Germany

7 Replies

Does anyone have any experience investing in Germany? 

Thanks,

Richard

hi Richard 

Take a look at safebox-selfstorage.Gmbh thats what i do develop self storage in Germany 

as of this date we have three but looking to expand  as there is lots of room for growth out there .

Justin

I´m from Germany, so just ask what you want to know about the German RE market.

Hi Flo,

I'll be traveling trough Germany beginning tomorrow for two weeks and would love to hear from you about the German RE market. I may be moving to Berlin in about a year, or so, and would like to soften my REI landing as much as possible.

Here in Denton, TX I buy houses, rehab them and rent to students.

What areas do you recommend for investing? I know people investing in refugee housing and are doing very well. 

Thanks,

Salomon

Greetings Salomon,

I have been in Germany for over 10 years and recently began investing myself. Up until this point I have manged English Speaking properties in the Wiesbaden area, built new construction and rented myself. While refugee housing was certainly a booming market, I would not say it is due to expand a whole lot more in the near future. The political environment may not be prime for this type of thinking/investing. 

Germany's housing market, historically, has been very stable and increased at a very meager pace. However, more recently, as in the states, we are all waiting for the bubble to burst, [rock bottom] interest rates are driving the cost of homes up so high, money is cheap and everywhere and the only thing in which is slowing purchasing now, is the raising cost of transfer tax throughout the country. (perhaps more stringent loan requirements as well)

Germany is a country full of organized, frugal, buy and hold investors. It is certainly a sellers market and the deals a few and far between in large metro areas. Certainly in my area of interest the return are no where near the 2% rule everyone would like to achieve, but buy and hold strategy/equity, as we all know is always a wealth builder. 

Personally, I keep my eyes open for deals, but I think capital creation is really the key at the moment. Wait for prices to drop a bit and then when interest rates go back up and homes come on the market, buy them up...

What type of property are you thinking of investing in? Berlin is a very rapid growing city with more and more international investors coming. Good luck and hope for some success!

Hello Shane,

I see you own properties in Wiesbaden, are most of your tenants Military? I say that because I am Military living in Stuttgart. I am looking into buying the flat i currently live in, which is at 350,000 euro. However, I would like to do through a LLC, but it has been a challenge to get financing. Is there anyway to make this work?

Hello everyone,

I would love to connect with active investors living in Berlin! My plan is to buy my own personal residence (w. rooms for 1 student rental and 1 vacation home rental). My long term plan is to purchase multi-tenant apartments that would be rented by students/younger adults.

Nina

US expat living in Germany. 

The German real estate market makes no sence for anyone to invest in for neither ROI nor cash flow when compared to the US market.

Example. 

Apartment here in Nurnberg 4 bedroom would cost around 350-400 Thousan Euro, and would rent for 800-1000 Euro. 

A similar Priced property in San Diego ( not the best price to rent ratio) would rent for 2000-2500 USD. 

The asset appreciation over time would also not keep up with US markets. 

It would make more sense for a German who has Cash to buy property in the USA for cash flow.