What to Buy: An Apartment in Moscow or a House in Serbia? A 2025 Real Estate Price Comparison

Methodology: Comparing Apples to Apples

To ensure an objective comparison of real estate prices in Russia and Serbia, it's crucial to compare cities of similar status and size. We won't compare a metropolis to a village; instead, we'll analyze three pairs: the capitals, the second-largest cities, and major regional centers.

• Capitals: Moscow vs. Belgrade.
• Second-tier cities: Saint Petersburg vs. Novi Sad.
• Regions: Major Russian cities vs. Subotica.

Another important nuance is the area calculation. In Serbia, unlike in Russia, the total area of an apartment often includes terraces and balconies, which can artificially lower the price per square meter. We will take this factor into account for a correct comparison.

The Battle of Prices Per Square Meter: Moscow vs. Belgrade

Let's get to the main point—the numbers. The gap in the cost per square meter between Russian and Serbian cities is enormous, and it does not favor Russia. Even considering all the nuances, real estate in Serbia appears significantly more affordable.

Housing prices in new comfort-class buildings and on the secondary market in good condition show a dramatic difference. Let's look at the average prices per square meter in euros.

As seen from the table, even in the capital city of Belgrade, the price 'per square' is comparable to prices in Russian regions, not Moscow. This opens up completely different investment opportunities.

Affordability Index: How Long Do You Have to Work for a Square Meter?

High prices in themselves are not a problem if the population's income allows them to be covered. However, the housing affordability index—the ratio of the average salary to the cost of a square meter—looks depressing in Russia. In Moscow, one needs to save for several months for a single 'square,' while in Belgrade, this figure is significantly lower.

The situation is complicated by mortgage lending conditions. Despite the existence of subsidized mortgage programs in the RF, they have many restrictions and may soon be phased out. The market rate, however, makes buying a home unaffordable for many.

Comparison of mortgage conditions:

For non-residents in Serbia, a mortgage is quite realistic, although it requires a significant down payment. An annual rate of 6-7% in euros looks much more attractive than the Russian 18%.

Case Study: Selling a Studio in Moscow, Buying... a House with a Garden

Let's consider a practical example. What can you buy if you sell a standard one-room apartment within the MKAD (Moscow Ring Road)? The average cost of such a property is about 10-12 million rubles, which is equivalent to approximately 100,000-120,000 euros.

In Moscow, for this money, you can only expect a similar apartment or a modest 'dvushka' (two-room apartment) on the outskirts. And what about in Serbia?

• A full-fledged house with a garden. In the suburbs of Belgrade, Novi Sad, or in Subotica, this amount can buy a house of 100-150 m² with a plot of land.
• Two apartments for rent. In smaller cities, such as Niš or Kragujevac, this budget is enough to buy two small apartments that can be rented out, generating passive income in euros.

For many, such a scenario becomes the deciding factor. Instead of living in a concrete box, you get your own house or a stable rental business.

Maintenance Costs: Utilities and Taxes

The purchase is just the beginning. It's also important to consider the annual costs of maintaining the property. Here, the comparison again favors Serbia, albeit with some reservations.

Utility payments in Serbia are generally comparable to or slightly higher than in Russia, especially concerning electricity. However, the property tax is structured differently. It depends on the location zone, age, and condition of the property.

• Utilities: In Serbia, central heating can be more expensive, but many homes have autonomous systems, allowing for cost control.
• Property Tax: In Russia, it's calculated based on the cadastral value. In Serbia, there's a progressive scale, but for standard housing, the tax is usually not high.
• Rental Income Tax: In both countries, it's around 13-15%, but in Serbia, it's easier to legalize a rental business.

On average, the annual maintenance of a house in Serbia is cheaper than that of a similarly priced apartment in Moscow, especially considering the tax burden.

Summary: Where Is It More Profitable to Park Your Capital?

So what to choose: a familiar apartment in Moscow or a house in Serbia? From the perspective of pure numbers and investment attractiveness, Serbia currently looks like the clear favorite. It's an opportunity to diversify assets, exit the ruble zone, and achieve a higher quality of life for the same money.

• Lower cost per square meter compared to the RF.
• Opportunity to obtain a residence permit with a property purchase.
• A stable market with growth potential amid EU integration.
• Passive income in euros from rentals.

Of course, such a decision has its risks, related to adapting to a new country and the specifics of local legislation. However, in the current geopolitical situation, where Russian assets are under pressure, 'parking' capital in a friendly European country looks like a balanced and far-sighted strategy.