A cheap price per square metre is a starting point, not a verdict. Total cost, resale liquidity, quality, legal status, location and currency decide the real value.
Price per square metre is the first number buyers compare, and it is easy to see why: it is simple, it is published for every country and it makes a flat in one market look instantly cheaper than a flat in another. But a number that is easy to compare is not necessarily a number that measures value.
The myth
The myth says that the market, city or building with the lowest price per m2 offers the best deal, so a buyer should simply go where the figure is smallest. It is believed because lists of average prices are widely published and because "cheap" feels like a margin of safety: if I pay little, I can lose little. Our own property prices per square metre by country is such a list, and it comes with a warning for exactly this reason.
What is actually true
An average price per m2 describes a market, not the flat you are looking at. Several things separate a cheap number from a good purchase:
- Total cost. Taxes, notary and registration fees, agent commission, legal costs and furnishing can add a notable share to the price, and the share differs strongly between countries; see total cost of ownership abroad and the lowest and highest buying costs by country. After purchase there are annual taxes, building charges, insurance and repairs.
- Liquidity. A low price often reflects few buyers. If you cannot resell in a reasonable time without a discount, the flat is cheap for a reason, and the exit costs belong in the calculation.
- Quality and location. Construction quality, the state of the building, noise, access, and the distance to services and work explain much of the price gap inside one city.
- Legal status. Unregistered extensions, missing occupancy certificates, debts, unclear land rights or a restricted use can make a flat unmortgageable and hard to resell.
- Area definition. Gross, net and "sellable" area are counted differently from country to country and from developer to developer, so a price per m2 is only comparable if the area is measured the same way.
- Currency. A cheap price in a local currency that falls, or in a currency in which you have no income, can turn into an expensive one in your own currency; the reverse is also possible.
- Hidden costs. Service charges, special assessments, utilities connection, and for new builds the unfinished common areas are often absent from the headline price.
Where the myth comes from or is partly right
Price per m2 is a legitimate filter. It does show where entry tickets are low, and it is useful for a first shortlist or for a rough comparison of two similar flats in one building. A genuinely low price can reflect an underpriced market, a motivated seller or a good moment to buy. The error is in treating it as a conclusion instead of a prompt for questions: why is it low, who will buy it from me, and what is not included?
Remember also that the lowest-priced markets are usually the ones with the least liquidity and the least transparent data, which means your assumptions will be the least reliable exactly where the numbers look best.
Country examples
Dubai: prices are often quoted per square foot, and for new projects the quoted figure covers the unit while service charges, payment-plan terms and the developer's delivery record decide the outcome. Off-plan buyers should check the escrow arrangement and registration with the regulator; see Dubai off-plan investment risks.
Bulgaria and Montenegro: low entry prices in resort areas coexist with markets where resale can take longer and where the legal status of a building needs checking (occupancy permits and registration). Reported by local lawyers and press; confirm with a local lawyer for the specific building.
Turkey: coastal and city prices differ widely, and the foreign buyer pays attention to the title deed (tapu), the valuation report required for foreign purchases and the exchange-rate path; confirm the current rules with a local lawyer.
Thailand: a foreigner can generally own a condominium unit only within the foreign quota of a building and cannot freely own land, so a cheap villa price can hide a leasehold or company structure; see our Thailand ownership guides.
Spain and Portugal: the price per m2 differs enormously between a coastal resort, a capital and an inland town, and taxes and fees add a country-specific layer, which is why a headline m2 figure alone is not a purchase decision. See the Spain and Portugal price and cost guides.
How to act safely
- Compare total cost of purchase, not price per m2: add taxes, fees, furnishing and first-year costs for each country.
- Ask how the area is measured and compare like with like (net or gross).
- Estimate how long resale would take and on what discount, using real listings and sold prices, not asking prices only.
- Have an independent local lawyer check title, permits, encumbrances and the building's legal status before any deposit.
- Compare in your own currency and decide in advance how a 10 percent change in the exchange rate would affect you.
- Ask for service charges, upcoming works and the building's accounts.
- Be sceptical of any price far below the area's norm: ask who the seller is and why.
FAQ
Is the cheapest country always the best to buy in? No. A low price per m2 can reflect lower liquidity, weaker legal certainty or higher costs on top; compare total cost and exit options.
Should I ignore price per m2? No, use it as a first filter and then move to a full calculation.
Why do my calculations differ from the listed price per m2? Probably because of area definition, taxes, fees and furnishing, or because the listing is an asking price rather than a sale price.
Does a low price per m2 mean a risky purchase? Not necessarily, but it is a reason to check legal status and resale demand more carefully.
How do I check that a price is realistic? Compare several similar sold properties and ask an independent local lawyer or valuer; do not rely on the seller's agent alone.
How we help
We are a trilingual platform (Russian, Polish, English) that finds properties abroad and coordinates independent local lawyers and tax advisers. We can help you compare total costs between countries and arrange independent checks of title and permits. This text is informational and is not legal, tax or investment advice; verify current rules and figures in the country concerned. See also the series hub: remote buying: myths and facts.