Investment Property in Semarang

Investment Real Estate in Semarang

Investment Property in Semarang
Investment Property in Semarang

Semarang 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 Semarang.

Search Map of Semarang Investment Real Estate

Semarang (Javanese: ꦏꦸꦛꦯꦼꦩꦫꦁ, Pegon: سماراڠ) is the capital and largest city of Central Java province in Indonesia. It was a major port during the Dutch colonial era, and is still an important regional center and port today. The city has been named as the cleanest tourist destination in Southeast Asia by the ASEAN Clean Tourist City Standard (ACTCS) for 2020–2022.

It has an area of 373.78 km (144.32 sq mi) and is located at 6°58′S 110°25′E / 6.967°S 110.417°E / -6.967; 110.417. The population of the city was 1,555,984 at the 2010 census and 1,653,524 at the 2020 census, making it Indonesia’s ninth most populous city after Jakarta, Surabaya, Bekasi, Bandung, Medan, Depok, Tangerang and Palembang. The built-up urban area had 3,183,516 inhabitants at the 2010 census spread over two cities and 26 districts. The Semarang metropolitan area (a.k.a. Kedungsepur) has a population of over 6 million in 2020 (see Greater Semarang section). The population of the city is predominantly Javanese with significant Chinese presence.

Get Our Latest List of Investment Property in Semarang

The financial stability of Semarang 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 Semarang

 

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

 

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

 

  • Set goals based on how much rental yield will be required and the local rental yield rates in Semarang and be prepared to change your initial outlook.
  • Thoroughly research the Semarang location with a special emphasis on fringe areas outside the main Semarang metropolis that may be valued lower than their better-known neighbours. Rental yields of around 5% are still attainable in certain areas of Semarang.
  • Ensure that your target investment property in Semarang 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 Semarang

Flipping property in Semarang

 

Flipping property is when we advise clients to buy a Semarang 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 Semarang market has a time to react to the renovation.

 

The Flipping Strategy in Semarang

 

Investment property flipping in Semarang 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 Semarang real estate investments are sometimes referred to by professionals as ‘distressed’ Semarang real estate.

 

What is distressed Semarang property:

 

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

 

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

 

Calculate profit that you make from Semarang investment property flipping:

 

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

Semarang 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 Semarang use a minimum profit value of 22% when looking at potential Semarang projects. The reason for this is because there are lots that can go wrong in Semarang 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 Semarang 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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