At the outset, it is crucial to differentiate between whether you want to purchase the property for your own use or whether it is intended as a capital investment. Purchasing a rented property as a capital investment opens the door to stable income and reliable financial appreciation. The ongoing rental income and potential increases in value on the real estate market make this investment attractive for long-term returns and broader diversification of your portfolio.
On the other hand, buying a property for your own use is ultimately an investment in the future. It is about creating a home that meets your needs and offers you long-term security and a foundation for personal and family development. Buying for your own use can also be seen as a form of financial security, as you can enjoy the benefits of home ownership and potential increases in value over the long term.
You should consider the following steps before buying:
1. Check rental agreements:
Start by carefully reviewing the existing rental agreements. Check the lease terms, conditions, rent amounts, and clauses to ensure that they meet your expectations and do not pose any unexpected risks.
2. Condition of the property:
Don't be fooled by appearances. A thorough inspection of the condition of the property is essential. Look out for any potential renovation work or ongoing maintenance costs that you may have to pay.
3. Tenancy and history:
Find out more about the previous relationship between the landlord and tenant. A positive history can be a sign of a stable source of income. Also check the payment history to assess potential risks.
4. Financing and return:
Carefully calculate the potential return. Take into account not only the purchase price, but also ongoing costs such as maintenance, taxes, and insurance.
If you have any questions or doubts, it is advisable to seek expert advice to ensure that you make an informed decision that feels right not only today but also in 20 years' time.
Frequently asked questions
Can you buy a rented house?
Yes, it is possible to buy a rented house. Buying a rented property is a common investment strategy. When you buy, you automatically take over the existing rental agreements and the associated rights and obligations as the new owner. It is important to thoroughly review the terms of the existing rental agreements to ensure that they meet your expectations and plans for the property.
Can you register personal use when buying a rented apartment?
Yes, as the new owner of a rented apartment, you have the right to use it for your own purposes. This means that you can use the rented apartment for your own use, for example as your primary residence for yourself or family members. However, you must meet certain legal requirements in order to claim personal use. These include, among other things, providing reasonable grounds for personal use and complying with the notice periods.
How long after purchase is it possible to terminate the contract for personal use?
The exact deadline for termination due to personal use varies depending on the laws of the state or region in which the property is located. In the district of Olpe in North Rhine-Westphalia, the statutory notice periods in accordance with the German Civil Code (BGB) usually apply. According to § 573 BGB, the notice period for termination for personal use is usually three months to the end of the month.
As the new owner, to what extent can I make changes to the rental agreement?
As the new owner of a rented property, it may be possible to make changes to the rental agreement, but this depends on various factors. If changes to the lease agreement are necessary, for example due to renovations or modernization, these can be made in accordance with the legal provisions. However, existing rental agreements must be respected first and foremost, and changes are usually only possible by mutual agreement between you as the landlord and the tenant.
Are you planning to purchase a rented property?
As experienced real estate agents in the Olpe district, we not only help you find the right property, but also analyze regional market trends and thoroughly review existing rental agreements through our extensive network of partner lawyers. Feel free to contact us—we look forward to getting to know you.