Ulaanbaatar Mongolia Real Estate
Mongolian Properties is proud to introduce our latest two-year guide to help you enjoy Ulaanbaatar and gain a better understanding of the real estate market in the capital of Mongolia. This guide serves as a tool to inform readers about the current and expected boom in the real estate market and the potential for future growth.
Vision 2050 is a Mongolian development model that combines a modern development ideology, which is pursued internationally, with the traditional values of the Mongolian people and their culture. The Constitution and other important laws establishing a free property system provide for inalienable rights to immovable property for foreign and Mongolian citizens. Land-use rights offer an alternative to property rights on open land, and by 2050 Mongolia will be the second largest exporter of land and the third largest producer of oil and gas.
Many foreigners have come to Mongolia with their property, which is fully managed by Mongolian Properties, and many of them own property in the country.
A knowledgeable and experienced estate agent should be able to find several solutions to your needs in a timely manner and negotiate the best price on your behalf. A real estate agent is a window into the real estate market in Mongolia and should have a deep knowledge of the local market.
The three countries have agreed to pursue trilateral cooperation in all areas, including real estate. Mongolia continues to accumulate wealth, and is protected by a trilateral agreement between Russia, Mongolia, and China that will bring oil and gas from Russia to China for further infrastructure development. China is super-friendly and extremely respectful of Mongolia and expects Mongolia to help build infrastructure, trade and investment. Anything else anyone else in the world wants, they will want, because China expects it to build infrastructure.
We have listed the most interesting cities for buying property in Mongolia and discussed some of the best hotels, restaurants, shopping malls and hotels in the capital Ulaanbaatar.
The Khan Uul District has some of the highest quality and most luxurious real estate, and average rental prices in the district have been declining since 2013, after peaking at US $7.2. The Zaisan Stadium is located on the outskirts of Ulaanbaatar, just a few kilometers from the city center. It generates an average annual income of about $1.5 million ($2.6 million) and an annual property value of about $3.8 million.
To be honest, it is still hard to say which property in Mongolia will yield the highest return. I think the Mongolian market for rented property - real estate services for middle-class foreigners looking for affordable services, security and moderate prices - is inadequate.
Mongolia also has an oversupply of office space, especially in light of the rapid decline in foreign direct investment. Given the lack of state-run real estate projects in the real estate sector, it is highly vulnerable in this regard.
At the national level, demographic trends, including increasing urbanization, a growing middle class, and a rapidly growing population, will boost real estate demand in the coming years. The housing market is improving, but it has not yet reached the heights seen at the start of the decade. Given the high level of investment in Mongolia and the rapid growth of foreign direct investment, many local players expect demand for most types of real estate to increase in the coming years. Therefore, investing in Mongolian real estate solely for speculative purposes may not be the best investment.
Because what happened to Mongolia in 2012 in the economy was the result of decisions that Mongolia made that angered foreign investors. Although Mongolia definitely wants to attract foreign investors, one wonders how Mongolia will treat it once it is there.
The land reclamation procedure in Mongolia was introduced so that investors could always consider real estate for speculation in the future. When the government realized that foreign businessmen were holding onto land that was not yet finished, it decided to take action.
Although Mongolia produces and exports thousands of barrels of oil a day, it is heavily dependent on imports of finished petrochemicals from Russia to meet domestic demand. Getting the stuff out of the ground and selling it to the Chinese is a huge advantage Mongolia has in this market. The proposed agreement allowed populist politicians to claim that Ivanhoe Turquoise Hill was trying to deceive the people of Mongolia and was selling a large Mongolian coal mine to China, with which Mongolia had a difficult relationship.
There are few cities that can compare, "says Munkhdul Badral, also known as Mogi and head of market research firm Cover Mongolia. Mongolia is behaving like a growing nouveau-rich country, with an entrepreneurial and political class demanding international standards for luxury accommodation.
If you are itching to buy this type of property in Mongolia, you can buy it at the same price as the people who own it today. If you buy one in Ulaanbaatar, you will receive a property certificate. Estate agents will check the certificate to make sure it is genuine and that the owner is credible. We have very few people who are behind real estate and using it, "says Munkhdul Badral, head of market research firm Cover Mongolia.