Location of the Rhine-Main region

Among the most famous cities in the region are Frankfurt am Main, Wiesbaden and Mainz. But also small towns like Eltville, Ingelheim, Bingen am Rhein and are internationally known, especially through tourism.

More and more investors are taking notice of the region.

Why, actually?

On the one hand, many companies from the financial sector are moving to Paris and Frankfurt am Main since Brexit. Frankfurt can be reached from most cities in half an hour. In addition, the popularity with Asian investors is increasing when they are looking for investment properties in Germany. The increased interest has many factors, tourism is creating awareness, including through new media, as is the increased interest in fine wines. The Rhine-Main area is one of the wine growing regions in Germany.

The Rhine-Main region is located in the south-west of Germany and runs mostly through the states of Hesse and Rhineland-Palatinate. As seen here on the map:

Germany as an investor imagines it

For visiting investors, I would like to recommend the following, if circumstances permit: A short drive, along the Rhine. By car or even via train. Very few people take the regional train on a daily basis. But if you, as a real estate investor, take the time to take the regional train, for example from Koblenz to Bingen, you will pass picturesque places that you would otherwise not see.

Vineyards, castles, real estate in prime locations

The entire route leads along the Rhine. You drive along the river, between the mountains, from town to town. On the mountain tops there is a castle every 5 minutes. It was hard for me to take my eyes off the panorama on the first, and also on the second ride.

Between the small towns, villages appear every two minutes in the mountain slopes, with real estate in the slopes, down to the course of the river Moselle. And again, on the mountain top is a magnificent castle. On the Rhine, exactly the same picture. An absolutely picturesque region. Rugged cliffs, viticulture, welcome to the Rhine-Main area.

On the mountain slopes are houses, apartment buildings and the one or the other more magnificent estate. Equally much represented is the hotel industry, through international tourism.

Strong demand: location, economy and advantages

In this area, it is difficult for investors to get properties in need of renovation. Because, not only Germans and Europeans invest here anymore. Chinese investors are also looking for special objects and properties. In particular, the growing preference for wine in China and Asia in general, provides for the increasing attention of the region, beyond the borders of Europe.

Picturesque countryside, healthy nature, many small towns and large metropolises such as Frankfurt, barely 30 minutes away. In addition, the always strong tourism, the proximity to economically strong regions (NRW, France) and Chinese players. In addition to these advantages, there is also the shipping, which is an attraction for locals, for tourists, but shipping also flushes money into the coffers of the municipalities.

Advantages at a glance

Of course, I can only give you a very small glimpse of the region in this article. But if you were to ask me how I would sum up the region, it would be like this.

Advantages: Real estate in the Rhine-Main region

• Picturesque region, healthy nature
• Small towns and close to Frankfurt am Main
• Proximity to economic areas such as NRW, France
• Thriving international tourism (stable for decades)
• Shipping

Real estate portfolio: little space, efficient construction

If we talk specifically about the closer location on the two rivers Rhine and Main, then the majority of the real estate stock consists of semi-detached houses and smaller apartment buildings. Space is very scarce here, due to the rugged mountains that stretch upwards, especially in the Moselle and Rhine valleys. On the edges, the very long, shoreline cities, are isolated single-family homes.

In fact, the space between the bank and the rocky outcrops is often very tight. Sometimes there are only a few meters between the river and the steep rock face. The rock faces reach 50 to 80 meters high, partly vertical.

This is what makes the region so unique.

Large cities nearby: Culture and economy

Besides the many small towns and villages, right on the riverbanks, there are a few interesting cities in the region, each with its own charm.

Frankfurt am Main

Important and the first to mention is Frankfurt. The banking metropolis has always been one of the strongest regions in Germany and even Europe. To the banks comes one of the largest airports in the world. Frankfurt Airport is an international hub, with hundreds of take-offs and landings every day. Add to that the many cargo planes arriving from all over the world. Frankfurt is also a trade fair city and holds some of the largest trade fairs in Germany, such as the IAA (International Motor Show), XY and XY.

