Respekt, Hans!! Das ist schon amtlich 🚀 Wie kommst du zu diesen heftigen Einkaufspreisen? Bspw. die zweite Wohnung in Villingen-Schwenningen. 65k€ Kaufpreis, 820€ kalt mit 60€ Operating Costs. Das sind 15% Brutto-Mietrendite und 14% Netto-Mietrendite??!!
Thanks!! Glück gehabt beim Einkauf gepaart mir der nötigen Schnelligkeit, würde ich sagen. Aber irgendwann muss in das Objekt auch wieder investiert werden. In den nächsten 10 Jahren sollte im Haus mal das Dach gemacht werden, in den nächsten 3 Jahren die Heizung zB. Aber der CF und die Rendite stimmt dann immer noch...
Hi Hans, Keep it going you are such inspiration. I have few question for you: Your full repayment of all apartments will be after 30 years. 1. Can you sell the apartment even if you have 20 more years of mortgage?( How you calculate earnings with leftover morgage when you selling?) 2. Can you find apartamants to repay itself after 10 years? Thank you! I hope we will work someday
Thanks! Glad you like the videos. 1. Yes, you can sell the property at any point, even if you fixed the interest rates for many more remaining years. You then just have to pay a fee to the bank to cancel the mortgage earlier than agreed upon. As an example, for like a 100k mortgage this would be around 5k you would have to pay if you would have 8 years left. 2. Yes, but very difficult - and then these properties are usually in an underdeveloped region with difficult tenants. You wouldn't find anything like this in bigger and sought after cities. However my two properties in Villingen Schwenningen should be paid off within the first 10 years. But then again I will have to invest a lot in the upcoming years (e.g. new roof and so on).
Hey Hans, thanks for sharing the numbers. They look great, congrats! 1. Does the annual loan repayment part get bigger over the years? 2. Are you leveraging cash-out refinance to buy new properties? 3. Are the closing costs tax deductible?
1. Yes, they do! 2. Haven't fully decided yet - I will make it dependent on the market condition and availability of good deals 3. Yes, but over a span of 50 years (like the regular depriciation on RE); therefore 2%
@ congrats! Even as a high earning software engineer (granted, who only started working full time about a year ago) I don’t see myself owning any sort of property any time soon. So I was just taking a guess: either your family supported you (by financing your studies, co-signing on loans, letting you save money early on by not charging rent, or plainly just giving you money to invest), or you’re one of the few entrepreneurs who had a business idea that worked out. Or a lot of muscle grease and losing the years 18-28 by simply just working for the entire time and saving every single penny. If I missed any option, let me know! Out of all of these, the family one is just statistically the most likely.
I understand. It's the latter - worked a lot during high school, college and now as a strategy consultant. Gotta admit that I didn't have to pay for rent while I was in high school though. Also, I wouldn't say that I lost the years 18-28. I lived abroad for 4 years in the US, France and Netherlands. Wouldn't want to miss it!
Hello Hans, Nice content! Thank you so much. A quick one: After purchasing the first apartment, the next year during the tax declaration can I declare all of the below as cost, right? - land transfer tax amount that I paid (6% for Hessen) - real estate acency cost that I paid (3.57%) - Notar cost that I paid (2%) Total: 11.57% of the purchase price of the apartment. I believe all of them are tax deductable. Thank you for the clarification.
Yes, they are. But most of it can only be depreciated over 50 years (ie 2% afa) - just like the building value (not the land on which it is built - that cannot be depreciated).
What would be your estimate of your return of investment percent? What have been average interest rates on the loans you took? I know that prices are different based on location, size etc, but what would be a good price of purchase per m2 for you?
Check out my other video in which I describe every property in detail. ROIs of the different units differentiate strongly. I usually pay 4% in interest. In Freiburg, I try to buy apartments for 4k max in average square meter price - but as you said, it highly depends on the specific property
Hi Hans, nice content. How did you declare the tax agent about the depreciation. Especially the separation between land value and property value. The tax agent would not take any number you file to them, right?
Hi, I am doing the taxes myself. To evaluate the separation of the land and property value, use the Finanzamt's spreadsheet: www.bundesfinanzministerium.de/Datenportal/Daten/frei-nutzbare-produkte/Anwendungen/Kaufpreisaufteilung-Grundstuecke/Kaufpreisaufteilung-Grundstuecke.html
4 วันที่ผ่านมา
Sieht sehr gut aus. Erstaunlich gut eingekauft, das verwundert schon. Cash Flow positive Wohnungen bei 4% Zinsen in 2023 2024 zu finden, das ist sehr sehr selten. Die Nebenkosten wundern mich ebenfalls. Die scheinen im Schnitt bei 10% der Warmmiete zu liegen? Dann sind es Gasetagenheizungen und es ist kein Heizkostenanteil in den Nebenkosten. Ansonsten liegen die Nebenkosten eher bei 3 EUR den qm und die Kaltmiete bei 10 EUR den qm, also rund 25% der Warmmiete.
