BFM.RU: Action plan: what to do with real estate in the context of a depreciating ruble. Amidst a depreciating ruble, many people are concerned about the impact on real estate values and investment decisions. Here are some steps to consider in such circumstances: 1. Assess the situation: Evaluate the current market conditions, including economic forecasts and trends. Consider the potential risks and opportunities associated with the depreciating ruble. 2. Hold or sell: Determine whether it is better to hold onto your real estate assets or consider selling them. Analyze the potential long-term benefits and risks of each option. Additionally, consider the financial implications of such decisions, especially if you have loans or mortgages tied to the property. 3. Diversify investments: Consider diversifying your investment portfolio by exploring other asset classes. This could help mitigate the risks associated with the devaluation of the ruble and potentially provide alternative sources of income. 4. Rental income: If selling is not a favorable option, explore the possibilities of generating rental income from your property. Rental income can help offset any depreciation and provide a steady cash flow. 5. Reassess property values and rent rates: As the ruble depreciates, property values and rent rates may fluctuate. Regularly reassess and adjust the rental rates to align with the market conditions and ensure that your investment remains profitable. 6. Consider foreign investments: With a depreciating ruble, investing in foreign real estate markets may present an attractive opportunity. Explore the potential benefits and risks associated with foreign real estate investments and consider diversifying your portfolio internationally. 7. Seek professional advice: Engage the services of real estate professionals, financial advisors, or property consultants who can provide expert guidance and assist in making informed decisions during this period of currency devaluation. Overall, navigating real estate investments during a depreciating ruble requires careful evaluation, constant monitoring of market conditions, and a proactive approach to adapt to changing circumstances.

The Russian currency significantly lags behind both the dollar and the euro. Which real estate transactions are better to make now, and which ones to postpone until better times?

BFM.RU

The Russian currency significantly lags behind both the dollar and the euro. Which real estate transactions are better to make now, and which ones to postpone until better times?

The latest wave of ruble devaluation once again makes all participants of the residential real estate market nervous. Just as developers were starting to enjoy a relative increase in demand and buyers were benefiting from lower prices on apartments and the availability of subsidized mortgages, exchange rates have shot up once again, dashing all hopes of stabilizing the situation.

Buyers and investors are at a loss for which strategy to adopt in such an unpredictable economic situation. Is it time to invest in property or is it better to wait until the ruble depreciates further in order to buy additional square meters? Should existing properties be sold and a mortgage be taken, or is it better to weather the financial storm in the current living space?

Those who held their savings in dollars are particularly fortunate in the current situation. For example, if a year ago 100,000 dollars were equal to 3.6 million rubles, now it's already 6.4 million, which means that buyers have a unique opportunity to purchase a larger, higher-class apartment in a more prestigious area. But even here, not everything is straightforward: if an urgent purchase needs to be made, experts do not see any obstacles in converting dollar savings into a ruble purchase. However, if time still permits, specialists advise waiting at least until mid-September when the direction of the real estate market becomes more or less clear.

It is worth being patient for those who are considering selling an "extra" apartment on the secondary market. This segment has suffered the most in the crisis: prices for such properties have noticeably decreased, buyers hope for discounts of up to 20%, and demand is noticeably low, so sellers are better off temporarily "requalifying" as landlords. As for potential mortgage borrowers who want to make an initial down payment by selling the apartment they already own, they need to carefully weigh all the pros and cons.