Homeownership as a pension plan: investing money in modernization

Create, create, renovate houses: For some property owners, investing in modernization pays off.
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Often times, homeowners are only wealthy on paper. The rents are modest and the financial leeway is limited. The only thing that helps is to flee forwards; in the best case scenario, you will attract fantastic returns on your retirement provision.

D.he banks are currently drowning in deposit money because many customers do not have the courage to invest their balances in bonds or stocks. This is understandable because bonds hardly yield any interest and company investments are subject to incalculable fluctuations. Deposit money is not safe, however, because investors lose their claims if the bank collapses. The state promise to vouch for all deposits cannot be fulfilled in an emergency. It therefore remains important to invest private assets broadly and inexpensively, because this is the only way to prevent being washed away if all dams break.

Against this background, the owners of rented properties in particular should not make the mistake of bunkering their liquid reserves in time deposits and savings bonds because their properties offer them lucrative alternatives. The modernization of rented houses and apartments can, if the location of the properties is right, generate annual returns that are well above the interest rates of secure Pfandbriefe. This becomes clear in the following case.

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