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The magic of a luxury real estate - the most beautiful real estates in Germany and Europe
Who does not like to be enchanted by luxury. Everything which is beautiful and expensive counts to the luxury, whether car, boat, jewelry, furs or villas and apartments. It is all a question of money, for those who do not have it.
There are beautiful properties all over Europe, but they are not always luxury villas or luxury properties at all.
What distinguishes a luxury property? The construction, the size and above all the location and the size of the plot. In terms of construction, you have to distinguish between a modern architectural style and old
mansions, patrician houses and castles. In the residential complex area between apartments and
penthouses. Whether forest property or water location, combined with the geographical location of the properties, the price is very decisive for the word luxury.
Each country offers preferred locations for luxury real estate. Very many properties are not even for sale, because the land has been privately owned for generations and can only be inherited. In every city in Germany there are preferred locations for luxury real estate, in Hamburg it is the Alster and the Elbe, which is one of the most expensive property locations with the corresponding villas. In Berlin the Wannsee and in the area Baden Baden the Black Forest with a dream setting. Top luxury villas have their special charm on the water, whether inland lake, river or sea. Even in the new federal states at the Müritz Lake, Schwerin Lake and Usedom can be found luxury real estate that from old manor houses, manor houses and castles meanwhile
shine by complex reorganization measures in a new gloss.
South of France: On the whole Cote d' Azur, just behind Monaco starting to St. Tropez and further, embedded in the sea panorama and mountain panorama, there are super landscaped parks and the most beautiful luxury villas you can imagine. In this area, property sizes up to 60,000 square meters are not uncommon, from which a view of the Mediterranean Sea or the Maritime Alps is and remains a real dream. Many of these properties are surrounded by high hedges and are maintained by their own garden staff. In this geographical section of the Cote d' Azur, luxury apartments have also been built over the years, ranging in size from 200-600 square meters.
Large glass fronts in connection with the associated terrace give the view of the Mediterranean Sea from its most beautiful side. St.Tropez, a picturesque small town on the Cote d' Azur, has by converted old houses or farms to luxury real estate, a special charm by the many vineyards in the area Ramatuel. Here, the old style of the original houses has been preserved to architecturally adapt to the countryside. In many cases, the view of the Bay of St. Tropez is blocked there by the harmoniously framed vineyards.
An island with probably the greatest interest in luxury real estate is currently the Balearic island of Mallorca, still 35 years ago as a housewives island frowned upon, were built in the last 10 years there very many luxury villas in the area Port Andratx, Santa Ponsa, Costa de la Calma and Sol de Mallorca. In contrast to the south of France
it concerns on Mallorca more around again-built, modern or in the country house style established mansions, with property sizes of 2000-15.000 square meter. Exceptions confirm also here the rule. If the land price was 30 years ago still at 20,000 DM, the current land price with villa is on average 1.5-10 million euros.
England/ London: Beautiful old luxury real estate, located in the areas of Mayfair, Kensington and Chelsea
are currently experiencing a price drop due to the real estate crisis in the British market. Above the 10 million euro mark, however, the price drop is hardly noticeable, if at all. Still here are with the most expensive townhouses and apartments Europe-wide in the offer.
What is a luxury property?
Apartments are characterized by the size of the apartment, combined with luxurious ambience in designer look and large glass fronts, in excellent locations of a city. You can recognize a luxury property by its price.
What is a luxury villa?
A luxury villa or mansion is an estate in a 1 A location with 400- 1000 sqm living space.
and a property size of 3000- 8000 sqm, if the object is located in a city, otherwise there are no limits. Of course, the house is thoroughly renovated from the basement to the floor, according to the wishes of the owner of the house.
The luxury real estate as a capital investment: Valuation, value development, added value
Every country and every city is home to luxury real estate. How do I determine that it is a luxury property? First of all by the price! Not only the property, but also the land will be
measured according to supply and demand. Since luxury real estate is not exactly mushrooming, the decline in value of such a property is very low. It is similar with the absolute filet properties worldwide, they do not grow again and therefore each of these properties is individual and unique.
In addition, there is the location. Popular locations for luxury real estate are properties on the lake, sea, mountains and forests, of course in Germany also on the Rhine, Moselle, Danube, to name a few.
The valuation of a luxury property:
In Germany, 10-12,000 real estate agents take care of the sale of a property. To obtain an approximate estimate of the property, one commissions a building expert. The estimated value of the property
is subject to the local prices of neighboring houses and land, which in the case of a plot of land means the price per square meter. Similarly with the houses, only here the size condition and house type, must be consulted for the valuation. Also the building substance is crucial and is examined by the expert, who is usually civil engineer or architect, from the cellar to the soil. The internal values of a building, such as marble bathrooms, exclusive kitchens and fixtures, are also included in the valuation.
If the luxury property is to be rented out, a so-called capitalized earnings value method is used to determine the value of the house. The rent calculated from this is binding for tax purposes.
and adjusted to the local prices. Even in the case of luxury real estate, a building expert should always be consulted to determine the value, as otherwise hidden defects can considerably increase the actual purchase price. The costs of an expert are very low. With a market value of 10.000.000 € the costs amount to approx. 10-11.000,- €.
