Buy real estate in Armenia: apartments in an apart-hotel in Tsaghkadzor at a price starting

In terms of preserving and increasing capital, investment in Armenian real estate is a most beneficial solution. The steady increase in the cost of square meters reduces the payback period of apartments and country houses, allows you to receive passive income without mandatory visits to Armenia.

We invite foreign investors to consider a profitable investment proposal – apartments in a multifunctional residential complex (Apart Hotel), located in the best resort city of Armenia – Tsaghkadzor. Currently, completion stage of construction work is 80%, commissioning will take place in the IV quarter of 2020 (October). The cost of units starts from 27 600 EUR, including legal services for the execution of real estate purchase and sale transactions.

Buying real estate in Armenia – what is the attraction of the new apart-hotel in Tsakhkadzor?

First of all, it should be noted that Armenian legislation allows foreign citizens to have 100% ownership of the property in Armenia (with the exception of agricultural land). Rights of use are not limited either – non-residents are entitled to lease, sell, acquire, gift and inherit their own property in Armenian jurisdiction.

The advantages of acquiring apartments in the Tsaghkadzor apart-hotel:

• a large selection of apartments ranging from 20 to 100 sq.m.;
• the cost of residential area – from 27 600 EUR;
• ROI up to 15% per year;
• the project is offered in turnkey state;
• lack of capital gains tax;
• no stamp duties;
• ideal location in the popular tourist area (+ 10% of the influx of tourists annually);
• capital growth potential;
• exceptional security;
• clean air, mountains and skiing, delicious food.

Tsaghkadzor is one of the most popular resorts among citizens of the CIS and Europe in 2020. The city is located in the Kotayk region, 50 km north of Yerevan (69 km from Zvartnots international airport). Tourists have been thrilled with the amazingly mild summers and snowy, cold winters, which creates ideal conditions for skiing. Tsaghkadzor is located at an altitude of 1841 m above sea level, surrounded by magnificent alpine meadows. The tourism infrastructure here is very developed, it is the second city in Armenia, the number of hotels and which is in second place after Yerevan.

How to buy real estate in Armenia with high profitability?

Apart-hotel in Tsaghkadzor is a promising investment offer due to its convenient location. There are higher rental rates and a higher percentage of employment, which means stable high income and increased resale profitability.

All apartments will be completed on a turn-key basis – foreign investors will receive residential real estate equipped with furniture, plumbing and completed interior decoration finishings. This multifunctional residential complex is developed with full range of amenities:

• pools;
• spas;
• restaurant;
• concierge service;
• parking and other services.

Apartments for sale from 20 square meters. m. up to 100 square meters. m., which allows you to choose the living space according to your own preferences.

After putting the property into operation, foreign investors receive a profitable asset with passive income, as well as the opportunity to use the services of a qualified real estate management company. Such an approach will allow entrusting the conduct of business with tenants, utilities (payments) without mandatory visits to Armenia.

Buy apartments in the apart-hotel of Armenia – features of concluding sale and purchase transactions

In order to plan for a good investment income from real estate in Armenia, it is important to take into account the peculiarities of concluding purchase and sale transactions. We recommend that you seek the help of qualified lawyers who will guide you through the procedure obtaining a certificate of ownership before full commissioning of the project.

In deciding to buy Armenian property as a lucrative asset to generate passive income, it is important to consider a number of legal issues. Namely:

• regardless of marital status, you can purchase apartments in the Tsaghkadzor apart-hotel in your own name (sole ownership);
• in a joint purchase, real estate is divided into shares depending on the number of buyers (joint ownership);
• it is possible to purchase an apartment in the apart-hotel by a limited liability company registered in Armenia or in another jurisdiction (company-owned property);
• when the buyer lives in an unregistered marriage, the spouse does not have ownership of the acquired property (common law marriages are not recognized in Armenia);
• when dividing real estate into shares, each owner has the right to dispose of his/her part of the property at his/her sole discretion.

Buy real estate in Armenia, namely apartments in a multifunctional residential complex in Tsaghkadzor, to receive a profitable investment with the maximum annual return. However, it should be borne in mind that verbal agreements in Armenia do not have legal force, and written agreements must be notarized. In concluding such agreements, it is preferable to stipulate the structure of payments, the collateral amount, obligations of the seller and the buyer, as well as liability for the transaction.

