Revealed: The Best European Countries for Property Investment in 2024
In recent years, the European property market has become a complex terrain that is influenced by a variety of factors. From affordability to taxation, property prices to value for money, it can be a confusing area for potential investors to develop their understanding in.
At Daniel James Group, we are a team of property specialists and have listed the most desirable countries for property investors in 2024.
Top 5 Desirable European Countries for Property Investment
Presently, the United Kingdom is listed as the 7th best country in Europe for property investment yields, boasting a rental yield of over 6% and narrowly missing the top five margin. In 2024, we can see the top five European countries have stood out as the following:
Portugal
Portugal currently stands as one of the most desirable locations for property investment. This is largely thanks to their Golden Visa program, ever-growing tourism and appealing tax regimes to non-habitual residents. We can see the main growth hotspots in larger cities such as Lisbon, Porta and the Algarve.
Portugal is known to offer a high quality of life, and there is an increasing demand for short-term rental properties. They also hold a stable real estate market. Their rental yields are strong, particularly in areas known for popular tourism such as Lisbon. Here, rental yields have reached up to 7%.
Spain
Spain has continued to showcase itself as a top destination for worldwide real estate investors. With its pleasant climate, booming tourism trade and developing property market, it is an area with growing potential.
The main areas of growth are found in the highly populated areas of Costa del Sol, Valencia, Madrid and Barcelona. Their rental yields are typically between 4%-6% in the major cities and popular coastal regions.
Germany
Germany boasts a property market that is among the most stable in Europe. It has been driven by a strong economy and consistent urban growth. Their main areas of growth are seen in the major cities, such as Munich, Frankfurt, Berlin and Hamburg. A key benefit is Germany’s low vacancy rate across the real estate market, which makes it a great choice for long-term rental investments.
We are seeing a consistently high demand for residential properties, especially in the populated urban areas and bigger cities. Germany’s rental yields are lower than those seen in southern Europe, but still remain promising at around 3%-4%, with a market that has demonstrated strong capital appreciation.
Greece
Greece has seen a surge in their real estate market since the COVID pandemic, which has largely been driven by growing levels of tourism and foreign investment. Their main areas of growth are in the populated areas of Athens, Crete, Mykonos and Santorini.
With a promising rental yield of 5%-8%, Greece also offers the Golden Visa program, which draws in a large amount of non-EU investors.
France
France has consistently remained one of the most popular countries for property investment. The main areas of growth are in Paris, Marseille, Lyon and the French Riviera – all of which tend to attract tourism.
France offers a fantastic level of legal protection for investors, and with diverse property types and a good yield of 3%-5% in major cities, it is favoured among investors.
Get in Touch
If you have any questions regarding property investment, don’t hesitate to contact Daniel James Group for expert advice from a member of our team.