In conditions when rents and selling prices of apartments on the coast have increased, investing in properties in these areas can be considered a profitable business.

Real estate agents claim that it remains a safe investment and that real estate can yield satisfactory profits if you seek to do business with it. High rents and rising property prices do not greatly extend the payback period and guarantee high income levels.

"By calculating the return on investment from rent for a property on the coast of Durres, you can get a minimum of 0.5-0.6% per month. The investment should return in about 18-20 years ", claims Klajdi Memajdini from" Devinf ". The ratio between the level of rents and the selling price last year in a period of crisis, due to social distancing narrowed sharply.

In Lalëz Bay, in the months of the tourist season, the daily rent of a single villa reached 300 euros and 60 euros for 1 + 1 apartments. The rental price for the elite villas reached 10,000 - 12,000 euros for the whole season. Investing in real estate on the coast is a smart choice, as their prices are rising year by year and can also benefit from resale.

The largest property investment solvency is in the South of the country. The representative of the real estate "Balfin Real Estate & Hospitality", Ledia Telhai, claims that due to the high demand, the property investment in "Green Coast" returns immediately and the profit from the resale is many times higher. "It would be enough 4-5 years, only through rent, to recover the investment value of an apartment or villa, given the typology of elite clients who frequent them."

In the city of Saranda, a stock of 600-700 unsold apartments has been created due to high prices, but also from cheaper properties, away from the sea. To solve this deadlock, the head of one of the real estate agencies in Saranda, Mr. Eron Çumani, proposes lending to foreign citizens by Albanian banks, as the demand for these properties is high. According to him, commercial banks in Albania should lend to foreign nationals, if they have half the value of real estate. The rest can be credited based on the disposable income of the state where the borrower lives.

In Albania, according to the explanation of the Bank of Albania, the regulatory framework does not prevent lending to non-resident foreign nationals. "Banks, in the exercise of their activity, enjoy operational independence, a definition made in the relevant law on banks. As such, they are free to make decisions and, in particular, to determine quantitative and qualitative criteria for the selection of potential borrowers, regardless of nationality or residence.

The Bank of Albania ensures that banks have established structures for risk management, both from the organizational point of view and that of the internal regulatory and operational framework. It also ensures that these elements are applied as rigorously as possible in its activity. The Bank of Albania has established prudential rules for the protection of banks from potential risks, such as capital requirements and provisioning of exposures to loans granted, in addition to quality requirements referring to the above-mentioned infrastructure ", underlines the Bank of Albania.

(Source: Monitor)