8% return on investment in Hannover Döhren! (1,620 € per square meter). 3-room apartment with a factor of 18.5.

A top property for investors. This 3-room apartment, currently rented out as student housing (WG), generates a return of approximately 8%. The total return of a property is always comprised of the current rental yield and the appreciation of the property's value. The rental yield is approximately 5.5% (around €1,131.74 profit per month after expenses), while the appreciation, conservatively estimated, is around 2.5%. Total: approximately 8% return.

And if you sell again after 10 years (tax-free), you will have achieved the following:

1. €135,808.80 in rental income (profit before taxes), assuming you never adjust the rent for the rooms over those 10 years. In reality, the normal turnover of students in a shared apartment allows you to slightly increase the rent with each new rental, approximately every 3.5 years. Therefore, the actual amount would be even higher.
2. A conservatively estimated appreciation of just 2.5% per year (only 25% in 10 years) means that the value of the property increases from €250,000 to at least €312,500. This, in addition to the €135,808.80 in rental income, represents approximately €62,500 in tax-free profit. Total: €198,308.80 (profit in 10 years).

Or, to put it another way, you buy today for €250,000 and in just approximately... Over 10 years, you would have generated a minimum sales price of €312,500 (with only a 2.5% annual increase in value) and a minimum rental income of €135,808.80. Thus, an initial investment of €250,000 could become €448,308.80 in just about 10 years. Other features:
- All windows (NEW) are triple-glazed.
- Electrical system is 3-phase and largely renewed (circa 2015).
- Tiling in hallway, kitchen, and bathroom (very durable).
- Storage space in the hallway (perfect for student rentals).
- 3 bedrooms (perfect for student rentals).
- Excellent location (perfect for student rentals).
- Radiators renewed (estimated circa 2015).
- Bathroom with window (perfect for ventilation).
- Well-maintained building (entrance door and windows NEW, etc.).
Rent:
- Room 1: €595 (including utilities, fiber optic internet, and partial furnishings).
- Room 2: €525 (including utilities, fiber optic internet, and partial furnishings).
- Room 3: €500 (including utilities, fiber optic internet, and partial furnishings).
Total: €1,620 / month (income).
Expenses:
- €233.26 for building maintenance fees, water, and reserve for maintenance.
- €120.00 for heating (gas), approximately - €65.00 for electricity, approximately - €40.00 for fiber optic internet.
- €10.74 for other expenses.
- €19.26 for property tax.
Total: €493.26 / month (expenses).
€1,126.74 profit per month after expenses. €13,520.88 profit per year after expenses. Excellent return on investment! In the Döhren district of Hanover, a typical price multiplier for rented investment properties is between 25 and 35. For example:
1) €13,580.88 annual rent x 25 = €339,522 property value
2) €13,580.88 annual rent x 30 = €407,426 property value
3) €13,580.88 annual rent x 35 = €475,330 property value

Why am I then selling this excellent investment property for only €250,000 (a price multiplier of 18.5)? - The sole reason is that I am currently purchasing my first multi-family building and require liquidity in the short term. Sale without a real estate agent. This saves you €8,925 (3.57% of €250,000)!!!

Excellent location, with the "Peiner Straße" subway station right outside. This makes it easy to reach the main train station, for example, in just about 10 minutes.