Investment Property in Cotonou

Investment Real Estate in Cotonou

Investment Property in Cotonou
Investment Property in Cotonou

Cotonou 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 Cotonou .

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Search Map of Cotonou Investment Real Estate

Cotonou (French pronunciation: ​[kɔtɔnu]; Fon: Kútɔ̀nú) is the economic center of Benin. Its official population count was 761,137 inhabitants in 2006; however, some estimates indicate its population to be as high as 2.4 million.[citation needed] The population in 1960 was only 70,000.[citation needed] The urban area continues to expand, notably toward the west. The city lies in the southeast of the country, between the Atlantic Ocean and Lake Nokoué.

In addition to being Benin’s largest city, it is the seat of government, although Porto-Novo is the official capital. It is home to most of the country’s government buildings and diplomatic services.

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The financial stability of Cotonou 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 Cotonou

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

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

  • Set goals based on how much rental yield will be required and the local rental yield rates in Cotonou and be prepared to change your initial outlook.
  • Thoroughly research the Cotonou location with a special emphasis on fringe areas outside the main Cotonou metropolis that may be valued lower than their better-known neighbors. Rental yields of around 5% are still attainable in certain areas of Cotonou.
  • Ensure that your target investment property in Cotonou 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 Cotonou properties yourself is an easy option, but are these savings justifiable when you run into Cotonou red tape? Physis Realty Cotonou office in downtown provides you with peace-of-mind and leaves you time to plan your next move in the growing Cotonou buy-to-rent sector.

With our expert guidance, investing in Cotonou provides the secure knowledge that your money is working harder than it would in a local Cotonou 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 Cotonou, where we have been established for over 35+ years. Physis Realty has been a firm fixture in the Cotonou property market through good times and bad. Our experts have seen it all and our portfolios continue to outperform.

Flipping Investment Property in Cotonou

Flipping property in Cotonou

Flipping property is when we advise clients to buy a Cotonou 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 Cotonou market has a time to react to the renovation.

The Flipping Strategy in Cotonou

Investment property flipping in Cotonou 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 Cotonou real estate investments are sometimes referred to by professionals as ‘distressed’ Cotonou real estate.

What is distressed Cotonou property:

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

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

Calculate profit that you make from Cotonou investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

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

Luxury Property in Cotonou

For luxury property investors hoping to add a superb property in Cotonou 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 Cotonou, Physis Realty caters particularly to high net-worth individuals and families. A luxury real estate investment in Cotonou should be entrusted to only the highest-quality agency.

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