Property: valued similar to the event

Whoever wants to live up to his own home, has not looked at real estate as an investment that will appreciate over time and which could sometimes be sold at a profit. The buyer buys it mainly for the reason that he needs to take it and live in it.

We don’t just have to live stle in buying real estate. What if after a while we want to have another one, you t? What will be the price of the property we bought today? Then we will need to sell at the same time, add funds to foreign pensions and buy another one. For this reason ns will be interested in property prices in the future. Determining the price of real estate is very complicated and it is not possible to deal with this book in detail, but let’s try to show the basic principles that can be used.

The price of real estate is determined by supply and demand in the market, similar to other goods. If there is a predominance of buyers on the market, they are also willing to pay the price that is growing, and vice versa. When there is a predominance of sellers, the seller is a day when he sells the price for it, and thus the price falls. In general, during the economic recession, the demand for real estate is lower, and therefore their prices fall, and conversely, with the prosperity of the economy, prices rise. These are fluctuations in the short term.

Real estate prices also fluctuated according to individual regions. Jin real estate prices are in Prague and jin nap. in Most. The price of real estate depends on demand after on demand again depends on the supply of labor issues. Therefore, in areas with better labor supply, real estate prices are you. After estimating the costs associated with the level of real estate, market fluctuations, the attractiveness of the location and other factors, it is possible that the price of real estate is growing over time. In the long run, their relative price does not decrease and a slight increase. It is very roughly the fact that the price of real estate grows similarly to investment. A well-maintained property does not lose its value, which is why investing in real estate is so often recommended to protect pensions from the fl ac.

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Investment in own housing

In the last chapter, we said that we have two basic options for solving our housing situation:
1. rent a property, or
2. share your own.

When we decide to buy real estate, we do not think of this transaction as an investment that should have a pinet profit. We mainly need to solve the problem of where we will live. Buying a property can be seen as an investment. Although it does not make a profit, it reduces the costs that we would have to pay for rent. If we rented this apartment instead of buying an apartment, we would pay each month softly for using another’s apartment. However, this apartment will never be paid for when we leave the MSc. We will consume them.

In the case of buying an apartment, we do not pay anyone the day, and thus we will achieve their cost. Although we have to bear the costs associated with the maintenance of real estate, but they will certainly be paid less than the thorns. The owner has to pay the same gossip costs and still have to pay something. Buying our own home does not mean a profit for us, but it is a cost dispute that we would otherwise have to spend.

Real estate investment and profit

We do not have to buy real estate only for our own needs. We can think of it as a set of pensions and their evaluation. Meme nap. buy an apartment and rent it. The evaluation of invested pensions will have two natures:
1. income from fine (dreaming of gossip costs) a
2. Real estate price growth.

It is evaluated similarly as in the case of investments in the action. Here, too, darkness from regular payments of dividends and growth in the value of the share. When investing in real estate and investing in an event, we cannot guarantee how much the investment will be valued. Dividends at the event are not paid regularly and in the same way. Badly for the profit of society. Similarly, in the case of rent, it is wrong with how we managed to rent the property and how much we paid for it.

The rise in stock prices is thus not stable and guaranteed. Stocks sometimes grow fast, other times even delay. When investing in real estate, it is similar. Both investing in real estate and investing in action are similar to risks. It is not true that investing in real estate is the safest. Signal inputs are relatively poorly predictable. Definitely he is definitely not a one year deposit from a term deposit.

ryvek is from the book“Financing own housing – 4th revised editionvydan nakladatelstvm City Publishing, who published publications in the FINANCE edition such as:
Make the investment
Investovn pro zatenky

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