Investments in real estate in Ukraine today pose a risk. For this reason, a third of Ukrainians keep the money in deposits and purchase foreign currency. Another third of the population simply does not have the money, about 13% of Ukrainians invested in real estate, but most of them did it before the crisis, the rest purchased land.
In general, the real estate market remains stagnant, although housing and retail spaces construction has recently become more activate. Financial analyst Vladimir Oleksyuk says: «At present investments in real estate are not attractive. The market still remains in stagnation, though some attractive proposals may emerge from time to time».
Good return on real estate investments brings a commercial premises sector. According to consulting company «Samson», if in pre-crisis time the capitalization rate for non-residential buildings accounted for 10% in Kiev, now the figure is 15%. Therefore, at the moment it’s quite a profitable segment of investments. At the moment premises in new buildings are 20% more expensive than those in the existing stocks of commercial real estate on a sale market, and 16% — on the rental market.
Another option for getting a good return is investing to a daily rent market. Profits in this sector are even higher. For instance, apartments in Odessa can bring up to 25% annual profit.