Investment Property in Probolinggo

Investment Real Estate in Probolinggo

Investment Property in Probolinggo
Investment Property in Probolinggo

Probolinggo property investment can be a worthwhile venture if you are selective with the areas you choose to invest in. If not, you could find that your investment suffers due to low rental yields, dwindling demand, and slow property price growth in many parts of Probolinggo.

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Search Map of Probolinggo Investment Real Estate

Probolinggo (Indonesian: Kota Probolinggo, Javanese: ꦥꦿꦧꦭꦶꦁꦒ) is a city on the north coast of East Java province, Indonesia. It covers an area of 56.67 sq. km, and had a population of 217,062 at the 2010 Census; the latest official estimate (as at 2014) is 223,159. It is surrounded on the landward side by Probolinggo Regency but is not part of the regency.

Like most of northern East Java, the city has a large Madurese population in addition to many ethnically Javanese people. It is located on one of the major highways across Java, and has a harbor that is heavily used by fishing vessels.

Under the Dutch East Indies colonial administration, especially in the 19th century, Probolinggo was a lucrative regional center for refining and exporting sugar, and sugar remains an important product of the area.

The city is famous for its mangoes, locally called mangga manalagi. Strong dry-season winds from July to September, the angin gending, help the mango trees pollinate and are sometimes credited with being the source of the area’s quality fruit. The city formerly produced grapes as well, but few grapes are grown in the area now.

The motto of the city is Bestari which is an abbreviation of bersih (cleanliness), sehat (healthy), tertib (orderly), aman (safe), rapi (neat), and indah (beautiful).

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The financial stability of Probolinggo has translated into a real estate market that rewards forward planning and a willingness to look beyond areas of traditional affluence.

Buy to Rent in Probolinggo

Renting out your Probolinggo buy-to-rent investment property can grow wealth and income.

Whatever your goals with investment property in Probolinggoare – preparation is key.

  • Set goals based on how much rental yield will be required and the local rental yield rates in Probolinggo and be prepared to change your initial outlook.
  • Thoroughly research the Probolinggo location with a special emphasis on fringe areas outside the main Probolinggo metropolis that may be valued lower than their better-known neighbours. Rental yields of around 5% are still attainable in certain areas of Probolinggo.
  • Ensure that your target investment property in Probolinggo appeals to professionals. This is a demographic that ensures maximum income and low voids.
  • Finding and vetting suitable tenants is a job ideally left to the professionals. Working with an established letting agent such as Physis Realty with local knowledge and experience of property legislation will give you the best chance of success.
  • You may think that managing your Probolinggo properties yourself is an easy option, but are these savings justifiable when you run into Probolinggo red tape? Physis Realty Probolinggo office in downtown provides you with peace-of-mind and leaves you time to plan your next move in the growing Probolinggo buy-to-rent sector.

With our expert guidance, investing in Probolinggo provides the secure knowledge that your money is working harder than it would in a local Probolinggo bank and that future generations of your family will be left with substantial capital growth assets.

We are always happy to advise on buying investment property in Probolinggo, where we have been established for over 35+ years. Physis Realty has been a firm fixture in the Probolinggo property market through good times and bad. Our experts have seen it all and our portfolios continue to outperform.

Flipping Investment Property in Probolinggo

Flipping property in Probolinggo

Flipping property is when we advise clients to buy a Probolinggo property below market value, renovate it and then make a profit by selling it at a higher price, all within a few months, and often before the Probolinggo market has a time to react to the renovation.

The Flipping Strategy in Probolinggo

Investment property flipping in Probolinggo is a simple strategy. You find a property that is in need of renovation from our list and purchase it for a low price. These type of Probolinggo real estate investments are sometimes referred to by professionals as ‘distressed’ Probolinggo real estate.

What is distressed Probolinggo property:

  • Probolinggo property in need of renovation
  • Probolinggo real estate with a change of puropose and use
  • Oversold Probolinggo property
  • Bank repossessions in Probolinggo

Put simply, long term investors in Probolinggo purchase the property, renovate it and make it a lot more attractive to potential buyers.

Calculate profit that you make from Probolinggo investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

Probolinggo property purchase price: $220,000

Renovation costs: $20,000

Other costs: $25,000

Property sale price: $400,000

Profit: $135,000

Experienced property developers in Probolinggo use a minimum profit value of 22% when looking at potential Probolinggo projects. The reason for this is because there are lots that can go wrong in Probolinggo property flipping and working on a potential margin of 22% should still leave a good margin of error.

Luxury Property in Probolinggo

For luxury property investors hoping to add a superb property in {AsainCity} to their luxury real estate investment portfolio, Physis Realty is a trusted partner.

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A world leader in luxury real estate with a portfolio comprising some of the most sought-after real estate in Probolinggo, Physis Realty caters particularly to high net-worth individuals and families in Asia. A luxury real estate investment in Probolinggo should be entrusted to only the highest-quality agency.

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