Since winning its independence in 1989, Bulgaria has been working, very successfully, to throw off its Communist-era repression, and everything which came along with it.
While it’s still very much in the process of general economic development, hence the current affordability, its tourist industry has been going full steam ahead.
Rather ironically, the fact that Bulgaria was cut off from any sort of development for so long has contributed greatly to its modern appeal, since it is still very much a pristine destination and will hopefully learn from the mistakes of other countries such as Spain and avoid overdevelopment.
There’s no denying that the affordability of property in Brazil comes with a lot of strings attached.
Even though the country is already regarded as being economically strong and has the potential to become one of the strongest economies in the entire world, it has long been beset by political mismanagement and outright corruption.
In practical terms, Brazil is probably best viewed as a moderately-high-risk, long-term investment prospect.
Hungary is another ex-Soviet satellite country which also gained its independence in 1989.
While it often makes news headlines as a result of its outspoken president, modern Hungary has a strong economy, which is quite well-diversified, driven by a highly-skilled workforce, coupled with a solid welfare state and minimal income inequality.
Putting all of this together means that, realistically, it’s hard to see Hungary descending into political turmoil as some newspaper articles might suggest. Hungary might not see immediate, spectacular growth, but its long-term prospects are definitely good.
Republic of Ireland
Although the Dublin property market has been contracting recently, Ireland still has a lot to offer property investors, especially those in the UK, to the point where some might see the current slowdown in Dublin as a great buying opportunity.
Other investors might point out that there is more to Ireland than Dublin and the beautiful west coast and set their sights on other locations such as second city Cork.
For UK investors, Ireland has the advantages of being an English-speaking country with a very similar culture including legal and financial systems which are reasonably easy to navigate. It’s also close to the UK but in the EU.
In terms of investment performance, the maturity of the Irish market means that results are likely to be solid rather than spectacular, but this could suit many property investors very nicely.
Like Bulgaria and Hungary, Poland gained its independence in 1989 and has spent the last 30 years becoming arguably central Europe’s biggest economic success story (even more so than Hungary).
The path hasn’t always been smooth, although it probably became a whole lot smoother with Poland’s accession to the EU and could become rather bumpier if Poland decides to exit the EU (which currently seems highly unlikely for exactly that reason).
Even if Poland did decide to go its own way, however, its resources, both natural and human, would keep it in a strong economic position, with the potential for excellent returns for property investors who get in now.
*For more information on buy-to-let investment in the UK and overseas, please contact Hopwood House.