Real estate is considered to be a profitable investment. However, in order to limit the risks, it is very important to control different parameters, this in order to help you identify the best financial investments to make your capital profitable. But which ones? And how to control them?
How to control the parameters?
If you have no knowledge of the sector, don’t throw yourself headlong into it. You need asset expertise. So don’t hesitate to call on the Althos patrimoine wealth management advisor for tailor-made support. In general, he works with external parties and can therefore advise you on a few good addresses to simplify and secure the procedure.
Note: Having a team of professionals around you is a real plus, as they are well versed in market trends!
What are the parameters to consider?
For a successful real estate investment, you must take into account the following elements:
the type of rental: do you want a residential or professional property, a bare or furnished rental?
taxation and liability: taxation differs according to the type of rental
price: it is essential to buy a good at the right time, i.e. when the price is the lowest on the market, because a purchase cost that is too high can reduce margins.
the profitability: indeed, you have to think about finding a property that will provide you with immediate profitability to maximise profits
location: for a property intended for rental use, you must choose a location that could be of interest to the targets: students, seniors, etc.
the inventory of fixtures: always visit properties before buying. It is strongly advised to only acquire properties that require a minimum of maintenance. It would therefore be better to pay more!
Note: Don’t trust your instincts when buying a property! Instead, seek professional advice.
Why invest in real estate?
Real estate investment is attracting more and more people. Indeed, it is a good way to build up a lasting heritage. And yes, you can then bequeath your property to your family or your heirs. In the same way, it is also a lucrative solution to prepare for retirement and to round off its ends at least. The rent collected can be set aside and the owner can enjoy it at the appropriate time. In addition, the tax exemption laws are also very advantageous, allowing you to benefit from a tax reduction or exemption for several years. Finally, the value of real estate continues to grow every year. Thus, in 5 or 10 years, the price per square metre may be doubled or even tripled in your region. You will therefore be able to make a capital gain later.