Maldives Luxury Properties For Investment

The Republic of Maldives, also known as Maldive Islands or simply Maldives, could easily be noted as the smallest country in Asia in terms of both land area and population. Land area is only 298 square kilometers. There are 26 atolls with about 1,192 islets; only 250 of which are currently inhabited. The population of just about 309,000 is among the smallest of any country in the world. You might be wondering why the Maldives investment property market is very much active and popular among international real estate investors.
Who would not want to spend vacations at Maldives? It is a paradise where life is basically stripped down to the simplest. There are bright blue skies, pristine seas, all-year sunshine, fresh ocean breeze, and fantastic snorkeling and diving lagoons. Despite being a Muslim nation, the island country is openly embracing all travelers from anywhere in the world, regardless of religion differences. Just like other resort countries, it is just logical that investment properties here are worthwhile and are costly.
In world records, the country is the lowest nation globally, in terms of geographic features. This is the reason why many environmentalists warn that Maldives could be among the main casualties of global warming, when ocean level is predicted to rise significantly. However, tourism remains the major industry. Every year, more than 600,000 tourists come all-year round. Of the 250 inhabited islands in Maldives, only 185 are designated for residents. The rest have been allotted for tourism and agricultural purposes.
As expected, Maldives is not a cheap destination. The country prefers it that way, obviously. This way, the country is maximizing revenues from tourism but is limiting the volume of foreign property buyers. Local currency is called rufiyaa, which is usually pegged directly to the US dollar. Thus, conversion rate between two currencies is not subject to change. It is not surprising that most accommodations and tourism expenses are billed in dollars. Most resorts and establishments accept international credit cards. ATMs and international money transfer firms are widely scattered to cater to numerous tourists.
If you are looking for discount properties at below market value, Maldives is definitely not the place for you. That is because most investment properties, as mentioned, are premium priced. This is logical due to the limited land area and the robust demand. Most property investments are in the form of vacation rentals, apartments and hotels. Demand for such accommodations is just so high in this country. The government has always been opening its doors to property investors who are willing to shoulder high investment costs, but are ready to easily gain investment yields.
Every year, more and more investors are looking at Maldives investment property opportunities. Many observers are surprised at how robust the demand is. It seems that even the recent calamities that affected the island nation (like the 2004 Indian Ocean quake and tsunami) are not enough to deter property investments from coming in. The island nation has always been promising in terms of its property investment market.