Active management from ‘Entry to Exit’
Great things in German real estate are never done by one person, they are done by a great team. Our Expert team provides a full suite of services to ensure every aspect of your Buy-to-Let investment in Germany is fully managed.
OUR ‘BUY-TO-LET’ SERVICES INCLUDE:
- Property: We find you the Property
- Mortgage: We arrange your German Mortgage
- Structure: We set up the best Tax Optimised Structure for investing
- Planning: We prepare an Investment Plan for each property
- Management: We manage the Property & all the Cash Flows
- Reporting: We prepare regular Investor Reports & Analysis
Achieving Success & Wealth Creation
Clever ways to find great real estate deals
To continue to deliver the best returns to our investors, Investix is constantly searching for property deals throughout Germany through our connections in banks, auction houses and our extensive network of real estate agents. When sourcing properties for our investors, the purchase price we pay is largely based on the property location, type, tenant history, condition, the potential for increasing the rental income and extensive due diligence, essential to ensure the investment can deliver your investment objectives. Due to our multiple years’ of experience, we expect that all of our Buy-to-Let properties can achieve certainty of income as well as the opportunities for rental growth.
Investix Property Services include:
- Property search & shortlist
- Location analysis (micro & macro)
- Technical checks & evaluation
- Due diligence & negotiation
- Acquisition (Legal & administration) steps
Sensible borrowing with low fixed interest rates
By using Investix, a foreign investor with no credit history or bank track record in Germany can still get access to very attractive mortgage conditions with yearly fixed interest rates as low 2% and loans up to 70% of the purchase price. This leveraging effect can significantly increase returns compared with similar investments which are not combined with borrowings or when mortgage capital and interest repayment is high, which is the largest outgoing cost from the rental income. We advise investors to fix the interest rate for a minimum of ten years resulting in a high level of certainty on the projected outgoings of the property for this period of time.
Investix Mortgage Services include:
- Preparing all mortgage applications for the bank
- Preparing a property investment plan for the bank to review
- Negotiating all mortgage terms with the bank
- Arranging that the mortgage can be ‘non-recourse’ to the investor
- Payment of the mortgage from the rental a/c each month
- Point of contact for the bank over the term of the mortgage
Advising the best investment structure for tax optimisation
Over the last 20 years we have structured over 4,500 property investments across Germany. Investix can help to advise on both the legal and operational structure for your Buy-to-Let investment and how this helps to optimise your investment returns and potentially helps to reduce your tax liability. The three main options available to foreign investors are: 1) Direct investment as an individual, 2) Investment through a partnership, 3) Investment through a Limited Co. Each of these structures has a huge impact on your ability to obtain mortgage finance in Germany in addition to minimising your tax liability. So it is very important to get the right structure from the beginning.
Investix Structure Services include:
- Arranging Tax & Financial advice if investing as a Private Individual
- Arranging Tax & Financial advice if investing through a Germany Co.
- Monitoring Tax & Financial changes which could impact the structure
- Assistance & Translation with third party tax advisors
- Managing Director services if investing through a Germany Co.
Stay cash flow positive with an 'Entry to Exit' investment plan
Investix develops an individualised and tailored Investment Plan for each property. When you purchase one of our Buy-to-Let investments, our asset managers will prepare a 10-year entry to exit plan’ which allows investors to track their growth in property wealth each year. This gives all of our clients the essential information they need to confidently plan their finances and measure the success of their investment each year. Buy-to-Let investment plan is necessary to prepare an accurate cashflow forecasts so that mortgages and running costs can be paid from the rental income and the remaining rent used as a contingency in the case of temporary vacancies, letting fees, bad debts, unexpected running costs, or as surplus cash or income at the end of the year.
Investix Planning Services include:
- Rental property operating expenses planning
- What provisions to make for Loss of rental income
- Maintenance and refurbishment costs and how to plan for them
- Cash flow forecasts and how to accumulate a rental surplus
- ROI, IRR, Rental Yield, Cash on Cash returns all explained
- Entry to Exit planning and active management
One team for property & cash flow management
Property Management is about doing things right, Asset Management is about doing the right things. Professional and efficient property & investment management can make a fundamental difference to an investor – but it’s a complicated and broad discipline. This is more difficult for foreign investors. Investix already manages over 2,500 Buy-to-Let properties in Germany for foreign investors so our team fully understands the needs of owners and tenants and the importance of quality in the management of their assets. Investix is one of the leading property management service providers in Germany with a strong record in residential properties in Berlin, Saxony and the North Rheine regions of Germany.
Investix Management Services include:
- Contractor management for planned and reactive maintenance
- Advertising and contract administration for new lettings
- Financial account management
- Annual service charge budget preparation
- Health and Safety compliance services
- Dedicated credit control for rent & service charge collection
Without data you're just another person with an opinion
A good property management company should be able to provide property owners with regular updates on finances, rental rates, marketing and maintenance of the property. Investix has developed its own customised management software – VUMPIX. This software enables our property and asset management teams to track essential activities including vacancies, unpaids, maintenance, profits and investments into capes. Better data reporting allows property managers, asset managers and investors to make quicker and easier decisions. This means we have the responsibility to provide property owners with various reports that illustrate how the property is performing on a regular basis.
Investix Reporting Services include:
- Tenant reports – Rentals,vacancy, unpaids, lettings
- Maintenance reports – Status of planned maintenance, Capex forecast
- Financial reports – Income & Expense statements
- Mortgage reports – statements and annuity changes
- Market comparison reports – ReM & Valuations
Expert Blogs - Latest Posts
16th November 2018
One of the biggest benefits in the German residential market, that is a crucial factor for a...