Berlin is the place to invest in properties since prices are far lower than those prevailing in other cities of Germany or Europe for that matter. For buyers it seems like a simple operation involving nothing more complicated than buying one of the Berlin apartments for sale and then reselling it at a profit. If you care to understand market dynamics in Berlin and then make a considered investment decision based on sound investment strategy developed for you by a Berlin real estate agency, you could multiply returns and gain more than you expect.
Given the current escalating demand for Berlin apartments, the focus is on investment in the middle and high price brackets if you are to expect returns. Properties in the price bracket of 3000 to 6500 Euros per meter have appreciated four times in value whereas property valued between 2500 and 3000 Euros have doubled in price while the lower end has reduced. Rents in posh neighborhoods have increased much more than rent in lower and middle segments. When rental agreements come up for renewals, tenants are likely to shift since rents will escalate. At the same time there has been a shift in the way property is priced. Vintage property fetched high prices and still due but new buildings are now in the limelight, attracting higher prices in comparison to older properties. While peripheral areas were long in the shadow, now they are in the limelight when it comes to property price appreciation. Neukoelln and Wedding are the emerging districts while Mitte, Charlottenburg and Prenzlauer Berg still continue to maintain the lead. New constructions are much in favor not only because of better pricing but also because they are more manageable, well organized and are energy efficient. These are the dynamics relating to actual property. Then investors have to consider taxation and local Berlin laws as well as funding as part of their overall investment strategy in Berlin apartments for sale.
Given these, investment strategy for buyers of property involves some fine calculus that also factors in knowledge about human tendencies, global politics and economy and business in the EU as also in Berlin that influence property in one way or the other. Each investor has a different perspective and this also integrates into the calculations a Berlin real estate agency expert will carry out to optimize a well defined strategy aligned with specific objectives. Further, there is due diligence involved in property investments. A realtor could start from the other end such as expected returns as the starting point of an investment strategy. The amount you wish to invest upfront, the locations you choose and leveraging equity can each be a strategic investment hub around which your property transactions revolve. It is tantalizing to think of each but confusing when it comes to making a considered choice; a decision you will not regret. This is where your expert Berlin realtor helps and integrates all variables into a cohesive, cogent and targeted investment strategy.