As a Group with a global vision, the RM GROUP is currently operating in Israel, the US and Zanzibar, while constantly searching for unique real estate opportunities in other countries. This is in keeping with the business model of the Group and its principles. We see great importance in continuing to develop the Group creating new investment avenues for our clients, as well as investing in real estate entrepreneurships, an integral part of our natural development.
We don't forget our beginnings and the investors with whom we started our journey. Today, although most of our operations are conducted overseas, we have local operations with a professional and skilled team that continues to create opportunities for clients who are interested in finding investments in Israel, as well as supporting existing clients who have already invested in rental properties in Israel.
Why invest in the US?
In trying to get a return on our money after years of hard work and accumulating savings, we turn to various avenues. The most conservative and popular investment channel for investors in Israel has been and still is real estate. Due to rising prices in Israel in recent years, very low returns on financial assets, savings plans and pensions as well as erosion and instability in the capital market, the alternative remains real estate in overseas markets offering low entry levels and high yield potential, ensuring stable passive income throughout the year and additional profit from their sale at the end of the investment period.
Ran Harel: "Our generation doesn't think about its financial future but lives for the "here and now". If a 30-year-old prefers to fly with friends for skiing in winter and to Greece in summer, and that's where all his savings go - he's in trouble. People don't know where they want to be in five years".
US investment viability
The US real estate market continues to maintain its attractiveness and create business opportunities for many investors for several reasons. Firstly, we are already a decade after the recession of 2008, and despite the impressive recovery in the US market and the considerable economic improvement that has taken place, the American real estate market has not yet returned to its peak on the eve of the crisis. Secondly, the low entry threshold required is only several tens of thousands of dollars, while in Israel you need equity of almost half a million NIS. In addition, we can see that several economic indicators show that the US economy is undergoing a growth process that includes a rise in GDP and the lowest unemployment rate in the last 50 years.
In recent years Zanzibar has long become a favorite tourist destination for tourists from around the world and for Israelis in particular. The island has not yet evolved in terms of tourism infrastructure and this is exactly where we see an extraordinary opportunity for real estate entrepreneurs and investors. The island has had an average annual increase of 28% in inbound tourism since 2013 creating a shortage of vacant hotel rooms, so the government is encouraging foreign investments and has established the ZIPA organization that accompanies foreign investors on the island.