Danke! Die Objekte mit NK unter 10% der Warmmiete sind in der Tat Objekte mit Gasteagenheizungen. Dennoch sind die Heizkosten hier enthalten. Ich merke jetzt, dass eine kleine Nachzahlung der Mieter notwendig ist, aber es deckt dann alle Nebenkosten ab. Grund ist auch, dass es keinen Verwalter gibt, keine Gartenarbeiten, Hausmeister oder Putzpersonal, das bezahlt werden muss.
Hi cool Video , one question are all your properties in your name or a company if company which one ? Just started doing what you do and wondering what is better
Second question could be: Since expats have fixed income, such as 120K annum, the bank can provide a bank-loan up to a limit, aftet the person's monthly cost (rent + life expenses). Of course, the person can bring some cash to buy the apartment, but nevertheless it is highly unlikely that an expat can find suitable loan credit for a portfolio like yours. Therefore, I guess, 2 people (120K + 120K annum) should apply loans for a portfolio like yours... I am just guessing... Well, not everyone should have 14 rentals anyway!!! 🙂
I guess even as an expat, one person could build up such portfolio and receive the loans for it. Obviously you gotta use your money wisely and not spend too much on a monthly basis
Hey Hans ! Nice video and also quite useful information during our one on one discussion. You owe me one more meet if you remember :D. Lets stay in touch :)
Hi Hans! Love your content.
Very infromative video. Thank you Hans.
Thanks!
Respekt, Hans!! Das ist schon amtlich 🚀
Wie kommst du zu diesen heftigen Einkaufspreisen? Bspw. die zweite Wohnung in Villingen-Schwenningen. 65k€ Kaufpreis, 820€ kalt mit 60€ Operating Costs. Das sind 15% Brutto-Mietrendite und 14% Netto-Mietrendite??!!
Thanks!! Glück gehabt beim Einkauf gepaart mir der nötigen Schnelligkeit, würde ich sagen. Aber irgendwann muss in das Objekt auch wieder investiert werden. In den nächsten 10 Jahren sollte im Haus mal das Dach gemacht werden, in den nächsten 3 Jahren die Heizung zB. Aber der CF und die Rendite stimmt dann immer noch...
@@financeHans Stark 😌 und btw, extrem angenehm dir zuzuhören. Video-Qualität stimmt. Mach genau weiter so!
@theofficelab danke!!
Thanks for the informative video! As an expat it's really difficult to get information like that from locals, this helps a lot :)
Glad you enjoyed it!
Hi Hans, Keep it going you are such inspiration. I have few question for you:
Your full repayment of all apartments will be after 30 years.
1. Can you sell the apartment even if you have 20 more years of mortgage?( How you calculate earnings with leftover morgage when you selling?)
2. Can you find apartamants to repay itself after 10 years?
Thank you! I hope we will work someday
Thanks! Glad you like the videos.
1. Yes, you can sell the property at any point, even if you fixed the interest rates for many more remaining years. You then just have to pay a fee to the bank to cancel the mortgage earlier than agreed upon. As an example, for like a 100k mortgage this would be around 5k you would have to pay if you would have 8 years left.
2. Yes, but very difficult - and then these properties are usually in an underdeveloped region with difficult tenants. You wouldn't find anything like this in bigger and sought after cities. However my two properties in Villingen Schwenningen should be paid off within the first 10 years. But then again I will have to invest a lot in the upcoming years (e.g. new roof and so on).
Hi Hans, great content! As always :) Could you share the sheets for tracking? Thank you
I will at some point!
Hey Hans, thanks for sharing the numbers. They look great, congrats!
1. Does the annual loan repayment part get bigger over the years?
2. Are you leveraging cash-out refinance to buy new properties?
3. Are the closing costs tax deductible?
1. Yes, they do!
2. Haven't fully decided yet - I will make it dependent on the market condition and availability of good deals
3. Yes, but over a span of 50 years (like the regular depriciation on RE); therefore 2%
Could you plase make a video about how to choose the property?
Will do soon!
Step 1: come from a rich family so you can afford 14 rental properties
How did you get to know my family? ;)
No - built it all up myself. No parental support
@ congrats! Even as a high earning software engineer (granted, who only started working full time about a year ago) I don’t see myself owning any sort of property any time soon.
