Anyone looking to invest in real estate to grow their capital is making a good decision. Given the current low interest rates and a volatile market, investing in real estate is one of the most secure homes for your money. Prices for residential and commercial real estate are continuously increasing, while securities and cash savings are yielding next to nothing. So if you are looking to grow your capital, real estate as your investment vehicle is a natural choice. No other form of investment is currently offering investors similarly high returns.
When purchasing or financing real estate as a capital asset, the buyer needs to be clear as to which kinds of buy-to-let real estate are suitable to invest in, and what yield strategy is the right one. Structurally weak regions or an out-of-favour location pay off in the short term via a higher yield, but remain lasting and attractive over the longer term. Superior-quality real estate in aspirational and sought-after cities such as Berlin and other large citys like Munich are initially expensive and only bring in a modest yield, but over the long term they are nevertheless very attractive.