon, and therefore It is the ideal place for rest, especially for those looking for luxury and sophistication with complete independence. It is suitable for housing and investment, as its owner can live in it or rent it with very high investment returns.

Advantages of hotel apartments:

Excellent exterior design and interior finishes
The perfect furnishing that matches the hotel brand
Upscale services such as room service, cleaning, security, entertainment and other facilities.
It is equipped with a smart apartment system to ensure the welfare of its owners
The social level that it gives to its owners. They can enjoy reception services, a 5-star restaurant, swimming pools, steam, Turkish bath, sauna, jacuzzi and other luxurious services.
Granting long-term contracts between the investor and the hotel management to manage the hotel apartment for them, ie the management of the property after the completion of the purchase process, as most of the construction companies for hotel complexes give a rental guarantee to the investor for several years with an excellent profit return, and therefore choosing to buy hotel apartments will be successful choice, especially since tourism in Turkey is constantly growing.
Most of the hotel projects are usually near the tourist areas in Istanbul, especially since the purpose of buying them is to achieve a financial return, which makes it easy to be reserved for tourists most days of the year because the occupancy rates in these hotels are high and therefore the demand for these apartments is also high.

2- Home office apartments:

These apartments come within investment complexes that can be used either for housing or for commercial purposes. It can be used as an office for a company or student housing and other commercial purposes. It is furnished like an apartment hotel.

Home office apartments differ according to the nature of the complex. There are complexes that are administrative complexes, so all the units in them are dedicated to companies, so it is an administrative complex for companies only, and there are complexes that make the owner is free to choose the way to use his unit or apartment.

Most of the investment complexes are usually in areas close to highways or areas of an economic nature such as the economic zones in Istanbul such as Maslak and Basin Express, which are usually a stronghold for major international multinational companies and the headquarters of Turkish companies as well. These areas also include many famous and well-known universities, such complexes can be used in more than one way, such as:

Renting it annually to companies so that it can be an office for a company or renting it annually to the employees in these companies, as these apartments are close to the workplaces of the employees in these companies.

Renting it annually for students who study in the universities there.

Renting it to businessmen, owners of companies, to live there, who prefer to have their apartments near their companies.

Using it for hotel rent: It is the second type of rent, known as “daily rent”, which is considered more profitable for some investors because it depends on the tourist seasons such as summer, mid-year vacations and Christmas.

How is the return on investment of a property calculated?

First of all, the investor must be specific from the beginning which type of investment that suits him. There are investors who prefer the annual rent allocated to residents and workers who have moved to live in Turkey, and there are those who are looking for hotel projects managed by the construction company, and they have a contract with the construction company that specifies the percentage of profit or return real estate investment.

At the annual rent, the increase is calculated on an annual basis, and the rates of increasing are ranging from 10-20% of the value of the contract between the tenant and the property owner, and the increase depends on the district and type of property, but in last October of 2021 the state notified the apartment owners that they have to increase the rent for this year by no less than 30-40% and in some areas increased by 100%.
In the hotel apartment rental, the investor must choose a strategic and vital location, close to the touristic areas, to guarantee a rapid return for his investment, in which construction companies are responsible for managing the apartment for the investor, often the agreed return is about 6% for a period of 5 years, the investor can get 30% of the property value.

At Ramzy Real Estate Company, we are glad to accompany you on the journey of buying property in Turkey and to provide you with a range of services to make the process smooth and easy , as we are always keen to present a variety of options for residential and investment properties in addition to helping you obtain Turkish citizenship for those looking for it.

Our services:

- Legal advice.

- Property Management.

- After-sales services.

- Legal services and obtaining Turkish citizenship.

- Buying and selling real estate in Turkey.

- For more details, you can contact us via the communication platforms or via the WhatsApp attached on the site.

buying property in Istanbul

Istanbul luxury real estate

Turkish citizenship by investment

Istanbul property prices 2020-2021

Turkish citizenship by buying property