Hi Daniel,
I am fromGermany, I am lookign into buying in Bavaria too, but the banks would only give me a 50% mortgage because I am earning in the UK, are you a cash byuer or do you have connections with thhe banks??
Quote:
Originally Posted by investinvalue
My name is Daniel,
I am a private investor in Germany and despite the credit crunch, I do continue to invest in german property. Personnaly, I prefer Bavaria, Baden-Wuerttemberg as GDP/inhabitant is higher and unemployment lower than in East Germany.
With my buy to lets - LTV of about 80%- I end up paying off the principal and interest and after providing for management and maintenance cost, I am still left with a return on my investment.
I see this investment as my pension fund as I will end up with a mortgage free property in 20 years generating a huge return on my property.
Best way to see value in German market is that it is self financing and also cheap vs long term trend. FT did recently start a European real estate index. Sorry cannot post the link yet as I do not reach the 5 posts but it shows the real price of diverse properties in various countries. Look at germany, it stays roughly between 90 and 110. This is ideal as it follows inflation and is currently on the cheap side. For those looking for massive capital gains, Germany is not the place to invest. For those looking to build a pension fund, it is ideal.
Happy to send you the link later, if needed.
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