Advantages of Frankfurt am Main:

• Banking city, financial company and industry
• International airport, one of the largest in the world
• International trade fair city with flagship trade fairs in Germany

Buy and sell real estate in Frankfurt. Here we have a deeper insight into the real estate market of Frankfurt. From condominiums in the banking district to villas in more upscale neighborhoods like Frankfurt Altstadt, Westend-Süd or the Gutleutviertel.

• Real Estate Frankfurt
• Real estate for sale Frankfurt
• Living in Frankfurt

Frankfurt Map: City and Location

Wiesbaden

• Wiesbaden

Wiesbaden Map: City and Location

Mainz

• Mainz

Mainz Map: City and Location

Bingen am Rhein: Investing “in the countryside” (Tip for Frankfurt residents)

Capital investment new building Bingen – You are looking for an attractive capital investment near Frankfurt, Mainz & Wiesbaden. Welcome to Bingen on the Rhine! Take advantage of the current interest rate situation and invest now in the Rhine-Main region. In a central location with a fantastic view of the Rhine and the Rheingau, 25 modern and bright condominiums will be built in the usual high quality. From the cosy two-room apartment with approx. 66 m² of living space to the spacious four-room apartment with approx. 152 m² of living space, this exclusive residence offers the right property for every situation in life. The immediate proximity to the river as well as to several parks and local recreation areas combined with excellent transport links make the Rheintal Terraces so unique.

• Bingen on the Rhine

Real estate prices: Mainz ahead of Wiesbaden

Question: You are mainly active in Mainz and the surrounding area as an investor and financial advisor in real estate. In your opinion, what is the development of the real estate market in the region around Mainz?

Meanwhile, rents per square metre and also purchase prices for the residential square metre in Mainz are higher than in Wiesbaden or Cologne, for example. I think that says it all. In terms of rents, the €10 mark was cracked as the average rent per square meter at the beginning of 2019. When it comes to buying a condominium, Mainz is currently averaging just under €3,600 per square meter, about €10 more than its neighboring city. Everyone knows that the situation between Mainz and Wiesbaden is about the same as between Cologne and Düsseldorf. A mostly loving competition.

From the perspective of real estate buyers, especially those who want to use their property as an investment, this is a great development. There are serious statistics that predict a six-figure profit after 25 years, especially for the purchase of a non-owner-occupied condominium. Of course, you have to ask yourself what that’s due to.

Wiesbaden in comparison

In Wiesbaden, I think it can be said without envy, the premium sector is still in the foreground when it comes to real estate. So more or less luxurious houses and apartments at the corresponding prices. As a rule, these are also lived in by the residents themselves. In Mainz, on the other hand, there are numerous new large-scale housing projects. Most of the time it is also about upscale living, but certainly only rarely about luxury. I would mention the new residential area at the harbour, or the “Heilig-Kreuz-Areal”. Especially on the waterfront, living is very attractive. There are many people who compare this new quarter directly with a location in Nice – no joke!

These apartments are being built mainly because word has got around for workers from the Frankfurt area that it is good and – compared to Frankfurt – cheap to live in Mainz. This increases the demand for living space and also the price. If I now begin to speculate a little as to why this is better for Mainz than for Wiesbaden, I will say: Mainz is larger, more modern, perhaps also a little more lively and dynamic than Wiesbaden. But as I said, this is real speculation. It is based on what my customers tell me when they give reasons for buying in Mainz in particular.

• Read more: Investment Wiesbaden

Everyone can count on it: online tools for the real estate market

Question: Which Internet sites and offers are there for real estate investors, which are also useful and usable from the point of view of an expert? What do you think about the online loan calculators?

I’ll start with the loan calculators: I can’t see anything being done wrong there. That’s why I won’t recommend any computer in particular. The calculators of Stiftung Warentest or a reputable online newspaper are certainly not suspicious with regard to hidden forwarding of the user’s data. Basically, such an online calculator can only be an initial source of information. For example, for my question, what I have to pay monthly for my real estate loan with regard to the interest and repayment rate. I can also go about it the other way round and ask: if I have a sum x available each month, what loan amount can I afford to buy a flat?

