I think it's extremely difficult to do comparisons like this- in 5 years you may get no return on an investment- I have investments that have gone down over the last 5 years (if you discount the big lump sum I put in when the market crashed during covid- got a good return on that of course). The 6.5% returns are an average and may not ever happen again, you never know (as you said). Also, rents rise- constantly in Belgium, more than in any other country I've lived in there is a culture of landlords raising the rents. Mortgage payments are likely to drop or stay the same. I don't really know what I'm going to do- hence why I watched this- but I'm leaning towards buying a house just so I feel less controlled by a landlord. House prices are going up and when new builds reduce they'll go up even more. I hope I can buy something before then. (side note: I highly doubt the rent of a 200k property would be 700€- maybe in 2020?). Anyway, I appreciate the video. Just wish housing wasn't such a hard thing to secure and I also wish Belgium didn't take 50% income tax on middle income people.
At 0:52, I think it's incorrect. Bank asks you to cough up costs, not another new 10%. The logic behind is that if you don't pay the mortgage, the bank will sell your house and that will only recoup the house value so that's the only part that the bank is willing to cover with the loan.
The other 10% is in the case you can only get a loan for 90% of the property value. And indeed this money is for the seller of the property and not for the bank. Recentely the European central bank set tighter restrictions on loans of 100% or more. In theory you can still get one for 100% but it is less likely noweadays. But if you can, you are right. Then loan as much as you can for as long as you can with the current interest rates and invest the rest! 😀
If you Rent a house fully equipt. The machinery and other stuff needs to be fixed by the out renter if you where a good house father. This Cost makes my father wonder if renting becomes interesting enough to not Bother with all the owner rules. My dad is a real estate agent. Great work Simon i like your content trully legit👌 tip for outrenters don't fully equip your house if you want to Rent it out. And if you do. Place stuff in it that can't break. Because you could always win the good house father argument in court.
They happen, but chances are they don't immediately bother with putting the property online. So in that case you need to be lucky while driving around to see a small "for sale" sign they posted by the window and then call the owner to book a visit. A mortgage is a completely separate thing. The bank does not care where or who you buy the property from. It's not like you can get a mortgage for the property from the seller itself if that answers your question? 🙂
Nope, so far only by mail. 😀 Already had another request to create an instagram account but that will take a while before I can get enough content on there to justify making it. But feel free to send me a mail if you want.
