Your Condominium as Private Investment
Attractive Returns and the Perfect Pension Plan
Real estate as a capital investment is getting ever more interesting for private investors, not least because classic ways of saving up, be it through German government bonds, insurance policies or savings accounts, have become less than plausible. Given the historically low interest they yield, private investments of this sort have ceased to qualify as viable retirement schemes. If the inflation rate was to go up, they would actually lose rather than make money. If, however, you take condominiums as buy-to-let investment, the low level of interest rates actually works in your favour: bank loans are comparatively low-priced. If anything, condominiums have therefore become even more attractive as private investment, despite recent price hikes.
For many buy-to-let investors, a condominium represents a suitable investment because letting a condo is likely to yield high regular returns, unlike other types of investments.
Another attractive outlook for many who are considering buying residential property as private investment is the tax-exempt sale of the asset after ten years, which may be boosted by its possible appreciation. Finally, there is the aspect of having the use of a fully paid-off property in old age if you opt for homeownership early on in life, and this is true even if you decide to let your investment property initially. Owner-occupiers may in turn close the book on the steady rise in rent rates.
No matter how you intend to use your condominium, choosing the right property is always of the essence. It starts with location as possibly the key criterion for picking a condo. But to appraise a given location and a given property's quality, you should rely on an experienced partner.
Berlin as Attractive Market for Investment-Grade Condominiums
So you have become aware of the opportunities associated with real estate investments and decided to buy a condominium as private investment? If so, you should by all means consider Germany's first city, because Berlin counts among the most attractive housing markets in Germany. As a result of keen demand, the value of local real estate has soared over the past years, and the trend clearly continues to point upward. Moreover, purchase prices in Berlin remain on a low level compared to other German and European metropolises, and this despite the brisk price growth.
The reason why investors who opt for a private condominium investment in Berlin may count on a higher resale value – assuming an optimal selection for their commitment – is the high incoming migration to the city, among other reasons. Recent forecasts suggest that Berlin's population will grow by roughly 250,000 people to about 3.75 million by 2030. As a result, the demand for housing in Berlin will keep on growing steadily. The construction of new housing cannot seem to stay abreast of rising demand. This makes it reasonable to project continued stability on the letting market and a steady appreciation of your condominium in Berlin. Another thing worth noting is the growth trajectory of Berlin's economy: New jobs are being created while unemployment is on the way down and purchasing power going up. The city keeps gaining in popularity as the place to be for career starters, academics and families above all. All of these reasons speak in favour of buying property as private investment in Berlin.
Would you like to benefit from the high appreciation potential in Berlin, too? If so, browse through our condominium listings for Berlin. We have a wide variety of properties to sell in many locations throughout the city.
ACCENTRO will Coach You on Your Way to Homeownership in Berlin
If you are looking for an attractive investment in Berlin, ACCENTRO is arguably the right partner for you. We offer attractive real estate investments in established locations and will find just the right property for you in the city. ACCENTRO will support you end-to-end in any issue that may present itself on your way to becoming a home owner. Better yet, we will charge you no sales commission for this service. While getting full support from us, you may focus on the selection of a suitable investment asset in an extraordinary city. Do get in touch with us!