The German real estate market is considered as one of the safest havens for foreign investments in the European Union. With the country’s long term political and economic stability, the real estate industry showed remarkable momentum, eventually emerging as a greatly sought after land for property investments. Besides, the German real estate industry also enjoyed low purchase prices and attractive interest rates, making this European country a global hotspot for buying and reselling properties.
The German real estate has been showing a steady rise in residential property prices, leading to strong market growth. In a nation where the housing property prices has historically remained stable, this growth spike has also helped increase the demand for off-plan properties.
The country also enjoys a federal structure that ensures that not one city maintains a monopoly over the real estate industry. While the popularity of land slightly decreases in the rural regions, the cities and suburbs attract a definite inflow of investors.
Buying Off-plan Real Estate In Germany
Most people are misinformed about off-plan real estate investments. Although it is generally believed to be a complicated process, buying off-plan real estate is, in fact, a very smart investment opportunity. The only requirement to buy off-plan real estate in Germany is to have the right knowledge and guidance. So, here are 6 things you need to remember while investing:
- Have A Clear Goal
Are you looking to buy real estate in Germany as a long term investment or to live in the property? If it is an investment, are you specific about your rental yields? Or would you rather focus on long-term capital growth? Talk to your advisory team and understand the benefits of the investment before moving forward with the idea.
- Selecting A Development Project
Your selection of location and development project must align with your investment goal. For instance, at SRG, our real estate project is a residential complex with multiple apartments, which can be your future home in Germany if you choose to. Make a calculated decision here, including your long term plans in the country.
- Paying Your Initial Deposit
Like in the case of any business deal, your initial deposit will ensure that the apartment is off the market and goes towards your purchase of the property. Our solicitor and advisory team will take care of the contract and ensure that everything is documented according to the country’s laws. The complete legal processing will take 3 to 4 weeks.
- The Waiting Period
The off-plan project will take some time to get completed. Your developer will keep you updated on its construction phase and other details, ensuring that you stay in the loop regarding its development.
- Mortgage And Financial Obligations
Before completion of the project, you will be obliged to make the full deposit depending upon the developer. Check with the advisory team on the details of your mortgage application form or other financial requirements to meet the payment.
- Project Completion And Beyond
On the completion of the development project, the developer will communicate the details for collecting the keys. If you have applied for a mortgage it is necessary to let your company know of the property’s completion.
Buying off-plan property in Germany is now made easy with SRG. Connect with our advisory team to learn more about our projects.