Investing in Real Estate Doesn’t Need to Be Hard

Financial markets, and in particular the real estate sector, are currently booming across the globe. Especially in Europe, where many citizens prefer safer assets over highly volatile investments such as stocks or cryptocurrencies, investors are fiercely fighting over property in both small and big cities.

According to the latest available number, the German real estate market drew investments close to 25 billion Euros between September 2020 and September 2021. Such a large market has its nuances and intricacies, often making it difficult to understand how these investments work. Immocation, a Munich-based young company, aims at making this understanding easier to process.

In our interview, Immocation CEO Alexander Surminski explains his company’s business model and why it is worthwhile to invest in real estate, especially during inflation.

Immocation is a young company that positions itself as an entity that combines real estate with education. What exactly do you imply through this proposition?

Real estate is often seen as an exclusively old-age arrangement. We, at Immocation, want to change this perception towards real estate investments. We firmly believe that as many people as possible should deal with real estate at a young age.

To us, it is one of the most sensible future-looking investments that you can make. But to make an efficient investment, you need to know all aspects of the real estate investment better. And, that is what we offer you at Immocation.

In executing our vision on the ground, we leverage available digital avenues judiciously. Our explanatory videos on YouTube reach almost 160,000 subscribers regularly. We also have a vibrant Facebook group, and our network is spread over fifty cities across the country.

Once someone decides to invest in real estate, the next step is to etch out the management roadmap as efficiently as possible. On our platforms, we regularly experience lively discussions around topics like old-age provisions, additional income streams, and asset growth.

What types of investors do you come across most frequently through your platforms?

For the ease of reaching out, we have categorized our investor population into three broad target segments.

First, there are the Pension Providers who prefer to see real estate investments as provisions for old age with one to three rented condominiums.

For Hobby Investors, the aim is to become financially independent. This segment of investors holds more than ten apartments or apartment buildings in their portfolio. The final category of investors comprises people with high ambitions and high risk-taking capabilities. These investors want to delve deeper and invest heavily, even at the cost of giving up their primary job.

What are primary offerings to these investors?

Our most common offering that reaches out to the majority of private real estate investors is our free knowledge transfers through a wide range of digital and physical avenues. Moreover, for those who want to take real investments more sincerely, we offer a six-month training program. Apart from the topics that I’ve already mentioned, investors can also receive further training from us on topics like taxes and more.

Tell us a bit more about your teaching resources

We have a highly experienced and skill-wise balanced team of twenty experts that includes investors, lawyers, tax advisors, appraisers, and former bankers. We keep tracking the market daily, talk to investors and help them change their lives with worthwhile investments in the market.

Why do you think an investor should prefer real estate over other instruments, such as stocks or bonds?

I don’t see real investments as preferential choices that have to compete with other available financial instruments. At the end of the day, real estate is a distinct asset class. You can use it as collateral to get loans from the bank. Moreover, you can pay your installments from the income generated through rents collected on the same asset.

Real estate assets serve as stable havens when you have high inflation in the economy. We believe that real estate assets or investments can sustainably co-exist with other financial instruments as long as you know how to manage the risks intelligently.

Why do you think inflation has a noteworthy impact on the real estate industry?

Property prices rise with rising inflation while reducing the debt burden. Owning these tangible assets is always better – therefore – compared to saving.

What could be the worst-case scenario for property owners under the current market conditions?

I do not see one particular horror scenario. There are two types of risks that you might face. The first ones are those that you can influence, while on the second type you won’t have any control. Therefore, it is always prudent to not overestimate your limits and become over-indebted.

Take a solid approach to gradually build your assets, tackling external factors such as changing rates of interest and other similar ones with caution and care.

Financial markets, and in particular the real estate sector, are currently booming across the globe. Especially in Europe, where many citizens prefer safer assets over highly volatile investments such as stocks or cryptocurrencies, investors are fiercely fighting over property in both small and big cities.

According to the latest available number, the German real estate market drew investments close to 25 billion Euros between September 2020 and September 2021. Such a large market has its nuances and intricacies, often making it difficult to understand how these investments work. Immocation, a Munich-based young company, aims at making this understanding easier to process.

In our interview, Immocation CEO Alexander Surminski explains his company’s business model and why it is worthwhile to invest in real estate, especially during inflation.

Immocation is a young company that positions itself as an entity that combines real estate with education. What exactly do you imply through this proposition?

Real estate is often seen as an exclusively old-age arrangement. We, at Immocation, want to change this perception towards real estate investments. We firmly believe that as many people as possible should deal with real estate at a young age.

To us, it is one of the most sensible future-looking investments that you can make. But to make an efficient investment, you need to know all aspects of the real estate investment better. And, that is what we offer you at Immocation.

In executing our vision on the ground, we leverage available digital avenues judiciously. Our explanatory videos on YouTube reach almost 160,000 subscribers regularly. We also have a vibrant Facebook group, and our network is spread over fifty cities across the country.

Once someone decides to invest in real estate, the next step is to etch out the management roadmap as efficiently as possible. On our platforms, we regularly experience lively discussions around topics like old-age provisions, additional income streams, and asset growth.

What types of investors do you come across most frequently through your platforms?

For the ease of reaching out, we have categorized our investor population into three broad target segments.

First, there are the Pension Providers who prefer to see real estate investments as provisions for old age with one to three rented condominiums.

For Hobby Investors, the aim is to become financially independent. This segment of investors holds more than ten apartments or apartment buildings in their portfolio. The final category of investors comprises people with high ambitions and high risk-taking capabilities. These investors want to delve deeper and invest heavily, even at the cost of giving up their primary job.

What are primary offerings to these investors?

Our most common offering that reaches out to the majority of private real estate investors is our free knowledge transfers through a wide range of digital and physical avenues. Moreover, for those who want to take real investments more sincerely, we offer a six-month training program. Apart from the topics that I’ve already mentioned, investors can also receive further training from us on topics like taxes and more.

Tell us a bit more about your teaching resources

We have a highly experienced and skill-wise balanced team of twenty experts that includes investors, lawyers, tax advisors, appraisers, and former bankers. We keep tracking the market daily, talk to investors and help them change their lives with worthwhile investments in the market.

Why do you think an investor should prefer real estate over other instruments, such as stocks or bonds?

I don’t see real investments as preferential choices that have to compete with other available financial instruments. At the end of the day, real estate is a distinct asset class. You can use it as collateral to get loans from the bank. Moreover, you can pay your installments from the income generated through rents collected on the same asset.

Real estate assets serve as stable havens when you have high inflation in the economy. We believe that real estate assets or investments can sustainably co-exist with other financial instruments as long as you know how to manage the risks intelligently.

Why do you think inflation has a noteworthy impact on the real estate industry?

Property prices rise with rising inflation while reducing the debt burden. Owning these tangible assets is always better – therefore – compared to saving.

What could be the worst-case scenario for property owners under the current market conditions?

I do not see one particular horror scenario. There are two types of risks that you might face. The first ones are those that you can influence, while on the second type you won’t have any control. Therefore, it is always prudent to not overestimate your limits and become over-indebted.

Take a solid approach to gradually build your assets, tackling external factors such as changing rates of interest and other similar ones with caution and care.

Source: https://www.financemagnates.com/thought-leadership/investing-in-real-estate-doesnt-need-to-be-hard-says-immocation-ceo/