Many people dream of owning their own home, but constantly rising construction prices present financial hurdles, making new builds seem almost unattainable. The solution could be closer than you think: an existing property not only offers you an attractive alternative, but also has numerous advantages that you may not have considered yet.
- Move in immediately:
Forget long waiting times for construction progress. With an existing property, you can often move in at short notice and enjoy your new home. - Individual design options:
Even if an existing property has already been lived in, it offers you numerous possibilities for individual design. With a few renovations, you can redesign your new home entirely according to your own ideas. - Proven building fabric:
Older houses are often more solidly built than new buildings. An expert can provide you with information about the condition of the property before you complete the purchase. - Mature infrastructure:
Existing properties are usually located in established residential areas with a well-developed infrastructure and a settled neighborhood. Schools, kindergartens, shopping facilities, and public transportation are usually in the immediate vicinity.
Your existing property as a springboard
If you already own a property, this opens up a valuable opportunity to use it as a financial springboard for purchasing your dream property. Here's how you can strategically use your current property:
-
Sell to finance:
If your current property has increased in value, you can secure a significant portion of the financing for the new property by selling it. It is important to choose the right time to sell in order to achieve the highest possible proceeds. The current market situation, demand in your region, and the condition of your property play a decisive role here. A thorough appraisal by a real estate expert can help you determine a realistic selling price that will strengthen your financial basis for the next step. -
Selling real estate at a profit:
If you purchased your property years ago at a favorable price, selling it now could result in a significant profit. You can invest this increase in value directly in the purchase of your new dream property. Tax aspects should also be taken into account in order to optimize the taxation of any profits. If necessary, consult a tax advisor or real estate expert to determine the best course of action. -
Partial rental for financing:
You can use the rental income to cover part of the financing costs for your new property. This is particularly attractive if you have paid off the property in full and can therefore generate regular income. Careful calculation is important here to ensure that the rental income is sufficient to cover the additional costs for your new property. This strategy also offers you the advantage of continuing to benefit from an increase in the value of your existing property while you are already living in your new home. -
Bridge loan as an interim solution:
A bridge loan allows you to secure financing for the new property before the proceeds from the sale of the old property are available. A bridge loan thus bridges the financial gap and gives you the necessary flexibility. However, you should take the additional interest costs into account with this option and ensure that the sale of your previous property can be completed promptly.
How do I find the right existing property?
Although an existing property has many advantages over a new build, there are still things that should be thoroughly checked and weighed up beforehand, the most important of which are:
Energy standard
A good energy standard is important not only for environmental reasons, but also for financial reasons. Make sure that the property has modern windows that provide good insulation. Effective insulation of the walls and roof also plays a key role in minimizing heat loss. The heating system should be efficient, ideally a modern system that meets current standards. This will allow you to benefit from low heating costs in the long term while increasing the value of the property.
Condition of the building fabric
The structural condition of the property should be carefully checked. Hidden defects such as damp walls, leaky roofs, or problems with the electrical system can result in considerable costs. Therefore, have the property inspected by an independent expert or appraiser. A detailed report will give you certainty about the actual condition of the property and can help you avoid unpleasant surprises. Aspects such as the building fabric and any renovation or modernization requirements should also be examined closely.
Location
The location of the property is one of the most important factors that will affect its value and quality of life in the long term. think carefully about which criteria are particularly important to you when it comes to location. Is it important for you to live close to your workplace to avoid long commutes? Or are you looking for a quiet residential area that is suitable for families, with good access to schools, kindergartens, and leisure facilities? Infrastructure also plays a major role—how good are the connections to public transportation, highways, and shopping? The neighborhood itself should also be taken into consideration: Is it lively and urban or quiet and rural?
Future prospects
Don't just look at the present, but also at the future of the property and the surrounding area. Find out about planned construction projects or urban development in the area. Is the neighborhood due for renovation, or are larger construction projects planned nearby? Such information can significantly influence the value of your property in the coming years. An up-and-coming area can increase the value of your investment, while negative developments, such as the construction of a highway or an industrial park in the immediate vicinity, could reduce its value. Planned infrastructure projects such as new subway lines or shopping centers can also have a major impact on the attractiveness of the location.
Our database contains many high-quality properties that are just waiting for you to move in
An existing property offers numerous advantages and can be an attractive alternative to new construction. As experienced real estate agents, we are happy to advise and assist you and support you in your search for a suitable property with our large network of service providers and partners.