DL THESSALONIKI
REAL ESTATE INVESTMENT
About the company
"Every wise investment in real estate begins with understanding the starting point.
Before I buy, I ask myself - how much can I sell the property for
And within what period of time I happen to have to do it"
The company is named after the owner Dor Livne who founded it at the end of 2018 and as of today its businesses are located in the city of Thessaloniki in northern Greece.
D.L. offers two types of investments, in each of which the company steps into the shoes of the investor and acts on his behalf or rather, for him throughout the project.
Route A - Long-term rental.
Route in "Flip transaction" - buying - renovation and immediate sale of the property.
Our understanding of the real estate market in Thessaloniki proves to be extremely profitable for our investors in both types of investments mentioned above.
Thessaloniki
Thessaloniki is an outstanding investment opportunity for several reasons:
Urban development and an emerging economy - Thessaloniki shows very optimistic signs of recovery in the last two years and this is also reflected in the change in the trend of apartment prices from negative to positive. Also, a new and modern airport opened in June 2020 20 minutes from the city center.
The subway is in advanced stages of work and the first line will open in early/mid 2023.
Universities and colleges that bring together about 150,000 students from Greece and the rest of Europe constitute a huge demand force for long-term rental apartments.
Several new hotels have opened throughout the city in the past year.
The big banks are in an encouraging recovery and are close to stability, the news here is that they will soon provide mortgages and loans to contractors/entrepreneurs to start construction.
Greece as a whole and Thessaloniki in particular has changed its trend regarding birth rates - in 2016 the birth rate was negative (-0.8%) and in 2019 an impressive trend reversal (+1.8%). This figure shows that the Greeks are more secure in their livelihood.
Private consumption is also on an upward trend for three consecutive years and so is GDP.
If we look a bit deeper into the real estate in the city, we can tell you that the Municipality of Thessaloniki gives gifts to investors, and the biggest of them is the possibility of dividing one property into several properties, and not only for the purpose of renting them, but also for the purpose of selling each apartment separately, that is, a separate registration in the records in a completely legal way. This option causes a remarkable upgrade to the value of the property if you act correctly in the division and according to the law.
We at D.L have learned to know the desires of the students who are 95% of our tenants and the apartments we create are adapted to their requirements, therefore, the average rental of an apartment with us from the moment of marketing is 10 days and it does not matter what time of year.
All our work is done transparently with the investor - neat reports (renovation reports, expenses, furniture details, schedules, photos, etc.) access through an application to the Greek bank account, and more...
Property management - the rented properties are managed by us on an ongoing basis. Our team includes a housekeeper, an electrician, a plumber and our employee who is in contact with the tenants for any need.
About The Investment
Minimum investment amount is about €60,000.
The investment amount includes the entire cost of the project.
The fee we charge is 15% of intermediate costs and includes project management from A to Z, from locating the property to signing the lease.
The fee includes the first year of property management and from the second year, if the investor wishes to continue the contract, he will pay 8% of the rent for property management.
How is the project conducted and managed?
As we mentioned at the beginning, we actually step into the investors shoes in order to carry out all of the projects operations by providing a power of attorney to be signed by the investor.
A power of attorney lists all the actions in detail and will be clearly explained to the investor.
Returns we know aim to bring:
Our current average as of December 2022 in the 70 apartments we manage is about 8.5% gross which is 7.5% net net.
The difference between gross and net is the income tax on rent paid in Greece only.
It is important to note that there is no tax at all on the flip transactions because there is currently no appreciation tax in Greece.
The tax treaty between Israel and Greece:
Regarding investments in real estate, the current treaty is very beneficial to investors because it exempts the investor from paying tax in his country of origin. Meaning - the tax is paid only in Greece if it is a rental transaction and is not paid at all if it is a sale transaction.
