Why you should buy a property now

We live in turbulent times. After Corona, we were hit by the news of the war in Ukraine. Uncertainty and fear have been our faithful companions for years. At the moment, high inflation is causing people problems. Property prices are also at an all-time high. And the European Central Bank is no longer being kind to house builders either: Interest rates have risen noticeably. This begs the question: Is concrete gold actually still worthwhile today?

A property provides emotional security

Who hasn't heard the old saying: property is your responsibility. Anyone who has associated this with all kinds of unpleasant work in the past, such as sweeping streets, cleaning gutters or mowing lawns, should sharpen their focus: Of course a tenant is freer than an owner. You are not responsible. Not for sweeping the streets and not for mowing the lawn. But you are dependent and to a certain extent a plaything of the owner. A notice of termination of personal use can flutter into your letterbox at any time and you feel homeless. This cannot happen with real estate ownership. Here you are always your own boss and can do as you please.

Real estate as a worthwhile investment

Let's assume a 100 square meter apartment costs 950 euros and you are 35 years old. Then you have a life expectancy of approx. 70-85 years. In the remaining 35-50 years, you would pay 950 x 12 x 35/50 = 399,000/570,000 euros in rent. The price per square meter for a house is currently 2,736 euros. So you would get 100 square meters for 273,600 euros. With 4 % interest and a loan installment of 1,200 euros/month, your house will be unencumbered in 30 years. You would then have paid a total of 429,673 euros. As no rent increase was taken into account in the calculation, you can be sure that this step is definitely worthwhile: if you had paid rent all these years, the money would be gone, but you would not be able to proudly call yourself a property owner. You would have built up assets without having to dig much deeper into your pockets each month.

A home for life

Putting down roots is not a bad thing. Ownership binds you. Neighbors are also a constant. You get to know and appreciate each other over the years. You can rely on each other, help each other and know each other's life stories. These are things that make people likeable, despite all their differences. Especially today, this stable network is worth its weight in gold.

For a greener future

As a property owner, you automatically act sustainably. The reason is simple: it's about your own wallet. By taking care of your property, you turn a house into a home. By putting your heart and soul into tinkering and working, progress finds its way into your own four walls. Last but not least, add lovingly selected furniture and the work of art is complete.

Do you have questions about buying real estate or do you need support with loans? Get in touch with us! We will be happy to help you.

Notes:

For reasons of better readability, the generic masculine is used in this text. Female and other gender identities are explicitly included where this is necessary for the statement.

Legal notice: This article does not constitute tax or legal advice in individual cases. Please consult a lawyer and/or tax advisor to clarify the facts of your specific individual case.

Photo: © sayfutdinov/despositphotos.com