best investment property, consider Germany
Currently, Germany has become the most attractive country for investment in real estate due to the stable growth rates and economic recovery, as well as the decline in real estate prices. German market has a great variety of types of real estate. Luxury Villa, detached, and ordinary houses, apartments, student housing and objects of commercial property.
In which area it is worth to buy real estate?
The area of the southern part of Germany (Bavaria, Baden-Wurttemberg, Õåññåí and Saar) - one of the most industrially developed. Here a lot of industrial enterprises, many of the higher and secondary special educational institutions. The famous resort of Baden-Baden and Garmisch - Partenkirchen is located in the area of the country. But real estate in the southern areas are quite expensive and is held in the price ranges from 1180 to 3650 Euro per square meter.
Areas of Western and Central Germany, Hesse, North Rhine, the Rhineland, the Saarland) famous as a tourist facilities and resorts: bad-EMC, Bertrich and Íîéåíàð. It is in these lands registered the biggest financial centers in the country («Deutsche Bank», «Commerce Bank»), the largest àâòîïðîäàâöû. Prices for apartments in these lands are kept in the high price range from 1200 to 2000 Euro per square meter and practically have not changed for a long period of time.
Areas of Northern Germany include the land of Lower Saxony and Schleswig-Holstein. In this area include the largest sea port of Hamburg, the historic Bremen and its attractions, is the largest of the agricultural center of the country, the world famous sailing centre.
The area of the Eastern part of Germany (Saxony, Brandenburg, Mecklenburg, Saxony - Anhalt, Thuringia) - very promising from the point of view of investments into the real estate. This area has a less expensive and affordable prices for housing. The most profitable investments in Thuringia and Saxony-Anhalt, in the two lands prices still low, and demand greatly increased. The least stable North East Germany - Mecklenburg. Also a great deal of stability from investments in real estate (renting) gives the country's capital - Berlin. This area is not so far from the Baltic sea, there are many natural reserves, national parks. Prices for apartments in the Eastern lands are kept in the price range from 900 to 1,500 euros per square meter.
The prices for the real estate purchase and the lease rates in different areas directly dependent on the type and location of the housing. According to statistics rental income in Germany is from five to ten per cent.
Commercial real estate also has a great demand. As the investment in this property has a relatively small payback period, a steady income from the leasing of commercial real estate is five per cent and above.
Commercial real estate has advantages in the form of an opportunity of the conclusion of the contract of rent for the long term and the subsequent acquisition of the real estate in the property upon its completion. That also gives greater economic benefits for the investor.
Germany as well as other countries gives an opportunity to obtain credits for purchasing real estate. Conditions of obtaining the loan include the following: initial fee varies from 40% to 60% (the fee depends on the type of property), the obligatory provision of the loan, the presence of other income in Europe. The rate of the loan is up to four per cent per annum.
In the end it turns out, that Germany is the most economically promising option for investments in real estate. Germany is one of the most stable and reliable places in the world, guaranteeing high returns from real estate objects and the absence of insurance of risk of loss of investments, as on the protection of the rights of the owner is the whole legal system of Germany. All real estate transactions are closely monitored by the state and carried out only by state notaries.
