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Falling property prices due to the corona crisis, bursting the real estate bubble ?
Falling property prices due to the corona crisis, bursting the real estate bubble ?
Oh, yeah, the yammering is big. All industries agree, the corona crisis is ruining us. We need money!
In the past, a company that went bankrupt after 2 months without any income would have been considered "sick anyway" and a clean-up would have been recommended.
Nowadays, when more and more people and businesses are pushing their possibilities to the limit and are hopelessly over-indebted "because it is so common", such a crisis is of course quite a blow. The cry for the state comes almost simultaneously with the crisis. But, I hope that it will work for everyone, not just for Addidas, to cushion the financial problems.
Is the corona crisis hitting property owners particularly hard?
I don't think so. The rent deferments are unpleasant, but those who rent are prepared for defaults. Rental income and property are planned and calculated on a long-term basis. If you have chosen one of these tax saving models, or "the tenant pays off their apartment", you are not so fortunate. Those who invest in such a model generally expect a short-term return. This is now neutralized by Corona, maybe even going into the red.
Loss of rent, blocked terminations, forced evictions due to corona
A nuisance for the landlord, that. But a little bit of solidarity can also be expected from a landlord in times of crisis.
Is the real estate bubble bursting?
No. There is no real estate bubble in Germany. The demand for residential property is still stable. There may be a few real estate bubbles locally. But there are always bubbles in the real estate market.
Falling property prices because of the Corona crisis? No!
It's not a question of faith. It's a matter of sober reflection. Governments have pumped money into the markets (allegedly !) because of the corona crisis. A lot of money! Probably even too much.
What does the security-conscious investor do when he sees dizzying amounts of money? He tries to find a safe haven. Stability for the days of inflation and other turbulences. Real estate is still and again and again offered. I do not want to bore you with the selection criteria for buying a property. In the end, every buyer can and must find out and decide for himself.
Are there any losers on the property market due to the Corona crisis? Yes!
When buying a property in the last few years, people have been very happy to buy something outside of Germany. A holiday flat for example ! And bang, the corona crisis came and the borders were tight. The flight connections were interrupted. Hundreds of thousands were stuck abroad. This will be considered in the future when buying a holiday flat !
Very bitter experiences for the owners of second homes in the country
This was really not to be expected and will certainly affect the real estate market: entry barriers for Germans within Germany ! Some people have bought a property in the countryside to be able to retreat there when the cities are "uninhabitable". To forbid these real estate owners to use their property in a crisis is a bitter blow against our property rights. In general, people who buy real estate think very carefully about what they are buying a property for. In the future, some buyers will probably refrain from buying real estate that may not be used in a crisis. And, in general, a real estate owner also has a long memory also for short-term measures. I know some real estate owners who have still not forgotten the forced mortgage of 1948 in Germany.
Oh, yeah, the yammering is big. All industries agree, the corona crisis is ruining us. We need money!
In the past, a company that went bankrupt after 2 months without any income would have been considered "sick anyway" and a clean-up would have been recommended.
Nowadays, when more and more people and businesses are pushing their possibilities to the limit and are hopelessly over-indebted "because it is so common", such a crisis is of course quite a blow. The cry for the state comes almost simultaneously with the crisis. But, I hope that it will work for everyone, not just for Addidas, to cushion the financial problems.
Is the corona crisis hitting property owners particularly hard?
I don't think so. The rent deferments are unpleasant, but those who rent are prepared for defaults. Rental income and property are planned and calculated on a long-term basis. If you have chosen one of these tax saving models, or "the tenant pays off their apartment", you are not so fortunate. Those who invest in such a model generally expect a short-term return. This is now neutralized by Corona, maybe even going into the red.
Loss of rent, blocked terminations, forced evictions due to corona
A nuisance for the landlord, that. But a little bit of solidarity can also be expected from a landlord in times of crisis.
Is the real estate bubble bursting?
No. There is no real estate bubble in Germany. The demand for residential property is still stable. There may be a few real estate bubbles locally. But there are always bubbles in the real estate market.
Falling property prices because of the Corona crisis? No!
It's not a question of faith. It's a matter of sober reflection. Governments have pumped money into the markets (allegedly !) because of the corona crisis. A lot of money! Probably even too much.
What does the security-conscious investor do when he sees dizzying amounts of money? He tries to find a safe haven. Stability for the days of inflation and other turbulences. Real estate is still and again and again offered. I do not want to bore you with the selection criteria for buying a property. In the end, every buyer can and must find out and decide for himself.
Are there any losers on the property market due to the Corona crisis? Yes!
When buying a property in the last few years, people have been very happy to buy something outside of Germany. A holiday flat for example ! And bang, the corona crisis came and the borders were tight. The flight connections were interrupted. Hundreds of thousands were stuck abroad. This will be considered in the future when buying a holiday flat !
Very bitter experiences for the owners of second homes in the country
This was really not to be expected and will certainly affect the real estate market: entry barriers for Germans within Germany ! Some people have bought a property in the countryside to be able to retreat there when the cities are "uninhabitable". To forbid these real estate owners to use their property in a crisis is a bitter blow against our property rights. In general, people who buy real estate think very carefully about what they are buying a property for. In the future, some buyers will probably refrain from buying real estate that may not be used in a crisis. And, in general, a real estate owner also has a long memory also for short-term measures. I know some real estate owners who have still not forgotten the forced mortgage of 1948 in Germany.