Investment Property in Hawassa

Investment Real Estate in Hawassa

Investment Property in Hawassa
Investment Property in Hawassa

Hawassa 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 Hawassa .

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Search Map of Hawassa Investment Real Estate

Hawassa (Amharic: አዋሳ ʾäwasa, also spelled Awassa or Awasa) is a city in Ethiopia, on the shores of Lake Awassa in the Great Rift Valley. It is 273 km (170 mi) south of Addis Ababa via Bishoftu, 130 km (81 mi) east of Sodo, and 75 km (47 mi) north of Dilla. The town serves as the capital of the Sidama Region and the Southern Nations, Nationalities, and Peoples’ Region. It lies on the Trans-African Highway 4 Cairo-Cape Town and has a latitude and longitude of7°3′N 38°28′E / 7.050°N 38.467°E / 7.050; 38.467Coordinates:7°3′N 38°28′E / 7.050°N 38.467°E / 7.050; 38.467 and an elevation of 1,708 meters (5,604 ft) above sea level. Its name comes from a Sidamic word meaning “wide body of water”.

The city is home to Hawassa University (which includes Wondo Genet College of Forestry and Natural Resources, an Agricultural College, the Main Campus, and a Health Sciences College), Awasa Adventist College, and a major market. The city is served by Awasa Airport (ICAO code HALA, IATA AWA), opened in 1988. Postal service is provided by the main branch; electricity and telephone service are also available. Important local attractions include the St. Gabriel Church and the Awassa Kenema Stadium. Fishing is a major local industry.

Hawassa was capital of the former Sidamo Province from about 1978 until the province was abolished with the adoption of the 1995 Constitution. It then became the capital of the Southern Southern Nations, Nationalities, and Peoples’ Region. When the Sidama Region was formed in June 2020, the city became part of that region. Hawassa currently serves as the capital of both the Sidama Region and the Southern Nations, Nationalities, and Peoples’ Region. Hawassa will continue to serve as the seat of government of the Southern Nations, Nationalities, and Peoples’ Region for two national electoral cycles, after which the regional government will move to a city within the region’s boundaries.

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The financial stability of Hawassa 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 Hawassa

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

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

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

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

Flipping Investment Property in Hawassa

Flipping property in Hawassa

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

The Flipping Strategy in Hawassa

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

What is distressed Hawassa property:

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

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

Calculate profit that you make from Hawassa investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

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

Luxury Property in Hawassa

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

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