Overseas Property News

Finland

Lapland Investment Property: The Complete Package

House prices in Finland doubled between 1995 and 2005, and they continue to rise strongly. A couple of great things about a property investment in Finland are the low total transaction costs of 7.7% - 10.2%, and the buyer protection offered by the government. With an off-plan purchase in Finland (like Aurora Sky) buyers deposits are held by the government, so if for any reason work on the development should stop, or the even if the buyer simply changes their mind, they will get their deposit back minus a nominal administration fee.

Where to buy in Finland depends on what the buyer is looking for. Buyers in the market for an investment only, with no intention to use it or rent it out, only to sell it for a big profit some years down the line can buy anywhere where price rises remain strong, Helsinki, Lapland and many more places. But those looking for a Finnish holiday home to rent out when not in use should focus on Lapland — specifically the Levi ski resort.

David Stanley Redfern's Aurora Sky (snow white) Hotel, complex of studio, 2 and 3 bedroom apartments is right at the foot of Levi's downhill skiing slopes, the very same slopes the Alpine skiing world cup is held on — the hotel even has its own private ski lift just yards from the door. The apartments are serviced, and optionally their rental is managed by hotel staff. One of the most recent additions to the DSR sales team has just sold one of the Aurora Sky apartments -- she had this to say of the main selling points:

"The main selling point was the 6% guaranteed rental [yield] for [the first] 5 years, also clients were quite taken by the fact that there will be a new ski lift just opposite the building. The available finance was quite a good selling point as well, together with the fact that the apartments are fully furnished."

That's right, A 6% guaranteed yield is being offered with the Aurora Sky apartments for the first five years, but this is capped, so if you have time to manage the rental marketing yourself it is worth your while to consider turning down the rental management and guaranteed yield, because the potential is there to fetch 8-12% yields.

Rental yields on the Aurora Sky apartments are higher than other places in Finland because of the rising popularity of skiing and adventure holidays, poor conditions in the Alps for several years aside, Levi can compete with the Alps even at full strength, because of the quality and uniqueness of the resort and of the complex that surrounds the Aurora Sky hotel.

Levin Tori stands alone, a small village among the snowy wilderness, while all necessary amenities are right on the doorstep. The Levin Tori complex is a shopping mall and selection of apartments that surround the Aurora Sky hotel, (Levin Tori apartments have a much higher price tag), so shopping lovers will not be disappointed, but nor will people looking for unobstructed views over the fells. All facilities and amenities necessary for a great skiing holiday lie on the Levi skiing resort proper, including ski rental and training facilities on the 44 pistes, 15 of which are floodlight for Finland's dull times.

But skiing and shopping aren't the only activities on Levi, visitors can also ride on a husky pulled sled, and enjoy Ice fishing on Levi lake, and that is only in winter. In summer visitors can enjoy Nordic walks in the brisk, fresh and pollution free Levi air, and fishing on the afore mentioned Levi lake. All year round hot air balloon rides are also on offer as well as reindeer rides for the kids.

The rise in the popularity of skiing and adventure holidays is a growing phenomenon, possibly it has something to do with skin cancer fears, but more likely people who have previously looked at only warm destinations want to try something different. Because of this and the six months of excellent skiing conditions, beautiful scenery and vast array of all year round activities, an Aurora Sky property is perfect for any type of buyer.

Those looking for solely a rental income orientated investment, with no holiday usage in mind have a good chance of getting all year round rental with a high yield for his trouble. Long term investors will be attracted by the fact that prices in Finland are expected to rise 300% over the next ten years, based on the current capital appreciation figure of 35%. And if you're a thrill-seeking adventure holiday lover, or simply tired of baking on a beach, these are perfect holiday homes, whether you rent them out when not in use, for the guaranteed 6% or go it alone and making much more.

Find out more about Finland investment property at: http://www.davidstanleyredfern.com/investment-property/finland/

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About David Stanley Redfern

David Stanley Redfern Ltd is an overseas property specialist, working directly with developers in more than forty countries. Most properties are exclusive to David Stanley Redfern Ltd, giving an unparalleled selection of resale and new builds. David Stanley Redfern Ltd is AIPP accredited.

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