Tashkent emerges as a global leader in real estate profitability, according to recent findings by the Institute of Macroeconomics and Regional Studies. The study focused on analyzing the rental housing market across various districts of Tashkent, comparing its performance with that of leading global markets.
The research aimed to assess the income generated from real estate investments, considering both changes in housing prices and rental income and comparing it with investment returns from stocks and bonds. The results, unveiled in August 2023, revealed significant growth in housing prices in several districts of Tashkent.
Yunusabad, Mirzo-Ulugbek, and Mirabad districts experienced the highest annual increase in housing prices, with growth rates of 37.1%, 35.7%, and 33.7%, respectively. Conversely, Almazar and Sergeliy districts recorded the lowest price appreciation, increasing 24.4% and 27.8%, respectively.
Among Tashkent's different types of apartments, three-bedroom units witnessed the most substantial price appreciation in Yunusabad, Chilanzar, and Yashnabad districts. Mirabad and Yakkasaray districts also saw significant increases in the prices of three-bedroom apartments.
The study also evaluated rental yields by calculating the ratio of monthly rent to the overall cost of housing. Mirzo-Ulugbek, Chilanzar, and Mirabad emerged as the top-performing districts in rental yield, with rates of 12%, 10.6%, and 10.4% respectively. Uchtepinsky and Sergeli ranked lower in the rental yield category, with rates of 8.2% and 8.5%, respectively.
Furthermore, the research highlighted that specific categories of apartments in different districts offered higher profitability for property owners. Three-bedroom apartments in the Mirzo-Ulugbek district proved the most lucrative, with a rental yield of 14.9%. Four-bedroom apartments offered the greatest profitability in Chilanzar, Mirabad, Yakkasaray, Yunusabad, and Sergeli districts. Meanwhile, Shayhantakhursky and Almazarsky districts stood out as the most favorable locations for two-bedroom apartments.
Regarding one-bedroom apartments, Yashnabad district boasted the fastest return on investment, with a rental yield of 12%. Additionally, five other districts surpassed the 10% profitability threshold for one-bedroom apartments. Among five-bedroom apartments, the Mirzo-Ulugbek district emerged as the leader with a rental yield of 11.4%, while the Uchtepinskoye district recorded the highest rate of 9.1%.
The average rental yield for housing in Tashkent in September reached 10%. This figure is comparable to South Africa's rental yield of 9.9%, which secured the country the second position globally in the Global Property Guide's rankings. Georgia secured the top spot on the global list, boasting a rental yield of 12.4%. Other countries in the top five included Ireland and Puerto Rico (8.1%) and Latvia (7.8%).
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)