From monetary value to material value
Property investment as a real and crisis-proof asset!
The function of an investor apartment is easily explained. The investor purchases an apartment in which he does not live himself, but which is used for asset building in the form of an additional source of income. The procedure is as follows: after the investor has decided on an apartment and purchases it with the desired financing option, we take care of finding a tenant for the apartment. Due to the fact that our projects are in very favorable locations and have a functional planning, the tenant search usually takes place very quickly. The future rental income is used to pay off the monthly installment. The remainder represents non-working additional income and thus serves to build up assets. Living space is rare, especially in large cities such as Vienna, so there is usually always an increase in the value of the property. In the long run, the investor benefits from a constant increase in value and additional growth of his invested assets, independent of inflation.
But these are not the only advantages that speak for an investment in the basic need "housing". The buyer of an investor apartment benefits from various tax advantages. This begins already with the purchase of the apartment, because as an investor the apartment is purchased tax-privileged at the net price. The investment in an investor apartment thus offers the investor various legal and tax structuring options. We will be happy to advise you on the subject of investor apartments and in general on the exciting investment opportunities in "real estate gold".
We take care of your investment!
With us you get everything from one hand! After you have decided on an investor apartment of Realto Immobilien, our in-house finance department will assist you in offering a financing solution tailored to your needs. Once the new apartment is purchased, we will take over the search for a suitable tenant. In our projects we put a lot of emphasis on the location, on a functional planning and on a high quality equipment. Therefore, as a result, a very fast and good rentability is usually possible. You as an investor benefit from a very low vacancy risk and constant rental income.
We create affordable housing for everyone!
"My apartment, your plot" - the building lease model
Available building land is becoming increasingly rare, especially in large cities, and thus increasingly unaffordable, particularly for young families with fewer resources of their own. The option of purchasing a house or apartment under land lease is therefore becoming more and more attractive.
But what does it actually mean when an apartment is purchased under a land lease?
This means, you are a tenant of the property and have a building right or right of use on it. But you are the owner of the apartment, which is located on the land. So the ownership of the land and the ownership of the building are separated. The land lease and the apartment are registered in the land register (in the C sheet). The biggest advantage of this is that the land does not have to be purchased and therefore no expensive land share is paid. This makes the property much cheaper and more affordable especially for young families who want to fulfill their dream of owning their own home.
The land owner (the building lease provider) is usually a trustworthy public institution that is not allowed or willing to sell the land, but still wants to generate rental income. In Austria, these are mostly foundations or church institutions. The building lease owner receives a so-called building lease interest over the term of the contract. This interest is fixed in the building lease contract and remains unchanged over the term of the contract. The duration of the land lease in Austria usually varies between 50 and 100 years. It should be noted that with a shorter term of 50 to 60 years, the accumulated building lease interest usually exceeds the actual value of the land. In the case of a longer term, as is common in our projects over 100 years, the payments will not exceed the value of the land. As a rule, the building lease contract may not be terminated before the end of the term, unless the leaseholder is at least 2 years in arrears with the payment of the building lease charge.
The building lease model for investors:
Investors also benefit from numerous advantages through the building lease model. If an investor purchases an apartment under a land lease, the entire investment can be written off against tax. A part of the real estate transfer tax, that is, the real estate transfer tax for the land costs, is also omitted. The building lease interest is passed on to the tenant (e.g. in the form of operating costs). Due to the lower purchase price and various tax advantages, investors can expect a higher ROI over the term of the lease. Thus, the building lease model is often a more attractive investment option for investors.