Investment in asset or income: how to invest in real estate?

In Francereal estate makes up 61% of the heritage of residents, according toINSI. Whenwe’re decidinginvest infixedwe often ask ourselvesbetter choose safety for constructionheritage, or rather, an investment that brings attractive returns, but, of course, more risky. We are talking aboutinvestment in heritage andreturn on investment.

lheritage investment property

lInvesting in wealth is an interesting strategy for safely investing your savings by limiting risk. lreal estate is a safe haven, investing in assets is a good way to generate income.

In addition, the construction of capitalintegrated into a long-term transition strategy. The investor who choosesinvestment in assets may be for the purpose of securing his retirement or the transfer of the related property to his children. In general, the value of this type of property is guaranteed, especially in large cities where prices are high.

TodayToday market conditions allowinvest on credit and useleverage effect that allowsoptimize throughputdebt.

Paris is the best city to invest in real estate

In Paris it is almost obvious thatheritage investments are interesting: rental demand is the strongest inFrance, tight market and high prices. In the capital, prices range from 6,922 to 15,771 euros per square meter, with an average of 10,187 euros according to top agents.

The city of light includes different neighborhoods, different types of property, andprice difference per square meter. Several Parisian districts are ideal forinvestment in an asset.
For example, the 17th district. The bourgeois district of the city offers a peaceful living environment. loversOttoman architecture will find its happiness there. On average, a square meter of an apartment in the 17th arrondissement of Paris costs 11,189 euros.

15th arrondissementone of the most populous in Paris, with its 238,000 inhabitants, is also of interest toinvestment in an asset. Quiet, very residential area with lots of green space and several well-known hospitals, includingHospital Necker, Pompidou or evenpastoral institute. AGAINSTis also the largest county by area. To invest in an apartment, an average budget of 10,569 euros per square meter is required.

An investor wishing to build a real estate portfolio can also apply to the 16th arrondissement of the capital. This part of the city is bourgeois and very quiet. AGAINSThere is whatwe find half of the embassies of Paris, the park of the princes, and also Roland Garros. More expensive than the 15th, a square meter costs an average of 11,354 euros in the 16th arrondissement of Paris.

lreal estate for profitable investment

lreturn on investment differs frominvestment in assets at several levels. PrincipleIncome investing often consists of acquiring real estate in a city with favorable prices and a limited rental market. Generally speaking, in stone or any other investment, the higher the return, the moreinvestments are risky.

lgoalThe return on investment also varies. Here the goal is to collect high cash flow. We get the cash flow by calculating the rental income and subtracting the mortgage repayments,building, taxes on rental income and any other monthly expenses.

lIncome investing is more of a medium-term strategy consisting of investing in real estate at an attractive price, generating income and then reselling it for capital gains. Of course, in the meantimethe investor will be able to take advantage of tax incentives during this period, for example, LMNP for 10 years.

Marseille, one of the most profitable cities for rental investment in France

Marseille, the second largest city in France, is a real economic center in the south of France.hexagon. For a large metropolis, prices forreal estate in Marseille is relatively small. For example, a square meter in the 15th arrondissement costs 2,260 euros. In the 6th arrondissement of the Phokian city, a square meter costs an average of 3743 euros, in the 8th – 4629 euros.

The city is at the center of several development, in particular Euromed and the 2024 Olympics. Real estate prices are expected to rise in the coming years.

Marseille offers a gross margin that reaches 8% versus 6% 15 years ago. Cost-adjusted net margin is 4%. To optimize the return on their investment, investors often turn toold real estate, small areas and shared living.

As partinvestment in real estate, it is interesting to give preference to certain areas, in particular the areaOpera, districtbusiness Joliette, 1st arrondissement which attracts students, 4th arrondissement which is residential or 5th arrondissement which offers an attractive quality of city life. And othersConversely, certain areas of the city should be avoided. It is often pleasant to consult a specialist inReal estate in Marseille.