A decade ago, most international investors would have scratched their heads at the suggestion that Albania is Europe’s next luxury real estate investment destination.
But as of 2025, Albania’s luxury real estate market is officially on the map. A tourism boom and massive foreign capital investments in this tiny country are quickly turning it into a Mediterranean luxury real estate investment hotspot, with a tourism surge of 80% in 2024 driving real estate prices across the country up.
As investors are always on the lookout for high-end real estate to bring in high ROI, Albania is attracting plenty of international interest: from Jared and Ivanka Trump to Dubai-based Emaar group, Albania’s coastline is quickly becoming synonymous with upscale real estate investment.
Folie Village, the country’s premier luxury real estate development, is leading the way with turnkey villas that face the iconic Bay of Jalë, offering five-star amenities at nearby Folie Marine, the country’s flagship luxury hotel.
This level of exclusivity, paired with the region’s untapped potential, makes Albania, and especially the properties available at Folie Village, is the Mediterranean’s best-kept secret for high-end real estate in 2025. Here’s why.
The Rise of Luxury Villas in the Mediterranean: Why Albania Stands Out
Luxury villas in the Mediterranean have been seeing steady demand, driven by tourism, remote work trends and investors seeking high return on investment.
Whereas villas in France, Spain and Italy are already priced with a high premium, luxury villas in Albania are affordable and still offer plenty of room for growth. With the Albanian Riviera heating up as a top tourist destination that sees millions of visitors a year, more and more luxury travelers are seeking units to match their upscale lifestyle in Albania, turning the pressure up on pricing in this market.
Folie Village’s beachfront villas are Albania’s top of the line Mediterranean luxury homes, with each offering sea views, infinity pools, private parking and modern amenities to fit the upscale traveler’s needs. Owning a villa here in a gated community next to one of Albania’s most sought-after beach destinations costs a fraction of the price in nearby Italy or Greece, and is set to offer investors gains of potentially 20-35% over the next five years.
Luxury Villas Albania: Affordable Elegance in Europe’s Hidden Gem
There’s no doubt that the luxury villas Albania offers are already competing with their European counterparts. Due to the country’s welcoming regulatory framework, owning real estate in Albania as a foreigner is easy. Taxes are low – there’s a 15% flat income tax on rentals – and foreigners are able to purchase properties with the same exact rights as locals.
Folie Village’s luxury villas feature modern designs that blend seamlessly with the natural beauty of the Albanian Riviera, offering a perfect balance of sophistication and serenity. Each villa is crafted with premium materials, featuring open-plan layouts, floor-to-ceiling windows and private terraces that maximize the breathtaking views of the Ionian Sea. The gated community ensures privacy and security, while providing access to exclusive amenities such as concierge services, private beach access and proximity to Folie Marine’s world-class dining and wellness facilities.
Compared to its Mediterranean neighbors like Greece, Italy and Croatia, Albania offers unparalleled affordability without compromising on quality or beauty. The cost of acquiring a luxury villa in Albania, particularly in prime locations like Folie Village, is significantly lower – often 50-70% less – than similar properties in nearby countries, where high demand has driven prices to premium levels.
And beyond property prices, Albania’s overall cost of living, from dining to maintenance, remains remarkably low, making it an attractive destination for investors and homeowners seeking value-driven luxury. This affordability, paired with Albania’s stunning coastline and rapidly developing infrastructure, positions it as a compelling alternative for those looking to own a slice of Mediterranean paradise at a fraction of the cost.
Luxury Real Estate Albania: High ROI in a Booming Market
Albania’s booming luxury real estate market is estimated to grow at a 15-20% annual rate in Vlora and Saranda counties due to the high demand from tourists, digital nomads and diaspora Albanians seeking beautiful locales and a slower pace of life by the sea in a new and undiscovered destination.
With vacation rentals in Albania booming at an annual rate of 6.81%, it’s easy to see why so many are flocking to buy properties by the sea here. Luxury villas, due to the country’s scarce supply and high demand from well-to-do travelers discovering Albania for the first time, are fetching especially high premiums per night, with units at Folie Village expected to fetch between €500-€750 a night.
Folie Village offers hassle-free rental management services that will take care of the daily chores associated with holiday rentals for you. Our staff are on-hand to ensure your property is impeccably maintained and your guests experience five-star service from check-in to check-out. From professional cleaning and linen changes to concierge services and personalized local recommendations, every detail is handled with care.
Those seeking a luxurious lifestyle in the Mediterranean or to purchase a high ROI unit along the shores of an up and coming destination need to look no further than Albania, and to Folie Village in particular for high-end villas that will be available starting 2026. Get in touch with our team today to learn more about the units still available and how to secure your place in this exclusive beachfront community before they sell out.
