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Real
Estate in Russia - Forget Moscow
Real Estate
in Russia - Forget Moscow
Forget
Moscow. Russia is warm, beautiful and inexpensive. Let me explain.
The city of Stavropol is on the same latitude as Montreal, and has weather
to match, heat in the low to mid-thirties Celsius in the summer, and usually
no less than -10 in the winter. It has about 350,000 residents, who live
in a wide variety of homes amongst trees, avenues, parks and playgrounds.
Many of them
also own a second home, more about this later. House prices range from
£600 to £60000 or more, although the higher figure would certainly
buy you something quite special. Maintenance and running costs are minimal.
The market for property, as for everything, is buoyant and foreigners don’t
face restrictions. House prices have risen by about 50% in two years, and
there is an enormous range and volume of houses for sale.
Stavropol
- Founded in 1777, the “City of the Cross” originally consisted of
a long avenue along a steep ridge. The avenue now has the train station
at one end and the modern city centre at the other, and the city fans out
in three distinct areas. The northern and southern estates are separated
by two enormous forest parks, and the city itself lies in about a 2-mile
radius around a more European landscaped park.
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Parks
aside, the local area has plenty of hot and cold natural springs and spa
hotels. In fact the towns that are a few hours to the southeast are Russia’s
holiday region and cater primarily to the spa and health market. They are
beautiful, quiet, and include Europe’s largest city park. To the southwest
is
the beach and Crimea.
There is also
a ski resort, extreme sports, a few cinemas, concert halls, museums and
theatres and as much countryside as anyone could possibly want. It isn’t
the cultural equal of a first-world metropolis, but it is the state capital
and gets plenty of big Russian stars, as well as probably a better variety
of films than the average British provincial city.
The transport
links are adequate and you can easily fly almost anywhere, including to
the beach in Sochi (Russia’s number 1) and direct to Madrid in the summer.
Flights
to Moscow are once daily from each of the four nearby airports, and
take two hours. Georgia and Azerbaijan are only a few hours away by road,
although you need visas.
The local population
is of varied origins. There are European Russians of course but also minority
groups of Turkic Caucasus nationalities from both within and outside of
the Russian Federation.
The
local population is of varied origins. There are European Russians
of course but also minority groups of Turkic Caucasus nationalities from
both within and outside of the Russian Federation. You will find
Ukrainians and other former Soviets, Far Eastern Russians, ethnic Koreans
and ethnic Greeks (who gave the city its name).
There are no
ghettoes, and neither is the population geographically as divided by age
or occupation as, for example, London or Madrid and their chic or shabby
barrios. The local cuisine is influenced by the ethnic mix, and defies
the perception that the nation survives on cabbage and potatoes.
You will not
struggle to find a healthy mix of meat, rice, pasta and all manner of fruit
and vegetables. I have never seen as many food shops as I have here,
but that’s almost irrelevant as the majority of what you eat will be local
produce bought in the market or from a keen gardener at the side of the
road.
Most properties
for sale here are flats in the classic Soviet blocks. Don’t let this put
you off, because they vary enormously. They are known as “brick houses”,
and usually have one to three rooms plus a kitchen, toilet and bathroom.
The floor is often parquet throughout.
There is also
usually a balcony, and the decrepit appearance of many buildings is largely
due to the balcony. Whereas we often regard the balcony as a proud luxury,
for
Russians it serves as the ultimate in double-glazing to protect against
the winter, and as a conservatory, laundry drying-room or general storeroom.
The rooms are
not specific in their use. They are usually all about 12 – 18 m2 in area
and serve as living rooms until everyone becomes tired then the same room
is used as a bedroom. Heating is via hot water radiators, which are switched
on by official decree in the fall and off again in the spring.
Air
conditioning is manual, ie. by opening the window (or just the door to
the balcony), which I find quite refreshing.
The domestic
hot and cold water are either metered or allocated by share of the
total floor area of the building, all via the government, and won’t set
you back much. The total bill for a family flat is about £15 a month,
including electricity and gas.
It is true
that the water is turned off for a few weeks in the summer for maintenance,
but unless there is an emergency you will be notified in advance. They
tend to switch it off during working hours and back on again at night,
anyway.
If you are
viewing flats, start by asking about the age of the building. Anything
over 15 years old is considered old, although quite frankly that venerable
age rarely presents problems. In my experience age is pretty irrelevant,
as
almost nothing dates back to earlier than 1950, but people will suck
their teeth and purse their lips if you buy anything second-hand. Decide
if you care.
