How to choose between an apartment in Moscow and real estate abroad?

Anna Shekhova claims that owning an apartment is not just a place to live, but also an important financial asset. If it is not the only residence, many owners choose to rent it out, which allows them to generate a stable income. However, there is also an alternative path: one can sell their property in Russia and use the proceeds to purchase housing abroad. This decision can be particularly relevant for those who own apartments in major cities like Moscow or St. Petersburg, as the value of their real estate opens doors to almost any market in Europe.

Advantages and disadvantages of different approaches

Each of these options has its own advantages and disadvantages. The Russian market has certain benefits that make renting apartments in Moscow a more attractive option. First of all, managing real estate in Moscow turns out to be significantly less complicated compared to assets abroad. The country has its own rules and laws that, although they have their drawbacks, are nevertheless well known to property owners. By remaining an apartment owner in Russia, there is no need to worry about the complexities associated with foreign legal norms and various nuances that arise in other markets.

Stability and legal aspects

An important point is stability in paying utility bills and other legal issues related to inheritance and real estate titling. Usually, interaction with real estate agents and tenants goes without any difficulties or unexpected situations.

Availability of housing

When it comes to housing availability, a Moscow apartment will always be at your disposal. Owners can visit their property at any time and assess its condition. In contrast, if the apartment is located outside the country, owners will have to rely on reports from the management company and tenants, which is not always trustworthy.

Rental income and the international market

It is also worth noting that rental income from real estate in Moscow can sometimes be comparable to the income that can be obtained in the international market. In Moscow, the demand for rentals remains high throughout the year, which provides owners with a stable income. To achieve similar stability abroad, one must only consider the central areas of major metropolises like Paris or London, as in resort areas, incomes can vary and be less predictable.

Rental seasonality

For example, income from tourist real estate heavily depends on the season. Even in the most popular locations, short-term rentals can be a challenging task. During the winter period, when there are no significant events like exhibitions or major festivals, coastal towns often remain empty. Similarly, ski resorts, despite their stunning nature, significantly lose popularity in the summer.

In certain countries, such as Bulgaria or Turkey, competition in the rental market can be so high that even during peak season, properties may remain vacant. Many vacationers prefer ready-made travel packages with hotel accommodations rather than searching for rental options.

Conclusions

Therefore, the decision of whether to rent out an apartment in Russia or sell it for investments abroad requires thoughtful analysis of all possible risks and benefits. It is important to comprehensively evaluate all aspects by conducting a detailed market analysis and assessing one's own capabilities. This significant decision should be based on personal financial goals, preferences, and an understanding of all the nuances of property management, both in Russia and abroad.

Real estate rental in developed countries

In most economically developed Western countries, the rental housing market is regulated by strict legal norms. This implies the necessity of fulfilling tax obligations and paying taxes, which can amount to significant sums — from20%to30%from total income.

Advantages and limitations

One of the most notable advantages of this approach is the high degree of control the owner has over their property. Legislation in foreign jurisdictions typically clearly defines the rights and obligations of all parties involved in a transaction, which may come as a surprise to owners in our areas where the rules are less strict.

• For example, in a number of countries, tenants may face hefty fines for early termination of the agreement.
• Landlords are required to notify tenants in advance about the expiration of the lease, while strictly adhering to certain timeframes.
• Evicting defaulters can be a real challenge: filing a lawsuit is just the first step.

If you urgently need to provide housing for relatives, you won't be able to evict tenants from an apartment as quickly as you can in Russia.

Family aspects

If there are children in the family who need housing, it might be worth keeping the current apartment, as selling or exchanging property often comes with high financial costs.

Responsibilities of property owners

Property owners are required to pay taxes, but they don't have to worry about the safety of their apartments, as the responsibility in this matter lies with the tenants. Usually, issues related to finding tenants and financial transactions are handled by specialized management companies, which are responsible for the actions of the tenants and can protect the interests of the owners.

Guaranteed rental in other countries

In some countries, such as France, it is possible to enter into a guaranteed rental agreement. This option allows property owners to receivestable incomeThroughout the year, even if it is below the market level. However, such stability is very important, and unfortunately, it is lacking in the current Russian market.

Avoidance of double taxation

I should also note that Russia has signed treaties with a number of well-known countries aimed at eliminating double taxation. This makes it possible for Russians who rent out foreign property not to face greater expenses than those incurred when renting out accommodation in Moscow.

Strategy for buying real estate abroad

Purchasing an apartment outside our country can be a wise move for those who want to provide their children with the opportunity to receive an education at international institutions. In this case, it is worth considering buying property in major cities located near well-known European universities. Typically, there are no difficulties in finding tenants in such areas.

Real estate as a "safety cushion"

Moreover, real estate abroad can play a role.financial cushionwhich will later allow for a permanent move to another country. When the time comes to retire, buying a home abroad can be the key to new opportunities, providing the chance to enjoy a peaceful old age in pleasant climate conditions. Many elderly people begin to consider such a step, comparing the value of their apartments in Kuzminki with the prices of apartments in sunny areas, for example, in Sharm El Sheikh or along the coast.

Seasonality of coastal real estate

At the same time, it is important to note that when purchasing property in a coastal area, you may encounter some issues.seasonal living. Often attractive properties are designed under the premise that their owners will only use them during the vacation season.

• For example, many resort towns in Bulgaria practically empty out from late autumn to early spring.
• Almost all the shops and cafes are closing, and the permanent residents are leaving.

This makes you think — are you ready for a life of solitude and silence?

Effective property management

It should also be remembered that effective property management is part of your life strategy. Before making a final decision, it is advisable to consciously assess your financial capabilities and future plans. Creating a clear financial plan will help you avoid many problems and make your investment path more sustainable and promising.

Conclusion

In conclusion to our discussion, I would like to summarize and highlight the key aspects regarding the choice between keeping or selling an apartment in Russia in favor of foreignreal estate. I fully understand that this choice is always a personal matter, affecting not only financial prospects but also everyday conveniences and emotional well-being.

Advantages of an apartment in Moscow

On one hand, a Moscow apartment offers accessibility, stability, a personal connection to the property, and a more predictable rental experience. I see how many choose to keep their real estate here, finding comfort in the simplicity of management and clarity of terms. Yes, it really is easier, especially for residents of large cities where the rental market has been stable for a long time.

Opportunities in the foreign market

On the other hand, I understand how attractive the foreignreal estate market can be, especially for those who have the opportunity to invest in higher-quality properties with similar, and sometimes even lower, investments. Abroad, they usually offer better living conditions, higher rental income, and opportunities for capital growth. However, of course, one should not forget about the potential risks and nuances associated with foreign legislation and market rules.

Family aspects

In the case of children and future plans, it is important to consider not only the current state of affairs but also that the property should remain as liquid and useful as possible. Managing family real estate requires a balanced approach, especially when it comes to its future prospects.

Key points for decision making:

• Availability:The Moscow apartment is always in sight and accessible for personal oversight.
• Stability:The Russian rental market is predictable and stable.
• Quality of real estate:Abroad, you can often find higher quality housing options.
• Risks:Foreign legislation can bring unexpected challenges in property management.
• The future of children:It's important to consider the needs of the next generation when choosing real estate.

Final word

Ultimately, the choice is up to each of us. I can't say that there is one right solution, but it's important to assess our needs, financial capabilities, and risks realistically. The true value of real estate, like any asset, lies in how we can use it for our well-being, convenience, and the future of our loved ones.