The value development: As is well known, we are moving further and further away from the middle class, which is divided into a lower class and upper class. In the upper class, capital is constantly growing, resulting in a constant demand for expensive luxury goods such as jewelry, cars and real estate. Since one cannot assume assembly line goods with inland like foreign real estates of the elevated class, but it concerns almost exclusively partially very rare and singular objects, these luxury real estates will rarely lose value.
The luxury real estate as a capital investment:
A castle, manor house or patrician house in a renovated top condition from the turn of the century with an
park-like property in a unique location will never fall victim to a price decline. With these luxury real estates also the individual collector price plays a role which can drive the price of the real estate up. Once the price has settled because, for example, a star from sports, radio and television has also purchased a property in the neighborhood, or already owns, the surrounding luxury properties will also
of it partifizieren and a profit increase of 1-2 million reach. This is called supply and demand.
Another way of a real estate value investment is the feeling for newly developed building land on island groups
or at the water convenient properties of an appropriate size. Here it is not important that luxury real estate is built there, but whether there is a trend to this area. For this purpose, the infrastructure of the country is very important and the criminal properties there. On the island of Rügen one also once assumed:" Here arises the second Sylt." It has never become and will never become. Who has bet 30 years ago on Mallorca has become rich with security. Because there the prices have increased by up to 100%. It is to be waited also again and again like long a trend holds itself. The island of Sylt has not been dependent on any trend for ages. Who acquires a property there perhaps with a little luck at a good price, will never have to worry about the sale of this property and certainly achieve an increase in profits.
Conclusion: luxury properties are not automatically good investments because of their price. New construction, old building, location,
City and country, as well as a certain trend in the direction of the property, can be decisive for a capital investment of luxury real estate.
Tax and legal specifics: "And no matter how expensive the luxury property is, it must be off the tax".
The trend for luxury real estate is unbroken, on the contrary, the demand for such real estate in ever higher luxurious equipment is increasing tremendously. If New York was nevertheless once outrider for sinfully expensive Penthouse dwellings, the trend establishes itself at present also in Germany. The fiscal legal situation is very different in Europe and worldwide. For each individual country, therefore, the legal situation of the country must be clarified. For this purpose, specialist books and lawyers whose special field includes the real estate market are suitable.
The legal situation is similar. In Germany, the land issue, whether farmland or building land, must be clarified. The development is a state matter, here an insight into the land registry is necessary, as well as a view into the development plan drawn for the land area. If it is a luxury apartment in a high-rise building, the height of the houses should be viewed in the development plan.
For foreign real estate, these matters are often handled by the mayor's office. Responsible for the
Development plan, however, can be the state capital. It is quite important to consult the construction plans of the country,
otherwise the rule can easily apply:" Ignorance does not protect from punishment" and the construction is in the worst case
demolished. In the case of luxury real estate, the question is whether the type of property fits into the landscape.
This is to be settled with the respective building authority. The supply connection of water, sewerage and electricity, possibly also gas must be clarified. These formal legal matters have, of course, with exceptions, also
In the case of a luxury property of older construction, an evaluation of the building fabric and the property is indispensable.
to detect any defects, which can easily reach a six-digit amount. Land register excerpts provide information about any encumbrances on the house or land. The calculation of the construction defects and the resulting sum, must be added to the purchase price, if the repair work is in a timely connection with the purchase of the property, in order to be able to write it off in the long term over years, which however leads to a burden on the tax benefits.
The clientele of luxury real estate buyers can be attributed for the most part to income taxpayers.
can be attributed. Here it is mainly about the luxury real estate via the depreciation as expenses
tax deductible, so that the book loss does not lead to an actual loss. In other words, here the depreciation is higher than the actual loss in value. Furthermore, a new higher depreciation rate for newly built real estate has been in effect since January 1, 2006. Since then, the depreciation rate is 2% per year.
Exceptions are listed properties, here higher special depreciation rates apply. Such
tax breaks provide an interesting financial basis for many investors and owner-occupiers, especially in the case of
in the area of luxury real estate, because this also includes castles, manor houses and stately homes. Their renovation costs can run into the millions, so an increased special depreciation is worthwhile.
However, the monument authorities make relatively high demands on the investor. Sales tax does not apply to the purchase of such properties, unless the property is used commercially or privately, so that it is a taxable object.
An important tax is the real estate transfer tax, a tax that is determined by the amount of the assessed purchase price for the land and house and is certified by a notary.
In the case of luxury real estate, it is highly advisable to prove professional competence or to take care of it, since sums of up to 20 million are not uncommon in this price segment. Investors who have a budget of this magnitude are eligible for real estate offered worldwide. In this case tax write-offs are to be clarified with a specialized tax advisor or the tax office.
The most important thing abroad is still the question of ownership, the development area and the type of development.
Otherwise, it is of little use if the property is located in a nature reserve or if the state/municipality does not provide for the development of the property and there is no electricity connection far and wide.