The stone is one of the favorite investments of the French. In addition to diversifying a heritage, the purchase of a property with a view to renting it has many advantages. Provided you get a good deal.

With favorable economic conditions for homeownership, buying real estate with a view to renting it out is an attractive investment. The key: rents to supplement its income and a possible capital gain on resale. But not all opportunities are good to seize and caution must remain in order.

Not everyone invests in rental property for the same reasons. Is it to anticipate a loss of income upon retirement? To aim for medium or long-term added value? To acquire a property in a city where you want to live your last years? Or simply to pass on an additional good to his children? Each investment project is unique and specific to the investor. Before starting, he must therefore take stock of his desires and expectations.

Once the project has been defined, all that remains is to find the ideal accommodation. The buyer must first choose between new and old, then consider a number of criteria such as: location - is the neighborhood nice? Are there schools and shops? Means of transportation? etc - the property itself - Will it be easy to find tenants? Is it better to rent furnished or empty? etc – and, of course, its price. So many points that have an impact not only on whether or not the property is vacant and on any capital gain on resale.

Last step before the purchase: the choice of financing. Is it better to use a bank loan or, if possible, finance it entirely with equity? You should know that the mortgage has several advantages. Not only are the interest rates currently favorable to the borrower, but in addition the interest paid is, subject to conditions, partly deductible from property income. It is also possible to opt for a hybrid strategy mixing a part of personal contribution and another of loan. In doing so, the owner reduces his savings effort every month without investing all or almost all of his savings.

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