Investment Property in Dongguan

Investment Real Estate in Dongguan

Dongguan property investment can be a worthwhile venture if you are selective with the areas you choose to invest in. If not, you could find that your investment suffers due to low rental yields, dwindling demand, and slow property price growth in many parts of Dongguan.

Search Map of Dongguan Investment Real Estate

Dongguan (; Chinese: 东莞市) is a prefecture-level city in central Guangdong Province, China. An important industrial city in the Pearl River Delta, Dongguan borders the provincial capital of Guangzhou to the north, Huizhou to the northeast, Shenzhen to the south, and the Pearl River to the west. It is part of the Pearl River Delta built-up (or metro) area with more than 65.57 million inhabitants as of the 2020 census spread over nine municipalities across an area of 19,870 square kilometres (7,670 sq mi).

Dongguan’s city administration is considered especially progressive in seeking foreign direct investment.^[who?] Dongguan ranks behind only Shenzhen, Shanghai and Suzhou in exports among Chinese cities, with $65.54 billion in shipments. It is also home to one of the world’s largest shopping malls, the New South China Mall, which is seeing increased activity. Although the city is geographically and thus culturally Cantonese in the Weitou form and as well as culturally Hakka in the prefectures of Fenggang and Qingxi, the majority of the modern-day population speaks Mandarin due to the large influx of economic migrants from other parts of China. The city is home to several universities, including Guangdong University of Science and Technology, Guangdong Medical University and Dongguan University of Technology.

Get Our Latest List of Investment Property in Dongguan

The financial stability of Dongguan has translated into a real estate market that rewards forward planning and a willingness to look beyond areas of traditional affluence.

Buy to Rent in Dongguan

Renting out your Dongguan buy-to-rent investment property can grow wealth and income.

Whatever your goals with investment property in Dongguanare – preparation is key:

Set goals based on how much rental yield will be required and the local rental yield rates in Dongguan and be prepared to change your initial outlook.
Thoroughly research the Dongguan location with a special emphasis on fringe areas outside the main Dongguan metropolis that may be valued lower than their better-known neighbours. Rental yields of around 5% are still attainable in certain areas of Dongguan.
Ensure that your target investment property in Dongguan appeals to professionals. This is a demographic that ensures maximum income and low voids.
Finding and vetting suitable tenants is a job ideally left to the professionals. Working with an established letting agent with local knowledge and experience of property legislation will give you the best chance of success.

Flipping Investment Property in Dongguan

Flipping property in Dongguan

Flipping property is when we advise clients to buy a Dongguan property below market value, renovate it and then make a profit by selling it at a higher price, all within a few months, and often before the Dongguan market has a time to react to the renovation.

The Flipping Strategy in Dongguan

Investment property flipping in Dongguan is a simple strategy. You find a property that is in need of renovation from our list and purchase it for a low price. These type of Dongguan real estate investments are sometimes referred to by professionals as ‘distressed’ Dongguan real estate.

What is distressed Dongguan property:

Dongguan property in need of renovation
Dongguan real estate with a change of puropose and use
Oversold Dongguan property
Bank repossessions in Dongguan

Put simply, long term investors in Dongguan purchase the property, renovate it and make it a lot more attractive to potential buyers.

Calculate profit that you make from Dongguan investment property flipping:

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

Dongguan property purchase price: $220,000

Renovation costs: $20,000

Other costs: $25,000

Property sale price: $400,000

Profit: $135,000

Experienced property developers in Dongguan use a minimum profit value of 22% when looking at potential Dongguan projects. The reason for this is because there are lots that can go wrong in Dongguan property flipping and working on a potential margin of 22% should still leave a good margin of error.

Property Secured Investments is a Private Equity fund that invests in Dongguan and many other towns and cities across Europe. The fund is only available to Sophisticated Investors and closed to United States Citizens. While this is not an offer or promotion of the fund, more information can be found at the website

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