Real Estate: Buying a Rental Apartment – What Landlords Actually Earn
Many Germans dream of securing their retirement with a rented property. But how much return is really in it? The Handelsblatt has recalculated.
Many Germans fear having insufficient pensions in old age and are seeking alternative ways to secure their income. Some consider investing in rental properties, such as multi-family homes, but a recent survey by Haus & Grund found that many private landlords only break even or even make a loss. Experts warn that buying a property as an investment requires a different approach than buying a home, and that factors such as location and economic viability should be prioritized over personal taste.
Three example calculations for buying and renting out a multi-family home show that the return on investment can range from 6.25 percent to a loss, depending on factors such as the amount of equity and financing costs.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
