Become an investor: Recognize & exploit potential
Investing in real estate is still worthwhile. But not every offer suits your own future plans. As a prospective property buyer and investor, we'll tell you what you should look out for to ensure that your investment pays off - and what hidden opportunities are often waiting for you!
Real estate as a popular investment
Alongside traditional investments in savings accounts and shares, real estate is one of the most popular capital investments. They are intended to pay off in the long term, bring in money through rentals, for example, or serve as a secure residence for old age. They are also considered one of the few relatively inflation-proof investment options. The value is likely to be maintained or possibly even increased through regular refurbishment measures.
Suitable properties for capital investors
Which property is suitable for investment? As a rule of thumb, the location and condition are decisive.
As an investor, first take a close look at the macro and micro location. Macro factors are, for example, the number of inhabitants and unemployment in the region, while micro factors focus on the immediate surroundings of the property. You should check whether the infrastructure scores points and whether there are value-enhancing aspects such as a quiet location in the countryside. Ask yourself which target group could move in and what requirements exist (and are fulfilled by the property).
The condition of the property is also an important decision criterion when it comes to capital investment. For example, many investors focus specifically on new buildings, as they do not have to worry about renovation costs at first. However, old buildings can also have hidden potential: Renovation measures are often tax-deductible and the charm of historic buildings is captivating. In addition, existing properties are usually less expensive and also give investors with a small budget a chance.
Targeted advice from Victor Investment GmbH
We at Victor Investment are happy to be your partner in the field of investment real estate. Experience has shown us which properties are in demand and are likely to generate high returns. You too can benefit from this background knowledge and join us in the search for the right investment, including suitable financing, in Berlin and the surrounding area. A discreet purchase is also possible, so that you can make a targeted investment in private. Contact us for a non-binding consultation or further information.
Frequently asked questions about capital investments
What are the advantages of investing in real estate as a capital investment?
Real estate investments offer long-term appreciation potential, stable rental income, inflation protection and diversify the portfolio, which can lead to a lower-risk overall investment. Furthermore, real estate investors benefit from tax depreciation, such as straight-line depreciation or the deduction for wear and tear, which can reduce their tax burden and improve returns.
What financing options are available when purchasing an investment?
In addition to equity, investors can use bank loans, building society savings contracts, crowdfunding or new construction financing to realize their real estate investments. An experienced financial advisor can not only provide you with individual advice, but also take your wishes and needs into account in order to find the best financing solution for you.
How can the return on investment properties be calculated?
The return on a property can be determined by calculating the gross rental yield (rental income in relation to the purchase price) or the net rental yield (rental income minus costs in relation to the investment value).
What long-term prospects do investment properties offer?
Despite short-term market fluctuations, demand for residential space remains high in the long term, especially in Berlin and other major German cities, which makes real estate an attractive stable and profitable long-term investment or retirement provision.
What risks are associated with investment properties?
The risks include vacancies, possible losses in value due to market fluctuations, loss of rent, trouble with rental nomads and maintenance costs, which can have a negative impact on returns.
What legal aspects need to be considered when letting investment properties?
Investors must take into account the applicable tenancy laws, contractual conditions and tenants' rights in order to rent out properties in a legally secure manner and avoid potential legal disputes. For ideal protection and risk minimization, we recommend working with experienced lawyers.