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Silver Lining In Slovakian Resort
March 10, 2009Article by Ray Withers
Joining the European Union has opened the door for British investors to put their money in to property in Slovakia.
Slovakia has a lot of plus points as a place to invest:
* A strong economy despite the effects of the global downtown
* A stable government
* Investment in infrastructure like roads and tourism
But as any savvy investor knows, there’s more to putting money in to property than this.
The benefit to British investors in owning Slovakian property is that a market that was previously closed and undervalued is now ripe for growth. Any investor knows property is a good investment, providing the investment meets certain criteria:
* Risk assessment
Investors have to look at the market closely to calculate the profits – and chances that they may lose money. Some markets perform better than others but as most investors know, the more the risk attached, the larger the return is more likely to be.
So step number one is working out how much risk you are prepared to take.
* Escape strategy
If everything goes wrong or you decide the investment is not for you, you need an exit strategy – for property this is generally an active second-hand market for ‘pre-loved’ homes.
* Reviewing revenue
For most investors, it’s important that a property pays for itself by commanding revenue that exceeds the annual outgoings. If it doesn’t, then the likelihood is you have paid over the odds for your property.
Now you have settled on a strategy for investing in Slovakia real estate, look at some property options. It’s probably a good idea to disregard urban apartments, because as with other countries, many cities have an oversupply of this type of property that drives down rents and prices. One investment worth considering is Silver Resort, in the beautiful High Tatras national park, a UNESCO world heritage site. Slovakia has invested millions of euros in tourist infrastructure in the High Tatras in a bid to attract visitors all year round.
The Tatras are still a wild and rugged place and home to wolves, lynx, owls, deer, wild boar, buzzards, eagles, goshawks and 1,300 plant species. The best time to see the dazzling Alpine flowers is late spring to early summer. Later in the year, the park is a winter sports wonderland for skiers.
International property consultants Property Frontiers are marketing Silver Resort, High Tatras, Slovakia , is a secure, gated luxury resort on the borders of the park with superb mountain views. The Tatras are on the Slovak border with Poland and with easy reach of Russia, the Ukraine and Austria. Slovakia property investors can choose from a range of studios and apartments costing from £63,500. Finance is available at 80% loan-to-value, making the minimum cash investment just £12,700, covering the 29% deposit and purchase costs. The resort is conveniently situated just 15 minutes drive from Poprad Airport that has regular flights from London Luton.