Investment in Real Estate in Moldova was popular for a number of years. Due to high rate of growth in property market and attractive rental potentials, many small investors prefer to invest their savings into apartments in the capital of the country - relatively liquid asset with the capacity of bringing continuous revenue.
As the trust to banking system was blown away with a number of bankruptcies of some financial institutions, and large scale fraudulent schemes during and after the collapse of the USSR, real estate became the niche for personal investment.
During 2001-2008 apartment prices in the capital went up 7-10 times. At the same time average rental potential changes 3-5 times.
Moscow properties are among the most expensive, and the average rental potential is estimated at 5.18% per year in 2007. In most of Eastern European countries, rental yields do not go over 6.5%, according to Property Secrets.
Chisinau, with much lesser prices still provide an average of 7-12% per year rental potential, added by a moderate (10-15%) price growth per year.