Post by account_disabled on Jan 24, 2024 8:28:03 GMT
For all friends and buyers of real estate, as well as for all those who have not yet understood what 'real estate' means and how all over the world it has been the secret of wealth. "Ninety percent of all millionaires become millionaires through real estate ownership." -said Andrew Carnegie, entrepreneur of the 1900s. Let me start by telling you that I have been in the real estate sector for 26 years now, not only as a property consultant but also as an investor and head of Devinf Real Estate. What I have learned is that, even in the worst of times, increasing property value in a real estate market is the real answer to building sustainable financial well-being. In this article, I will explain the payments and interest rates, as well as the fluctuations of market values to make the title of this article as understandable as possible for you. Why you shouldn't leave your money in the bank? Although we are living in difficult times and we all complain, and rightly so, the miracle happens: Real estate is sold. New constructions are concrete proof of this statement.
In fact, they are sold already under construction. In addition to buyers who need a Job Function Email Database personal residence for themselves and their family, either as first-time buyers or as buyers whose needs change as the family grows, there is a very interesting category of buyers who have decided to their accounts and clearly understand that those two savings are better to invest in property than to leave them 'dead' in the bank. In the experience of our daily work, this category is always growing. But what are the facts? Let's first see what the banks offer, taking for ease of understanding the amount of 100,000 euros, for a 12-month term. For how long and what is the profit you make from some money trapped somewhere without the possibility of using it for anything else? According to a close analysis, as well as conversations held and statistics published by the Albanian banking market itself, your 100,000 euros, in the best case, will give you 1.6% interest per year.
Let's explain it in concrete figures. 100,000 x 1.6% = 1600 euros/year. Divided into 12 months = 133 euros/month interest profit. Let's also not forget that these 100,000 euros do not experience any increase in value throughout the year. Now let's talk about REAL ESTATE. With 100,000 euros you can buy a 2+1 apartment in Tirana, in a relatively good area. This property will give you the opportunity, in the worst case, to earn at least 350 euros/month. 350 euros x 12 months = 4200 euros/year coming from the rent. AND NOT ONLY THAT!!! Your property worth 100,000 euros, taking into account the expectations of market growth and its performance, after one year will be worth 110,000 euros. If this 10% growth happens every year and you now add the interest generated from the rent to the total value of your property, your investment will be back in your pocket before the end of the sixth year. But let's go back to bank payments. According to the interest rates I explained earlier, 100,000 euros deposited in a term bank account would take you 62 years to return to your pocket again. So, 10 times longer than if you are investing in buying a property.
In fact, they are sold already under construction. In addition to buyers who need a Job Function Email Database personal residence for themselves and their family, either as first-time buyers or as buyers whose needs change as the family grows, there is a very interesting category of buyers who have decided to their accounts and clearly understand that those two savings are better to invest in property than to leave them 'dead' in the bank. In the experience of our daily work, this category is always growing. But what are the facts? Let's first see what the banks offer, taking for ease of understanding the amount of 100,000 euros, for a 12-month term. For how long and what is the profit you make from some money trapped somewhere without the possibility of using it for anything else? According to a close analysis, as well as conversations held and statistics published by the Albanian banking market itself, your 100,000 euros, in the best case, will give you 1.6% interest per year.
Let's explain it in concrete figures. 100,000 x 1.6% = 1600 euros/year. Divided into 12 months = 133 euros/month interest profit. Let's also not forget that these 100,000 euros do not experience any increase in value throughout the year. Now let's talk about REAL ESTATE. With 100,000 euros you can buy a 2+1 apartment in Tirana, in a relatively good area. This property will give you the opportunity, in the worst case, to earn at least 350 euros/month. 350 euros x 12 months = 4200 euros/year coming from the rent. AND NOT ONLY THAT!!! Your property worth 100,000 euros, taking into account the expectations of market growth and its performance, after one year will be worth 110,000 euros. If this 10% growth happens every year and you now add the interest generated from the rent to the total value of your property, your investment will be back in your pocket before the end of the sixth year. But let's go back to bank payments. According to the interest rates I explained earlier, 100,000 euros deposited in a term bank account would take you 62 years to return to your pocket again. So, 10 times longer than if you are investing in buying a property.