The increasing inflation has drawn many people's attention to safe investments such as investment properties. They provide a stable cash flow and contribute to permanently securing assets. However, in order to fully benefit from these advantages, there are a few things you need to keep in mind. What should be highlighted here is the location, the condition of the building structure and the equipment. In this article, BETTERHOMES CEO Cyrill Lanz explains what is important.
The location
When it comes to location, buyers should take a close look at a well-developed infrastructure, green spaces, shopping opportunities, schools, but also a sufficiently large number of jobs. Not only the current situation, but also the development potential should be taken into account. Ultimately, the demographic, economic, cultural and social situation can change in the long term. For example, if it is foreseeable that a large company will move to the location, this represents secure jobs and security.
Type and condition of the object
When it comes to investment properties, you basically have the choice between condominiums and apartment buildings. The prices for condominiums are often lower, but you can achieve greater income with apartment buildings. Isolated vacancies also have a less severe impact on cash flow.
Another important aspect is the object condition. In general, buildings in poor structural condition are cheaper. However, there are also higher costs for renovation. Common defects include moisture damage, cracks in the masonry and defective pipes. In order not to be surprised by unmanageable costs after the purchase, you should check the property thoroughly in advance with the help of a real estate expert.
The equipment
The value of a property and the amount of rental income that can be achieved depend largely on its furnishings. What is particularly important here are factors such as heat pumps, solar thermal energy and multiple glazing, which have a significant influence on energy consumption. But living comfort must also be taken into account. For example, it will be much more difficult to negotiate properties with inadequate impact sound insulation.
The logical layout of the property also plays a role in close connection with the furnishings. The rooms should have enough space to make the best possible use of them.
As you can see, there are a few things to consider when investing in investment properties. If you would like to evaluate a property without obligation, click on the button below to access the free online valuation. Our real estate agents will of course also be happy to support you with any technical questions you may have or with the placement of your apartments.
Would you like to find out how much your property is worth?
