Geography and more
As a rule, when we talk about foreign real estate, the states of Western and Eastern Europe, the USA, or, finally, Southeast Asia come to mind first. However, abroad can be "represented" by countries much closer to us, both geographically and historically. And a very interesting choice for Russians today is the Republic of Belarus, the former sister of Russia during the USSR.
The capital of Belarus is separated from Moscow by only 720 km, which can be easily overcome by plane, train, bus or car. Fortunately, Russians do not need visas to visit this country, located in the very center of Europe. Here, the architecture familiar to us with typical Soviet-era buildings is adjacent to modern new buildings, nature and climate do not contrast with Russian realities, and references to the common past, when Belarus was one of the republics of the Soviet Union, are found at every step. For example, to this day there are monuments and monuments to Lenin in every Belarusian city, as well as in every city of the republic there is a street bearing the name of the leader of the October Revolution.
The Republic of Belarus is the largest European state that has no access to the sea or the ocean, but the country is penetrated by several large, including navigable rivers: the Dnieper, Berezina, Pripyat, Neman, in total there are more than 20,000 rivers and about 11,000 lakes, so residents and visitors of Belarus do not experience problems due to geographical isolation within the mainland.
How to get there
The fastest, but not the most budget way to get from Russia to Belarus by plane. The cheapest ticket on the route Moscow-Minsk-Moscow will cost 8200 rubles. A slightly more expensive flight from St. Petersburg will cost from 9350 rubles round trip. There are six international airports in Belarus, but direct flights from Russian cities ("UTair", "Belavia", "Aeroflot" and S7 Airlines) are accepted only by the National Airport "Minsk".
It will not be difficult to get to Belarus by train, since Russian Railways has a number of necessary routes, and not only from Moscow and St. Petersburg. For example, the Moscow-Brest train runs every other day on a year-round basis, and you can get to Brest from St. Petersburg or get from Moscow to Minsk on certain dates. Also, non-stop and trailer cars connect the Russian cities of Nizhny Novgorod, St. Petersburg, Pskov and Novosibirsk with Brest, Mogilev and Minsk. The cost of tickets in a compartment car is often comparable to the price of an air flight. So, a Moscow-Minsk ticket in a reserved carriage costs from 2000 rubles, and in a compartment - 4100-4500 rubles. A trip from Novosibirsk to Minsk will cost from 10 000 (reserved seat) to 20 000 rubles (compartment).
For 1500 rubles and 10-11 hours you can get by bus from Moscow (Shchelkovsky bus station) to Minsk.
It is possible to get by car along the same route in 8-10 hours – this is facilitated by the absence of customs and excellent road surface on the highways.
WhyBelarus
Russian Russian is probably one of the main advantages for investors is the absence of a language barrier. Russian is one of the two official languages here, the second state language, Belarusian, is phonetically almost indistinguishable from Russian.
- Geographical proximity has also predetermined the convenience of transport logistics: even people suffering from aerophobia can not refuse to travel to Belarus and the flight can easily be replaced, for example, by traveling by train.
- Despite its geographical and cultural proximity, Belarus is surrounded by Slavic, European and Baltic countries (Ukraine, Poland, Russia, Latvia and Lithuania), which makes it very convenient for further travel in Europe.
- The climate of Belarus is slightly milder and warmer than in Russia, the ecology is cleaner (which is not surprising, since 40% of the country's territory is covered with forests), and the cost of living is more affordable than in many regions of the Russian Federation.
- Minsk, the capital of Belarus, is almost like Rome called the eternal city: during the turbulent European history, it was destroyed 18 times, and each time, like a Phoenix, it was restored. Today it is one of the most beautiful places in Europe.
- Belarus has a well-developed education system, which is appreciated by families moving to the country with children. There are seven academies, 15 institutes and more than 30 universities operating here, and at the same time there is not a single university where education would be conducted exclusively in the Belarusian language.
- The process of buying real estate in the republic itself is transparent and safe: every Belarusian realtor must pass state certification, and agencies must have a license and an insurance policy. The combination of these documents will protect the buyer from the risk of invalidation of the transaction. In addition, the agency commission in Belarus is strictly regulated and amounts to 1-3% of the real estate value.
The situation on the real estate market
Over the past couple of years, prices for housing in Belarus fell by 40-50%. The low purchasing power of the local population, high rates of bank loans for housing, the excess of supply over demand have certainly become a negative phenomenon for sellers, but buyers, including foreign investors, have received a unique opportunity to make a profitable deal.
The fluctuation in real estate prices once again confirms how connected the economies of Belarus and Russia are. Thus, the trends of the Moscow real estate market are mirrored in Minsk, but with a delay of four to six months. Then these changes are reflected in the cost of housing in the Belarusian province. Another proof of the relationship is the results of 2015, when real estate prices fell by almost a quarter on average across the country. In a wider time range, it is clearly visible that the downward dynamics has been outlined for a long time. So, at the beginning of 2014, the prices of apartments and houses in the center of Minsk were $1500-2500 per square meter, and by the middle of 2016, the price of $800-1300 per square meter was considered the ceiling of the capital's market.
