Telephone Numbers
Telephone Numbers
Real Estate in Albania - Owning Property in Albania
For detailed information +90 542 381 3868 'Call.
The Albanian economy has gone through different stages in recent years as it transitions from a centralized economy to a market economy. The construction sectors and the housing market have made a major contribution to economic growth during this period.
While the real estate market, along with property prices, showed significant growth in the 2000-2007 period, it entered a period of stagnation after 2008.
Real estate agents confirm that interest in buying property in Tirana's suburbs has recently increased due to more affordable prices. The cost of an apartment in the capital's suburbs ranges from 35,000 to 80,000 Euros. The Albanian government adopted new residential reference prices for Tirana's 32 cadastral zones at the beginning of 2017.
If you are interested in a seaside apartment, you can buy one in Saranda for 750 Euros per square meter. Saranda is an example of the boom in the construction sector. Albanian second-home buyers first started buying property in the Golem area in Durres. Meanwhile, the entire coast is attracting more buyers, both Albanian and foreign.
With 476 km of coastline from the Adriatic to the Ionian seas and more than 310 days of sunshine per year, Albania is attracting foreign real estate buyers. Currently, they are considered the main participants driving the housing market. Most of the buyers are from the Balkan and Southeast European regions, and especially from landlocked countries. Meanwhile, Albanians from the diaspora are also investing in the housing market in coastal areas. The location of the property is one of the most important factors determining its price. Buyers with a limited budget mostly look for real estate in Durres or Shengjin, while others look for more expensive options in Southern Albania.
In recent years, an increasing number of foreign retirees have started living in cities like Durres, Saranda, or Vlore. They say the cost of living in Albania is much lower than in their home countries. An example of this is Roberto Mazzuca, a successful young Italian real estate agent who offers property solutions to Italian citizens interested in renting a property in Albania. The Albanian coastline is a cheaper alternative for real estate investors and people looking for a property by the sea. However, luxury properties are also available in Lalzit Bay or are under construction in Palasa, Dhermi. The good news for foreigners buying an apartment or villa in Albania is that there are no restrictions on acquiring property.
If you are looking for a country where you can maximize your real estate investments, Albania is a great option. It has a good geographical location, a long coastline on the Adriatic and Ionian Seas, and is a short flight away from major European capitals. All this and much more make it a good option for investing in real estate in suburban areas, old towns, historic centers, and rural areas.
Today, residential real estate in Albania is cheaper than it will be in the coming years. In short, the best time to invest in real estate in Albania, whether an apartment, villa, or land, is now. Before buying a property in Albania as a foreigner, there are some things you need to know about the real estate market in general and the Land of the Eagles.
Except for a few coastal towns and villages located mainly on the southern Riviera, the Albanian real estate market is geared towards Albanian citizens and Albanians living in other countries. Meanwhile, the capital, Tirana, still doesn't see an appetite for housing from foreigners. Even foreign citizens looking for commercial property prefer to rent rather than buy.
The good thing about the real estate market in places like Saranda, Vlora, Gjirokastra, Qeparo, Borsh, Himara, Vuno, and other coastal villages is that it is not as expensive as real estate on the other side of the Ionian or Adriatic seas. Compared to Italy, where only wealthy foreign buyers can afford a property in a highly sought-after area like Cinque Terre or Lake Como, Albania offers excellent properties at a fraction of the price in other Mediterranean countries.
In big cities like Tirana, Durres, Elbasan, Shkodra, Gjirokastra, and Korca, the categories of people showing the highest interest in real estate are students and foreign citizens working in Albania. The majority of Albanian citizens are homeowners. Recently, real estate agents have noticed an increasing trend in second-home buyers. They invest in property and rent it out. There are different ways to make money from a real estate investment, for example, for profit, renting, or Airbnb.
While in other countries the taxation system can be a scarecrow for buyers, in Albania, the problem is part of the real estate sector. The foreign investment law provides investors with special protection in real estate disputes. Albania still finds it difficult to figure out who the real owner of a particular property is, due to various reforms and even illegal activities. On the other hand, the legal system is still weak and not the most efficient when it comes to protecting the rights of an Albanian or foreign citizen.
However, the Justice Reform, also known as the vetting process, is expected to cleanse the system of corrupting elements and reorganize the entire sector, but that's another story.
If you are planning to invest in real estate in Albania, target university cities or tourist destinations. In either case, you can put your property on Air BNB for the time of the year you are not using it. These areas and economic centers attract long-term tenants.
