Why you should invest in real estate in Addis Ababa

If you are sitting on a pile of significant amount of cash and looking for a safe investment opportunity in Ethiopia with incredible returns, keep on reading and thank us later. If you were in the market for a villa or an apartment for rent in Addis Ababa recently, you may already have some idea about what will be discussed in this article. The rental price of apartments in Addis Ababa is going through the roofs. The rental price of houses for rent in Addis Ababa is also skyrocketing. The value appreciation rate of immovable assets or homes in Addis Ababa have also been unheard of. All of this is happening while the purchasing power of the Ethiopian Birr is shrinking fast.

At such a time, when the Ethiopian economy is in crisis, you need a good plan to protect your wealth from getting eroded. Whether you are an investor looking for a steady monthly income or someone who is looking for an asset that you can buy, keep for a short while, and resell for a handsome profit, real estate investing is probably your best bet. If you are one of those companies or a privately wealthy individual that is sitting on a huge pile of cash, which you cannot use to import raw materials, machinery, merchandise or services due to shortage of hard currency, do not sit there and watch your money get shrunk due to inflation, which is around 35% at the moment. It is worth noting that the gap between inflation and the current interest rate, which is only 7% is quite significant.

In order to withstand this situation, some people have resorted into purchasing gold and other minerals but this practice is illegal and very risky. Others have been buying agricultural products with the hopes of hoarding them to export later on when prices of those goods is high enough on the international market and can fetch them some hard currency. Even this is not safe as the Ethiopian Government is likely to force such traders to export the goods immediately in order to earn much needed hard currency right now.

This makes investing in real estate a great option for any investor whether he is looking for a steady income for a long time or for someone looking for a short-term investment opportunity. Some people who have made smart decisions in buying apartments in Addis Ababa a few years back are still earning hard currency by leasing apartments in Addis Ababa to foreigners when things are getting tougher and tougher for everyone else. If you find the right investment property, you can earn anywhere between $2,000 and $4,500 for a single apartment in Addis Ababa’s popular neighborhoods such as Bole, Kazanchis and Old Airport. Similarly, if you invest in villas that can be offered for lease by expats in Addis Ababa, you can expect to earn $3,000 to $10,000 for a decent house depending on the size and location. If you invest in an ambassadorial house for rent in Bole or Old Airport, you can easily earn $12,000 – $15,000 per month. Why engage in illegal activities when you can buy and lease out apartments and houses in Addis Ababa to acquire hard currency legally?

Even if you do not want to hold on a property for a long time, you can easily resell it when the time is right. Due to the rise in prices of construction materials both locally and globally, the continual and dramatic rise of land prices in Addis Ababa, and other factors no one can explain, a smart investor can let go off a property he has purchased only after couple of months of getting possession of it and still earn a handsome profit. It is common knowledge that you can double your money in a matter of few months if you are a smart real estate investor in Addis Ababa.

Let’s help you find the perfect house or apartment for sale in Addis Ababa for short or long-term investment. Once you make the purchase, you will not have to worry about what to do with your investment next. Our team of professionals will market and manage it for you. If you wish to see the long list of houses and apartments for rent in Addis Ababa, visit https://www.ethiopianproperties.com/ and get in touch with us today.

This article first appeared on the Ethiopian Properties official website and blog posts.