So I was just taking a guess: either your family supported you (by financing your studies, co-signing on loans, letting you save money early on by not charging rent, or plainly just giving you money to invest), or you’re one of the few entrepreneurs who had a business idea that worked out. Or a lot of muscle grease and losing the years 18-28 by simply just working for the entire time and saving every single penny.
If I missed any option, let me know!
Out of all of these, the family one is just statistically the most likely.
I understand. It's the latter - worked a lot during high school, college and now as a strategy consultant. Gotta admit that I didn't have to pay for rent while I was in high school though. Also, I wouldn't say that I lost the years 18-28. I lived abroad for 4 years in the US, France and Netherlands. Wouldn't want to miss it!
@ then I salute you, for you have a lot more discipline than I do.
Wish you all the best on your journey!
Hello Hans,
Nice content! Thank you so much. A quick one:
After purchasing the first apartment, the next year during the tax declaration can I declare all of the below as cost, right?
- land transfer tax amount that I paid (6% for Hessen)
- real estate acency cost that I paid (3.57%)
- Notar cost that I paid (2%)
Total: 11.57% of the purchase price of the apartment.
I believe all of them are tax deductable. Thank you for the clarification.
Yes, they are. But most of it can only be depreciated over 50 years (ie 2% afa) - just like the building value (not the land on which it is built - that cannot be depreciated).
What would be your estimate of your return of investment percent?
What have been average interest rates on the loans you took?
I know that prices are different based on location, size etc, but what would be a good price of purchase per m2 for you?
Check out my other video in which I describe every property in detail. ROIs of the different units differentiate strongly. I usually pay 4% in interest. In Freiburg, I try to buy apartments for 4k max in average square meter price - but as you said, it highly depends on the specific property
Hi Hans
Which bank do you work with? Your interest rates are really good (1.5 or 2) comparing to the data provided by immoscout (3)
For the past properties, Sparkasse only. The 1,5 and 2% are not the interest but the repayment rate. I ususally pay around 4% in interest
Hi Hans, nice content. How did you declare the tax agent about the depreciation. Especially the separation between land value and property value. The tax agent would not take any number you file to them, right?
Hi, I am doing the taxes myself. To evaluate the separation of the land and property value, use the Finanzamt's spreadsheet: www.bundesfinanzministerium.de/Datenportal/Daten/frei-nutzbare-produkte/Anwendungen/Kaufpreisaufteilung-Grundstuecke/Kaufpreisaufteilung-Grundstuecke.html
Sieht sehr gut aus. Erstaunlich gut eingekauft, das verwundert schon. Cash Flow positive Wohnungen bei 4% Zinsen in 2023 2024 zu finden, das ist sehr sehr selten. Die Nebenkosten wundern mich ebenfalls. Die scheinen im Schnitt bei 10% der Warmmiete zu liegen? Dann sind es Gasetagenheizungen und es ist kein Heizkostenanteil in den Nebenkosten. Ansonsten liegen die Nebenkosten eher bei 3 EUR den qm und die Kaltmiete bei 10 EUR den qm, also rund 25% der Warmmiete.
Danke! Die Objekte mit NK unter 10% der Warmmiete sind in der Tat Objekte mit Gasteagenheizungen. Dennoch sind die Heizkosten hier enthalten. Ich merke jetzt, dass eine kleine Nachzahlung der Mieter notwendig ist, aber es deckt dann alle Nebenkosten ab. Grund ist auch, dass es keinen Verwalter gibt, keine Gartenarbeiten, Hausmeister oder Putzpersonal, das bezahlt werden muss.
Hi cool Video , one question are all your properties in your name or a company if company which one ? Just started doing what you do and wondering what is better
They're all in my name. I bought them as a private person
Is there a limited number of properties that you could buy as a private person?
No
@@financeHans Could you tell us or make a video what's the pros and cons owning a property privately name and company name
Did you purchase the properties and take the debt personally in your name or through a company? And if so, why?
Yes, I bought them as a private person due to the mentioned tax benefits - eg. selling tax free after 10 years
Wo findest du die Immobilien?
Immobilienscout
Second question could be: Since expats have fixed income, such as 120K annum, the bank can provide a bank-loan up to a limit, aftet the person's monthly cost (rent + life expenses). Of course, the person can bring some cash to buy the apartment, but nevertheless it is highly unlikely that an expat can find suitable loan credit for a portfolio like yours. Therefore, I guess, 2 people (120K + 120K annum) should apply loans for a portfolio like yours... I am just guessing... Well, not everyone should have 14 rentals anyway!!! 🙂
I guess even as an expat, one person could build up such portfolio and receive the loans for it. Obviously you gotta use your money wisely and not spend too much on a monthly basis
Hey Hans ! Nice video and also quite useful information during our one on one discussion. You owe me one more meet if you remember :D. Lets stay in touch :)
Yes, we will!