Hello, first of all I would like to mention that I find it very interesting that you invest in so many different asset classes. I do the exact opposite, which is why I find it all the more interesting and would find it interesting to exchange ideas. But now to the garage: I'd first like to know where the garage is. A garage in the center of Berlin would be completely different from one in a village with 20 inhabitants in Brandenburg. Then there's the fact that the beauty of real estate is the use of borrowed capital, by which I don't mean 110% financing, which in my opinion is unsuitable for beginners in the real estate market, except in exceptional cases. Nevertheless, it usually makes sense to finance at least 70-90% of the purchase price, as this significantly improves the return on equity. But as far as I understand from the post, you want to finance the apartment completely yourself. And I can say quite clearly about the breakdown of the savings installment: it's better not to use money market ETFs or bonds. If you have a call money account with 3% interest or more, save the money in it and perhaps save the ETF as well.
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•@Justus41 I myself live in Hamburg and I would also like to buy one in Hamburg or the surrounding area (approx. +50 km). I actually wanted to cover 80-90% with equity, also to minimize any default risks or similar. In that case, I might even go for 100% and put my 13th salary into it rein🤷🏼♂️
I also consider overnight money to be relatively ok at the moment, but in the longer term I don't see any significant return, which is likely to be similar for money market funds. I find the bond part quite interesting and relatively low-risk. With the sum of 10K to 20K in total (at the end), I'm not hugely afraid of a bond default. If I do end up giving up, I can invest the money in my own home later, as I'm only 24 years old.
I also consider overnight money to be relatively ok at the moment, but in the longer term I don't see any significant return, which is likely to be similar for money market funds. I find the bond part quite interesting and relatively low-risk. With the sum of 10K to 20K in total (at the end), I'm not hugely afraid of a bond default. If I do end up giving up, I can invest the money in my own home later, as I'm only 24 years old.
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@Garfield204 Would you also consider buying a condominium as an investment? I recently bought my first apartment and only needed about 10% equity. So about €15,000 of €135,000 + ancillary purchase costs, i.e. a total of about €150,000. With an increase in the value of the property of around 2% per year and an average rent increase of 2% per year, I have a return on equity of around 10.4% per year. Without financing, it would be around 5.72%
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@Justus41 In theory, yes, but not for the time being, I wanted to gain experience with something manageable like the garage first. What's more, I'm still an apprentice after AI made my first plan and my bachelor's degree virtually worthless. After that, I would like to do a technician and possibly a technical business administrator. I don't want to have a financial burden in the form of a loan for the time being, especially as my son is due to be born in September (at a somewhat inopportune time). That's why it would be important for me to have as much equity cover as possible. However, if I were to reject the garage plan, I could definitely imagine putting it into a residential property.
However, I would still be very interested in your calculation and in particular how you went about it😁
However, I would still be very interested in your calculation and in particular how you went about it😁
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@Garfield204 I can send you the calculation table.
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@Garfield204 I copied the e-mail address and will send you the table today or in the next few days
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All right, thank you😊
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@Garfield204 I didn't get around to it before my vacation, but I'll keep it in mind
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@Justus41 All right, it's not so bad, I've been a bit distracted this week too😅
Because my little man was born😊
Because my little man was born😊
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@Garfield204 Congratulations, have a good time together!
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