Investments in housing are considered a fairly conservative instrument. Last year, the real estate website Mir Kvartir analyzed a data array and found that on average, new buildings in St. Petersburg pay for themselves in 23.6 years and bring owners 4.2% per annum if rented out.
And apartments on the secondary market provide a monthly yield of 4.6% and pay for themselves in 21.9 years.
Analysts from the Bulletin of Real Estate Group calculated that in St. Petersburg, rooms pay for themselves the fastest — in less than 19 years. One-room apartments will pay for themselves in almost 22.5 years. It will take almost 26 years to recoup the cost of a two-room apartment, and even longer to cover the costs of a three-room apartment. As for rent, rooms bring in 5.31% annually, one-room apartments — 4.48%, two-room and three-room apartments — less than 4%. But this is the average for the hospital, the general temperature for those who have a fever and who are in the morgue. Of course, liquid apartments located in a convenient area, in demand will bring money to the owner much faster than unsuccessful options.
Investing in an investment is not “buy and forget”. This is another job: you will need to monitor prices, the market, what is happening in the area, government decisions, monitor insurance, taxes and deductions, and so on. But if the deal is successful, you will be able to create excellent passive income and worry less about your financial well-being.