Russia

The enormous price-rises over the past few years in Moscow mean that it now makes better sense, in Russia’s capital city, to rent than to buy - at least so far as concerns the high-end district central Moscow apartments which the Global Property Guide tracks.

Gross rental yields on central Moscow apartments are firmly in the 3% to 4% range, which is not very attractive to property investors (but attractive to renters, of course). This is the result of the boom in prices of the last few years.

Surprisingly, St Petersburg still has highly attractive gross rental yields on smaller apartments, with 60 square metre apartments averaging around 9.4%. We stress that these yields are gross, i.e., before vacancies, costs, or any other expenses, and that they are based on offered prices, not actually achieved prices. They also concern old or refurbished apartments, not new apartments.

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