Investment Property in Rijeka

Investment Real Estate in Rijeka

Investment Property in Rijeka
Investment Property in Rijeka

Rijeka 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 Rijeka .

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Search Map of Rijeka Investment Real Estate

Rijeka ( ree-EH-kə ree-AY-kə, also ree-YEH-kə, Croatian: [rijěːka] (About this soundlisten); Hungarian: Fiume, Italian: Fiume [ˈfjuːme]; Slovene: Reka; German: Sankt Veit am Flaum) is the principal seaport and the third-largest city in Croatia (after Zagreb and Split). It is located in Primorje-Gorski Kotar County on Kvarner Bay, an inlet of the Adriatic Sea and in 2011 had a population of 128,624 inhabitants.
Historically, because of its strategic position and its excellent deep-water port, the city was fiercely contested, especially between Italy, Hungary (serving as the Kingdom of Hungary’s largest and most important port), and Croatia, changing rulers and demographics many times over centuries. According to the 2011 census data, the majority of its citizens are Croats, along with a minority of Serbs, and smaller numbers of Bosniaks and Italians.

Rijeka is the main city and county seat of the Primorje-Gorski Kotar County. The city’s economy largely depends on shipbuilding (shipyards “3. Maj” and “Viktor Lenac Shipyard”) and maritime transport. Rijeka hosts the Croatian National Theatre Ivan pl. Zajc, first built in 1765, as well as the University of Rijeka, founded in 1973 but with roots dating back to 1632 School of Theology.

Apart from Croatian and Italian, linguistically the city is home to its own unique dialect of the Venetian language, Fiuman, with an estimated 20,000 speakers among the autochthonous Italians, Croats and other minorities. Historically Fiuman served as the main lingua franca between the many ethnicities inhabiting the multi-ethnic port town. In certain suburbs of the modern extended municipality the autochthonous population still speaks Chakavian, a dialect of the Croatian language.

In 2016, Rijeka was selected as the European Capital of Culture for 2020, alongside Galway, Ireland.

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The financial stability of Rijeka 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 Rijeka

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

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

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

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

Flipping Investment Property in Rijeka

Flipping property in Rijeka

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

The Flipping Strategy in Rijeka

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

What is distressed Rijeka property:

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

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

Calculate profit that you make from Rijeka investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

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

Luxury Property in Rijeka

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

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