Investing in real estate can take on several dimensions, all of which can be combined in a portfolio in search of asset diversification. But how to approach the new year 2023? Let’s take a look at the ways to build a solid and profitable real estate portfolio, according to your objectives. If there are tax exemption schemes in the framework of classic rental property investment, the advantages of investing in stone in a different way are not to be disliked by investors in search of quick profitability.
Table of Contents
1- Additional income ;
The paper stone, or Société Civile de Placement Immobilier (SCPI) is a way to invest in real estate without having rental management. You trust a professional manager, who takes care of selecting interesting projects, ranging from the construction of real estate to commercial or residential leasing. Investment horizons are generally 5 to 10 years, but liquidity is not good, which means that you should not want to get your money back before the dissolution date of the fund.
This type of collective investment has been popular for many years, as it allows individuals to invest in real estate and benefit from the wealth management of their assets. Moreover, it is a relatively low-risk investment project if you choose the right civil company. From 1 000 €, you can consider investing. Regarding the profitability to be expected, count between 3 and 6% per year (rents paid quarterly), depending on the management company and the occupancy rate of the properties to be rented.
2- The rental investment :
The Pinel scheme is ideal for investing in new property, while benefiting from a tax reduction, depending on the number of years signed for the rental of your property. You can either buy a new apartment or a VEFA (Vente en l’Etat Futur d’Achèvement). At the same time, you must commit to buying a property to invest, not to live in.
The property must be rented out as a principal residence, without furnishings (bare rental), for a period ranging from 6 to 12 years. Note that the overall income of the occupants’ tax household must not exceed a certain ceiling, as well as the rent setting.