10 years ago, Célia has a NEWS 100,000 euros And wonders how to invest it. “I did some investments on the stock market, which did not prove to be very happy”entrusts this Parisian project manager to Capital. Having reimbursed the credit contracted to finance the purchase of her main residence, she then thinks of investing again in real estate, on a rental basis this time.
“I was 50 years old, I shouldn’t see too much to ask for a credit, it would become more complicated with age”she explains. In 2015, Célia buys a studio 18 square meters in Paris, not far from her house, between the Grands Boulevards and Montmartre, “Full of charm” But to renovate, at a price of 165,000 euros. The bank lends him this sum and Célia finances on her own money some 50,000 euros in notary fees and works.
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Net profitability of 3.5%
This studio, she renovated and developed it as if to live in it, by calling on an architect. “I had solid parquet installed, we optimized the space as much as possible by installing a lot of cupboards and equipment such as a drying washing machine, plumbing and electricity were completely redone and I bought high-end furniture”she says. It must be said that Célia had an idea behind her head: rent her studio via a real estate agency specializing in luxury goods, for a monthly rent of 1,000 euros ICC charges, which covers the payments to reimburse the credit.
An intermediary whose cost “Strike certainly a little profitability” of his investment, of the order of 3.5% netbut Célia does not regret anything. “The agency knows how to find the tenants and check their solvency, so that I have zero rent of rent and zero rental vacancy”welcomes the one who has “Make nightmares” In its beginnings as a rental investor, “Not sure of (sound) and dreading to be ruined”.
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1,500 euros in net income per month once the credits have been reimbursed
This first investment worked so well that Rebelote, in 2017, Célia buys a second studio, of 18 square meters also and in the same arrondissement, but at 175,000 euros. “Prices had set up in two years but, at the same time, credit rates had dropped”she recalls. Today, these two goods give him a total of “23,000 to 24,000 euros in gross income per year”between 1,900 and 2,000 euros gross per month. “When I have reimbursed both credits, my investments will bring me around 1,500 euros net per month“, Calculates Célia.
Certainly, rental investment is not easy. Even by joining the services of a real estate agency, “It is time -consumingespecially in terms of accounting ”Confess Célia, who sacrifices some evenings and holidays there. For example to solve the problems of tenants who complain about the noise of the bar located on the ground floor, or to carry out energy renovation work in one of the studios, the climate and resilience law of 2021 gradually prohibiting the rental of thermal colanders. “But we have nothing without anything!”estimates Célia, philosopher. And add: “If I had invested elsewhere than in real estate, a bank would never have lent me more than 300,000 euros!” Yes, unlike other investments, real estate is the Only asset that can finance on credit.
If, like Célia, you are a happy rental investor, despite the management of rents, energy renovation obligations and other regulatory developments, do not hesitate to testify in turn, anonymously if you wish, writing to us [email protected].
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