Buy real estate in Armenia – key characteristics of mutual settlements

The acquisition of apartments, flats or country houses by foreigners with the help of our lawyers is a safe and transparent process. However, in the course of the process the buyer should be aware of the main legal intricacies, including inheritance, gift rights, and further disposal of an immovable property.

Let us consider some of the possible “pitfalls” in the process:

1. Marital status – if the buyer is in a registered (official) marriage, the consent of the spouse is required for the subsequent sale of the property.
2. Inheritance and donation – in Armenia wills and deeds of gift may be disputed by other family members. It is extremely important to check the facility for any possible encumbrances (whether or not it is mortgaged, existence of minor children, etc.).
3. Capacity to conclude a contract – the sale of real estate by incapacitated persons may be challenged in court.
4. Solvency – some sellers, in the face of difficult financial situation, offer low cost of real estate. When declaring bankruptcy, bankruptcy trustees have the right to challenge such a transaction over a three-year period, therefore take extra caution when you are offered assets with value lower than those prevailing in the market.
5. History of ownership – special attention should be paid to privatization, inheritance, acquisition of property as a donation.
6. Outstanding obligations to tax and municipal services – all outstanding obligations are transferred to the new property owner. Therefore, before the transaction it is important to make sure that the current owner has no outstanding obligations.

When you want to buy real estate in Armenia, you need to remember that mutual settlements in foreign currency are prohibited on Armenian territory, only Armenian drams are used. Moreover, cash settlement is predominant – in practice, the transaction is completed at the notary’s office, where the seller transfers the ownership and the buyer transfers the money.

However, not every foreign businessperson or investor agrees to carry a large amount. In turn, the seller may require verification of the originality of notes. And here the best possibility would be an escrow account – a temporary bank deposit that does not allow the use of funds until a notary orders it accordingly. The bank in this situation serves as a kind of intermediary, having received the necessary amount from the buyer, as a supporting confirmation of the latter’s intentions, and locks the funds until the completion of the purchase and sale transaction. After the full transfer of ownership, the seller will have access to the deposited funds.

Attention: it is not recommended to pay the full amount of the transaction before the official registration of your ownership title.

The only drawback of this method of payment is the bank commission, which can range from 0.1 to 1%

Buy property in Tsaghkadzor apart-hotel – investment return guarantee

The constant growth in demand for Armenian real estate is backed up by research and the statistics on the number of transactions concluded. Only in 2019, 47,152 officially registered transactions were completed, which indicates the actual commercial perspective embodied in real estate transactions in the country.

With a growing economy, backed up by steady government assistance to foreign investment create a favorable investment climate in Armenia, including for channeling capital into real estate. Considering the general increase in real estate sales in Armenia, we note a rather steadfast growth of 18%.

The largest number of transactions are attributed to Yerevan (33%), Tsaghkadzor in the Kotayk region is the second in popularity (14%). Among the top leaders,  Ararat region  comes the third in ranking (10%). Moreover, all types of accommodation are  popular among the local population and foreign investors – from apartments in newly constructed buildings and multifunctional residential complexes to apartments and country houses from the secondary market.

Taking into account the 15% ROI expectancy from the apartments in the Tsakhkadzor apart-hotel, the period for return on investment is no more than 7 years. At the same time, foreign owners do not need to additionally invest in the construction of apartments – upon completion of the project in October 2020, the developer will commission fully comfortable premium-class housing into operation.

To avoid unnecessary red tape in the process of buying real estate in Armenia, we recommend that you seek assistance of our specialists by email at info@offshore-pro.info. Thus, the current offer includes apartments in Tsaghkadzor Apart-Hotel, only 50 km from Yerevan. The cost of apartments starts from 27 600 EUR with the services of lawyers to complete a purchase and sale transaction. Available areas offered for sale are from 20 to 100 sq.m.

We will also help to apply for a residence permit, Armenian citizenship within shortest time periods, as well as will guide you through the process of registration or transfer of your business to Armenian jurisdiction, opening bank accounts for non-residents.