Experts say that the current cost of housing in Minsk has reached a nine-year low, but despite record low prices, not every Belarusian can afford a separate housing. With the average cost of a two-room apartment in Minsk at $55,000-60,000, the average salary of a metropolitan resident varies within $500 per month. Due to the low level of income, the only option for realizing the dream of owning your own home could be a bank loan for housing (an analogue of a mortgage, although there is no such thing on the Belarusian real estate market), but loan rates from 30-35% per annum make this dream either extremely unprofitable or completely impossible.
In general, experts agree that, although declining trends prevail in the market, since March 2016, there has been a revival in the housing market, by July demand began to fall, and in September, compared with August, demand for apartments decreased by 18%. Nevertheless, it is impossible to call the situation negative. Objects of both economy and elite class cannot find a new owner for a long time only if the price-quality ratio is inadequate.
The main portrait of the Belarusian real estate market in recent years looks like this: the simultaneous decline in the economy, purchasing power and housing prices, especially in regional centers, have practically equalized the prices of two-bedroom apartments on the secondary market with "three". The seller in this situation, of course, loses, but, at the same time, for a similar cost, the buyer can afford a larger housing area than, for example, a year ago.
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At the same time, wealthy Belarusians and guests from other countries are quite spoiled for choice: designer apartments can be bought in Minsk and other cities, as well as «order» a modern house with an individual design. Everything depends solely on the budget.
Areas attractive for investment
When buying real estate in another country, and the Republic of Belarus is no exception here, investors, as a rule, prefer the capital's facilities. Transport accessibility, the widest possible choice of facilities, and a developed social infrastructure are in favor of this decision. However, housing prices in the capital are higher than in large cities in the peripheral part of the country. In addition to Minsk, real estate is in demand, in particular, among Russians, in regional cities: in Brest, Gomel, Grodno, Mogilev andVitebsk.
Minsk is a hero city, the capital, the most economically developed city in the country, where most of the industrial enterprises and educational institutions are concentrated. This is a garden city, a fifth of which is given over to flower beds and flower beds, parks and squares. In summer, so many flowers are planted here that the total area occupied by them is equivalent to ten football fields. It is not surprising that the Minsk Botanical Garden, located on 96 hectares, is the third largest in Europe. Thanks to the abundance of greenery and fountains, and there are more than a hundred of them in the city, even on the hottest summer day in Minsk there is no stuffy heat.
Geographically, the city is divided into nine districts, but the construction of almost all districts, as in Moscow, is mostly carried out point-by-point and haphazardly. New buildings made of glass and concrete in the central district are adjacent to dilapidated buildings of residential areas of the Belarusian capital.
One-room apartments in the old housing stock (low-rise buildings of the Soviet era) they cost from $33,000, whereas the cost of a new business class building can reach up to $100,000 for a one-bedroom apartment. On average, a primary house in Minsk is sold for $1050/1 sq. m. (one-room apartments are offered at a price of $1075, two-bedroom apartments and three-bedroom apartments at $1047 and $1029 per sq. m. m, respectively), and high-quality objects of the secondary market change ownership at a price of about $ 1200 per square meter. The most expensive, elite apartments in Minsk are concentrated in the city center, in the area of the National Library and on the longest street of Belarus, Independence Avenue. In this area, despite the dense construction, the construction of a unique microdistrict "The Lighthouse of Minsk" is underway, which, for its developed infrastructure, was nicknamed "the city within the city". In addition to residential buildings of different storeys, there are plans to build a huge shopping and entertainment complex and an office center, a school, kindergartens and a water park. One "square" in the "Lighthouse of Minsk" costs from $1000.
Brest The city, known primarily for its fortress, has hosted many other attractions on its territory that can amaze even sophisticated tourists. Amazing churches and cathedrals with a rich history, museums with unique and rare exhibits, war monuments and beautiful urban sculptures - the border town on the banks of the Western Bug never ceases to amaze.
Due to the developed industry and a fairly low unemployment rate, interest in real estate in Brest is mostly growing from national, domestic investors. Brest attracts foreign buyers, in particular Russians, from the point of view of historical sites and monuments of the Great Patriotic War. To date, there are 1.5 times more tourists in the city than local residents, and over the next three years, the city authorities plan to increase the tourist flow to 2 million people per year. These factors allow us to hope that real estate in Brest will be interesting primarily from an investment point of view.
Construction is actively underway in the city, both multi-apartment residential buildings and low-rise cottage settlements, and the construction sector itself is characterized by the presence of reliable public and private developers. To date , 1 sq. A m of real estate in Brest costs $750 on average, buying a house under construction will significantly save the budget. New buildings in the Leninsky district of the city cost from $574 per square meter. Cottages in the ecologically clean area of Vychulki-Yamno also fit into the average statistics of $600-800/1 sq. m. A studio apartment on the secondary market in the Moscow or Leninsky district costs about $35,000. In residential areas, a similar object, but an older housing stock is sold for $22,000-$27,000.
