Yet the concrete gold to participate, many investors assume have tempted is, that foreign direct investment is reversible at any time through a sale. It is often overlooked that a private investor for a sale before the end of the statutory period of ten years must pay tax on the profit with the full personal tax rate. Also consume substantial transaction costs both at the time of purchase and sale on the return. This is particularly true if the property is held only in the short term. A short-term commitment of real estate is not to be recommended. Another factor is the fear of the savers.
Many investors are now willing to invest to make their savings crisis-proof, not taking into account return aspects in real estate. This often basic criteria such as the location of the object completely out of eight are allowed. Due to the general insecurity, as well as the selective media perception, many investors close therefore their eyes often profitable closed Real estate investments. Little attention is also the diversification of risk in this approach. By purchasing a single real estate investor, sets to put it figuratively, all eggs in one basket.
Closed real estate funds, on the other hand, the use of capital can be handled flexibly. Minimum drawing buzz allow even a partial participation in real estate usually 10,000 euros, so that an investor can diversify his savings across multiple asset classes across further. A closed-end real estate funds can also participate in several and different properties at the same time and thus reduce the risk. Also eliminates the sometimes necessary inclusion of very long-term personal loans to finance real estate. A closed-end real estate fund allows the pooling of many investors, so attractive and steeped in return on real estate can be purchased, which are typically out of reach for individual investors. In addition, when compared to a direct investment, professional fund management facilitates the falling Substantial administrative overhead. Of course, even an investment in closed-end real estate funds like any corporate involvement is not entirely free of risks. So, investors should always thoroughly scrutinize the essential statements, data, and projections of the Fund and on plausibility check. Should be the results in accordance with the established investment criteria for acquiring real estate, closed-end real estate funds can provide quite better financial results than a direct investment”, the AAD Fund discount, Marco Otter leg, runs the Managing Director. About the AAD Fund discount GmbH and the AAD Fund discount blog AAD Fund discount GmbH is an independent fund placement firm based in the university town of Marburg. It offers investors the opportunity to acquire more than 9,000 mutual funds and virtually all closed-end funds at discount rates without subscription fee. In the AAD Fund discount blog blog.aad fondsdiscount.de are current as well as basic questions to the Topics of closed-end funds and investment funds picked up and illuminated in economic and legal terms.