When
you get to the flat, look at the yard. Contrary to the TV image of windswept
estates, many blocks are built around leafy yards with a small playground
for children, laundry lines and the rubbish bins. Ask - how often is the
rubbish collected? It should be collected every day.
Is the yard
clean? There should be a resident janitor who keeps it spick and span.
Finally, if you have children look to see if there are kids running around.
This
is a very social culture, so after school on sunny days there should
be loads of children out playing, and old folks nattering away and selling
garden produce. The further you get from the city centre the more likely
the residents are to be alcoholics and drug addicts, so keep an eye out
for men lying on the ground.
The entrance
hall is the responsibility of the residents. The door ideally will have
a “domofone”, otherwise known as a buzzer that is likely to veer more towards
security than beauty. However, good signs are if the hall is clean, well-lit,
recently-painted and as in one case I saw recently, had well-tended ivy
decorating the doorway. Basically, are they looking after themselves and
each other, or do they just not care? Tradition here dictates that they
care, so if they don’t, don’t buy the flat.
Which floor
is the flat on? The first floor always sells at a discount, because
it is of course the least secure and may have nasty smells from the basement.
Equally, the top may have problems with the roof, which will almost certainly
be of metal.
On the other
hand, on the ground floor you won’t have to take the lift, which often
exists but is rarely pleasant, and on the top you won’t have to worry about
the neighbours forgetting to turn off the taps before going away for the
weekend. I don’t think that any of this is unique to Russia, but remember
to ask how often the roof it renewed and check whether there are bars on
the ground floor windows.
The advantages
of a flat are the ease of upkeep, the fact that you will certainly know
your neighbours, and the often magnificent view. Furthermore, a good block
may well have a basement where each house is allocated a separate room.
The prices: here a one-room flat is about £14000, two-room £20000
and three £26000.
Houses -
Whether
or not to buy a house is not necessarily a question of location, but of
lifestyle. The standard house is known as a “1-floor house”, and could
be in the city centre or the suburbs. They stand behind tall walls on leafy
streets, and generally have four or so rooms on a single floor, with a
basement below and an attic above. They are warm in winter and cold in
summer, but the real advantage is the garden. There is usually at least
100m2 of land, which is yours to do with as you please. Keep chickens,
plant fruit trees, grow vegetables or even build a sauna or another house
these are all very common, and nobody will bother you.
Both detached
and semi detached houses exist, although detached is more common. You could
also live around a shared yard, off the street, even in the city centre.
There are also much larger, much more modern houses. The condition of older
houses varies, and be aware that outside toilets are not yet entirely history
here. Prices are about £17000 - £22000, but it’s eminently
possible that you will find an alcoholic on the downward slope who will
sell for a lot less.
Village
Life - One of the best things about Russia, at least for a Briton,
is the countryside. It is endless and timeless. The land is worked by collectives
or families rather than giant corporations, at harvest time everyone pitches
in to help.
The names of
the villages themselves often reflect the optimism of their founders, for
example “Safety”, “Charitable” and “City of Light”. At night there is virtually
no light. However, thanks to the Communists there are village halls, schools
and medical centres.
Village life
is hard. The Caucasus is a land of abundance, and it all needs to
be harvested. Fuel prices are rising, and not many people have capital
to invest in farm equipment. Houses usually don’t have inside toilets,
let alone broadband internet and in the winter it is seriously boring.
Usually, only a few members of any extended family live in the ancestral
village, with the rest in the city. Nevertheless, they do return at weekends
in the summer, as well in their thousands as for the traditional Easter
day of remembrance.
All this translates
into fantastically cheap property. A house with a smallholding, meaning
plenty of land, outbuildings, chicken runs etc, will set you back about
£600. There are plenty of empty houses, and the families know that
no-one is likely to move in soon. Adding to your land is simple for the
same reason. As for the comfort question, well... To connect a phone line
is £100, and there is gas, electricity and water. The people who
live in the village are skilled in terms of manual labour, and aren’t expensive
to hire. Prices for food, particularly meat, are high, so there
is no reason why you couldn’t set up a successful small farm, and live
in bucolic tranquillity, as long as you were able to leave before country
life sent you crazy. I am not a farmer, but the bottom line is that here
everything grows and everything is cheap..
Escape
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