subject: Diversify Your Portfolio With Greece Real Estate [print this page] Think back to the Americans working for Enron who had their entire portfolio invested in the companys stock, and you can see how that strategy can have dire consequences. Those employees lost everything when the company collapsed; their employment, their income, and all of their retirement savings. Those employees who held more diversified holdings may have lost the portion of their portfolio invested in Enron, but the rest of their investments remained whole.
If your investment portfolio does not include real estate outside of your primary residence, now is the most opportune time in decades to diversify into real estate in Greece.
Greece is a country with a history that stretches back to antiquity. The country itself is incredibly diverse, with mountainous areas, large cities such as Athens and Thessaloniki, and wide swaths of sandy beaches or pristine countryside. There are large industrial areas, agricultural areas, and areas that attract tourists and holidaymakers. All of these areas are ripe for investment in Greece properties; your decision will be to find out which one best suits your needs.
In addition, the worldwide property market is beginning to turn around. Already several locations are reporting rises in median real estate prices, primarily in the upper end properties and those properties located in and around tourist areas. Greece is no exception to this rule.
While the country has not been exempt from the global slowdown in real estate, high-end Greece property and properties that can be used to generate income have shown more resistance to value risk, and in fact, some properties are beginning to rise in value.
That is why you should not only consider diversification into real estate, but in buying that real estate in Greece. Besides the obvious benefit that real estate often moves opposite to other assets (providing you with price protection), an investment in property in Greece can provide you with an income stream.
Rental income from a villa or condo used for holiday letting can provide excellent current cash flow. In addition, you will have the ability to spend a holiday in Greece at any time you desire. Simply reserve your own property for a week or two, and arrive. Depending on your country of residency, there are likely other benefits as well, such as deductions for improvements and updates required to keep the property ready to let.
Other types of properties are available in Greece as well. Small, medium, and large-sized apartment buildings as well as professional buildings (dentists, doctors, etc.) and even light industrial buildings can be purchased and then leased out. Often you can purchase a commercial or professional building with existing tenants, giving you instant occupancy with no effort on your part.
Buying now, when the real estate market in Greece appears to have reached its bottom, locks in future profits for you as well as a potential income stream. It is a smart move when diversifying your portfolio.
