Investment Property in Tanjungpinang

Investment Real Estate in Tanjungpinang

Investment Property in Tanjungpinang
Investment Property in Tanjungpinang

Tanjungpinang 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 Tanjungpinang.

Search Map of Tanjungpinang Investment Real Estate

Tanjungpinang, also written as Tanjung Pinang, is the capital city of the Indonesian province of Riau Islands. It covers a land area of 144.56 km, mainly on the southern Bintan Island, as well as other smaller islands such as Dompak Island and Penyengat Island. With a population of 227,663 at the 2020 Census, it is the second largest city of the province, after Batam. Tanjungpinang is a historic city of the Malay culture, having served as the capital of both Johor Sultanate and Riau-Lingga Sultanate.

Tanjungpinang – whose name is taken from the position of a beach tree that juts into the sea – occupies a strategic location on the south of Bintan Island, guarding the mouth of the Bintan River. Tanjungpinang has ferry and speedboat connections to Batam, Singapore (40 km away), and Johor Bahru. The city is also served by Raja Haji Fisabilillah International Airport, located about 7 km east of the city center.

Over the centuries, Tanjungpinang came under the control of Sumatra, Malacca, the Netherlands, Britain, and Japan. These contacts each influenced its culture, also being a centre of Malay culture and trade traffic. In the 18th century, it was a capital of the Johor–Riau–Lingga Empire.

Get Our Latest List of Investment Property in Tanjungpinang

The financial stability of Tanjungpinang 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 Tanjungpinang

 

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

 

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

 

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

Flipping property in Tanjungpinang

 

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

 

The Flipping Strategy in Tanjungpinang

 

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

 

What is distressed Tanjungpinang property:

 

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

 

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

 

Calculate profit that you make from Tanjungpinang investment property flipping:

 

Final Selling Price less Cost of Purchase less Costs = Profit

Here is an example:

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