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Real estate is one of the oldest ways to invest and generate income, and that isn’t changing any time soon. However, the real estate market has been a bit chaotic in the U.S. since the start of the pandemic, and it has Americans searching far and wide to find the best real estate markets — including what you might call second-tier and third-tier American markets.

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Another option, though, is to consider other countries for real estate investment. While there could be regulatory hurdles and complex tax scenarios to navigate, it might be worth considering other countries if the price is right.

For instance, some foreign countries may have rental yields much higher than the U.S., which has an average yield of 2.91% (though that varies by market). Read on for some of the best foreign countries for Americans to consider buying property, along with a few of the worst.

Calin Stan / Getty Images/iStockphoto

Calin Stan / Getty Images/iStockphoto

Best: Moldova

  • Rental yield: 10.0%

  • Rent: $365

Sandwiched between Ukraine and Romania in Eastern Europe, Moldova is an interesting case. It has some of the highest rental yields you will find anywhere, yet rents are very low. This may be explained in part by the collapse in housing values around the Great Recession in Moldova. While they aren’t falling like they once were, they aren’t really increasing, either.

Tony Moran /

Tony Moran /

Best: Egypt

  • Rental yield: 9.40%

  • Rent: $332

Egypt has a rental yield that is almost equally high, and its rent is even lower than Moldova’s. Unlike Moldova, though, housing prices increased 28.25% in Egypt before inflation; things there are blowing up. Prices declined in the last two quarters of 2021, however.

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Klaikong Vaidhyakarn /

Klaikong Vaidhyakarn /

Best: Jordan

  • Rental yield: 8.82%

  • Rent: $377

The typical rental yield is nearly 9% in Jordan, making it yet another great place for Americans to invest. Rents are under $400, so the country is still affordable. However, its real estate market has been struggling; it had declines across the board for all types of real estate in 2019.

TG23 / Getty Images/iStockphoto

TG23 / Getty Images/iStockphoto

Best: Ghana

  • Rental yield: 8.81%

  • Rent: $307

Rent in Ghana is among the lowest on this list, yet Ghana still maintains a high rental yield. That being said, its high-end housing market is struggling, although Ghana’s economy is being bolstered by much higher GDP forecasts for 2021 and 2022.

rusm /

rusm /

Best: Montenegro

  • Rental yield: 7.53%

  • Rent: $682

Montenegro sits across the Adriatic Sea from Italy and to the north of Albania. You may notice that Montenegro’s rent, while still relatively affordable, is much higher than the other rents mentioned so far. Still, it maintains a high yield, and its housing prices increased by more than 36% in 2021.

lvalin /

lvalin /

Best: Costa Rica

  • Rental yield: 7.48%

  • Rent: $556

Costa Rica has drawn a lot of attention in recent years due to its environmental stewardship, but it also happens to be an excellent place to invest. Rental yields are around 7.50%, and monthly rent is reasonable.

ESB Professional /

ESB Professional /

Worst: Israel

  • Rental yield: 2.68%

  • Rent: $1,441

The average rent for a 3-bedroom apartment outside the city center in Israel costs about $1,441. Despite this, Israel has lower yields than the U.S. on average. Housing prices are increasing there at a modest rate of 9.21% in 2021.

mihtiander / Getty Images/iStockphoto

mihtiander / Getty Images/iStockphoto

Worst: Argentina

  • Rental yield: 2.45%

  • Rent: $325

Argentina is a beautiful country, and rents there are quite affordable. However, you may want to steer clear if you are looking for places to buy investment properties. The average yield is under 2.5%, and property prices are on the decline.



Worst: India

  • Rental yield: 2.32%

  • Rent: $215

One thing to India’s credit is that rents are incredibly low there; a 3-bedroom apartment outside the city center is just $215 per month. But that doesn’t leave much room for rental yields, which are just above 2.3%. Plus, housing prices increased by just 1.1% in 2021.

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Rene Walter /

Rene Walter /

Worst: Austria

  • Rental yield: 2.25%

  • Rent: $1,197

Austria has beautiful architecture and rich history, but it isn’t quite so good for real estate investors. Rents in the city are only slightly less than what you might expect, and the rental yield is just 2.25%. Housing prices did increase by more than 10% in 2021, however.

ispyfriend /

ispyfriend /

Worst: China

  • Rental yield: 2.10%

  • Rent: $1,691

China is among the worst places to buy a rental property for American investors. The typical yield is just above 2%, and a 3-bedroom apartment is nearly $1,700 in Shanghai — even outside the city center. Home prices did increase by nearly 10% in 2021.

MrPhotoMania /

MrPhotoMania /

Worst: Turkey

  • Rental yield: 1.93%

  • Rent: $368

If you want a great place to buy a property as an American investor, you may want to look somewhere other than Turkey. The typical rent for a 3-bedroom apartment outside Istanbul’s city center is quite affordable, but the yield is well below anything you might call acceptable. There is one potential upside, though: housing prices increased by more than 35% in Turkey in 2021.

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This article originally appeared on The Best and Worst Countries for Americans To Buy Property