Gomel A city surrounded by greenery; one of the oldest cities in Belarus, the first settlement of which dates back to the end of the 1st millennium BC. Nowadays Gomel is a large industrial center, and the second most populous city after Minsk. Gomel boasts numerous sights – memorable milestones in its long and rich history. A unique place in the city where both tourists and residents of Gomel like to spend time is the palace and park ensemble, one of the oldest and most important museums in Belarus.
To date, the average cost of a square in new buildings and in the secondary market of Gomel fluctuates around $620, although a year earlier, in October 2015, 1 sq. m cost $800 here. One-room apartment (almost 50 sq. m. m) with a view of Lake Volotovo in an elite new building in the central district of the city can be purchased for $33 900. «Odnushka» (Soviet district) in a panel house built in 1985 costs $20 000. Become the owner of a modern townhouse (135 sq. m. m) in the Novobelitsky district it is possible for $67,500.
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Grodno.This city on the banks of the Neman River impresses with a variety of historical and cultural heritage. Located on the border with Poland, Grodno was one of the central cities in the history of the Grand Duchy of Lithuania and the Polish-Lithuanian Commonwealth, which left traces not only on the fate, but also on the appearance of the city. Fortunately, the destruction of the Great Patriotic War did not affect Grodno to the same extent as other Belarusian cities, so now we have the opportunity to enjoy and admire the oldest historical monuments. Today, Grodno, located near the borders of Poland and Lithuania, is considered one of the most European cities in Belarus, which is not surprising, given that by the beginning of World War II the city was part of Poland.
Administratively Grodno is divided into two districts, Oktyabrsky and Leninsky, which, in turn, are subdivided into microdistricts. The main construction of new residential buildings is carried out in Devyatovka, Olshanka and Veshnevets district, here 1 "square" costs $1000-1200, while prices on the secondary market are much more affordable $500-600/1 sq. m. As a result of such an imbalance, one-room apartments of a new layout may be more expensive than two-bedroom apartments» old housing stock. The situation in the real estate market of Grodno is such that the cost of one- or two-bedroom apartments on the secondary market may differ by $5,000 ($20, 000-21,000 for a one-room apartment and $25,000-26,000 for a two-room apartment.) Prices for apartments of the Czech layout start from $33,000, and housing in new buildings starts from $40,000.Mogilev is a city on the Dnieper River and one of the oldest cities in Belarus. Mogilev is the last capital of the Russian Empire and the battlefield for many battles of the Second World War. Fortunately, the city managed to preserve unique historical and architectural monuments, although many of them were destroyed already in the post-war period. There is a well-developed transport infrastructure, there are many sports sections, and Mogilev is confidently catching up with Minsk in terms of the level of equipment of shopping centers. The combination of these factors, as well as geographical proximity to the Russian border, make real estate in Mogilev popular in the eyes of both Belarusian and Russian buyers.
To date, the average cost of 1 sq. m. the cost of housing is fixed at $615. Over the past year, the demand here has shifted from new buildings to budget "secondary", and the excess supply and weak demand allowed the buyer to dominate the market, as, indeed, in most cities of Bularus. Today, a one-room apartment with an improved layout with a good repair can be bought for $22,000, while a year ago an object with similar characteristics was sold for $30,000-33,000. New buildings in the Oktyabrsky or Leninsky district of the city cost about $28,000 for a one-room apartment.
Vitebsk Another one of the oldest cities in Belarus, in which, undoubtedly, you can find numerous monuments referring to different periods of the city's history. In addition to temples and churches, museums and an amphitheater, Vitebsk has the largest square of the republic, Victory Square, with a monument, an eternal flame, four fountains, two huge screens and a stage. Administratively, the city is divided into three districts: Oktyabrsky, Zheleznodorozhny and Pervomaisky. It is in the latter that the construction of new housing is being carried out in the most active way, while the housing stock of the Zheleznodorozhny district is formed by typical Soviet-era buildings.
At the moment, the average cost of a square in Vitebsk is $590, while according to the results of the first half of 2016, the city became the leader in falling prices for secondary housing in this segment. m dropped to $500. The minimum cost of a one-room apartment starts at $15,000, a Khrushchev costs about $18,000, and a one-bedroom apartment in a panel house can be bought for $21,000-22,000. You can buy a house in a new building under construction at a price of $520/1 sq. m.M.
Purchase Recommendations
Russians doing business with Belarusian or European partners are most likely to be interested in real estate in border areas or in the capital. Ethnic Belarusians who have lived in Russia for some time also acquire housing in large regional cities located near the borders (Vitebsk, Gomel, Mogilev).
It makes sense to purchase real estate for the purpose of investment in tourist-developed areas, primarily Minsk and Brest, and experts recommend paying attention to the historical centers of these cities.
PortalHomesOverseas.ru thanks for the help in preparing the articleIgor Vasilievich Rassokhov (Real Estate Agency «Rush Hour») and Radchenko Neil Alexandrovich (The Agency «InformPrognoz»).
photocredits: flickr / dmitry kruglyak
Olga Shoshina
HomesOverseas.ru