From the capital, Tirana, to every corner of the country, it is possible to find charming and historic buildings. Old houses in traditional architecture can be found at affordable prices when a lot of reconstruction work is needed. On the other hand, they can be very expensive, especially in the Mangalem Quarter in Berat, a UNESCO World Heritage Site, and in the historic Gjirokastra region. Other cities to consider are Kruja, Shkodra, Durres, Korca, Theth, the northern regions of Kelmend, and the coastal villages of Valbona, Permet, Konispol on the southern Riviera. Old houses are less efficient than new houses, which is an element that can lower their prices.
Rural properties are great options and can also include citrus groves, olive groves, and even vineyards. The Albanian authorities recently launched the 100 Villages initiative. If you are looking for the countryside, there are top options to consider.
Coastal properties. If it's by the sea, it's located in a popular tourist area. The city of Durres is one of the areas with the cheapest coastal properties. This is the Albanian version of Florida, as many Italian seniors choose Durres when they retire. They love the warm weather, cheap prices, and friendly people. Saranda, in the south, is the city that attracts the most foreign buyers. This trend is influenced by the high number of visitors and tourists and competitive prices compared to the countries in the region.
According to Monitor Magazine, the Durres coastline is divided into three areas. Lalzit Bay is the most expensive area, where prices per square meter range from 900 to 1,100 Euros.
The second area is from Plepa to Golem, where there is a growing supply of properties. The cheapest houses can be found in the buildings behind the railway, where the average price per square meter is 300 Euros. Meanwhile, the prices of houses located near the coast range from 700 to 750 Euros.
The third area is the Golem – Qerret beach, where apartment prices range from 800 to 850 Euros.
On the southern coastline and especially on the Riviera, housing is much more expensive than in other parts of the country. Radhima and Orikum offer cheaper housing opportunities compared to the coastal villages further south. According to offers listed in Radhima, the average cost of an apartment is 700 Euros per square meter. Meanwhile, in Orikum, prices range from 450 to 500 Euros depending on the distance to the beach.
Prices start to rise on the Riviera, where in Dhermi the average price per square meter is 1,200 Euros, and the supply is limited while costs are rising.
According to large real estate agencies, and especially those focusing on coastal areas, the city of Saranda is the most attractive market for foreign buyers. They come to the city in the summer and come back in the autumn to buy a house. Saranda remains the first choice for buyers from northern European and Scandinavian countries due to its proximity to Corfu Island airport. The average price per square meter in Saranda is 900 Euros.
Saranda is closer to Greece. It shares two land border-crossing points at Kakavija and Qafe Bota and is connected to Corfu Island by regular ferries. Most visitors come from Corfu via the airport. Yacht owners can moor their boats in the city's port. Saranda is notable for its numerous beaches as well as its cultural and historical heritage. Butrint, a UNESCO World Heritage Site and Albania's most visited tourist attraction, is 18 km from Saranda, and there are many places to discover in the southern region. The prices of small apartments in Saranda and other coastal villages in the south range from 30,000-40,000 Euros.
Old villas for sale can be found in almost every village on the Ionian Coast. They are located in small villages on the mountain slopes. Qeparo is a very attractive market for international home buyers. However, Konispol, in the southernmost part of Albania, will soon become a destination for home buyers. Old buildings, including gardens and orchards, are sold starting from 140,000 Euros. They need restoration but are worth the investment. Konispol is a few minutes from the Greek border and three hours from Corfu International Airport.
The list of the best coastal areas where you can buy property includes Orikum, Radhima, Spille, Qerret, Golem, Lalzit Bay, Rodoni Kape, Shengjin, and Velipoja. Prices start from 300 Euros in Durres and go up to 1,000 Euros in Saranda.
Buying a house is one of the most challenging decisions for everyone in Albania. It is an important long-term investment. Providing better living conditions and possible profits in the future. The housing market is subject to various housing and social state policies that influence people's decisions to buy a house. The market is also closely linked to the banking sector and its lending activity. According to the Bank of Albania (BoA), most real estate investments are made through loans, so changes in the interest rate can affect the entire construction sector. Changes in real estate prices play a key role in the decisions taken by central banks all over the world, and this was confirmed by the global crisis of 2007-2008. However, unless you have a financial background, it is difficult to understand how these two sectors are interconnected.
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