On the other hand, I don’t know of any loan calculator – not even that of a financial institution – that calculates the interest rate I have to pay for my loan in view of my equity and other collateral. That is always a matter of personal discussion with the bank. That’s why calling up and using various loan calculators on the internet doesn’t help. The best loan calculator with the most accurate information and the safest result for me is still the conversation with the financier himself. You should be quiet from different banks give an offer. There are sometimes really spraybare differences in the interest rate offered.

Among the otherwise best-known websites for real estate investors are the well-known real estate portals. Here, too, I can neither recommend nor discourage. Who is seriously interested in buying a property, should always register at the same time on several portals. Because not only private people as salesmen of real estates, also brokers often have preferential portals. That leads to the fact that I find on different Internet sides also different real estate offers. I recommend besides to announce itself on the homepages of respectable real estate agents. About newsletter one always learns very promptly what is happening in the desired real estate market.

Anyone thinking about real estate as an investment naturally wants to know what return their property will yield. In other words: how much money will I earn with my investment? For this purpose, there are of course many tools on the Internet. The yield calculators for real estate are usually linked to a real estate agency or financial institution. This is not a disadvantage, you should just know it. Because the vast majority of online calculators for property yields can not take into account every detail of the property. That is why it is always much better to get an overview via the online calculator in order to then seek a personal discussion on the basis of a real property.

Not all returns are the same! What you should pay attention to when buying real estate.

Question: How do you calculate the rental yield of a property?

There are different methods. But first of all: why should a real estate investor even think about a yield calculation? The answer is quite simple, because only by a yield calculation I can compare a real estate investment with another investment in its value. In addition, different properties also have different yields. Just because I like an apartment or a house, it is not necessarily a good investment. With a yield calculation, properties in different locations and regions can be compared with each other. An example: if you absolutely want to buy a property in Mainz for investment purposes, you may quickly notice that it may be better to move to the surrounding area. For the same money you often get “more” property and a higher return.

But now to the different calculation methods. Let’s start with a basic decision as to which yield is meant at all when a real estate agent claims that the property has a yield of xy%. For example, in the case of the gross yield, only the purchase costs and incidental acquisition costs of the property are calculated against the rental income. In the case of the net yield, the running costs for maintenance, administration and taxes are also included in the consideration.

Yield calculator: An example

Return on equity – also a frequently used term: here the interest that I may have to pay for a real estate loan is included in the current expense of the net return and put into relation with the amount of equity used for the real estate purchase. If interest rates are low – as they have been for years – the interest item in the calculation is very small, and the return on equity is then naturally correspondingly high. By the way, repayment amounts or increases in the value of the property are not taken into account here. This is especially important with regard to the repayment, because by repaying the loan I increase step by step – like in a piggy bank – my equity. With regard to the income from the apartment, if the rent does not increase, my income and my return on equity would decrease. Conversely, the increase in value of the property also means an increase in equity. This would show up as an increase in yield if I can sell the property at a profit or – for example when buying another property – give myself an interest rate advantage when financing by mortgaging the first and now more valuable property.

I admit that these are already very detailed calculations. For the beginning, the pure property yield is sufficient. Here it is pretended that the property is paid completely from equity. All incomes and expenditures to the object are seized and with the purchase price in the relationship gestzt. So I can easily calculate the pure return of the object.

Finally, a very important aspect must be taken into account when calculating the return: namely the investment period! Real estate returns should also be calculated over a period of at least 10 years. Here, the development of rental income, but also an increase in value are included in the calculation. Maintenance costs over the years must also be included. Here, at the latest, you need either very good market knowledge of your own or the advice and knowledge of a good expert.

As a rule of thumb, I’ll conclude with this calculation: If you paid about 25 times the net annual cold rent for the property when you bought it, you can multiply the corresponding rental income by 25 again after an imaginary period of 10 years and an average rent increase of about 1% to calculate the value of your property in ten years. If I also include about 20% of the rental income for maintenance etc., I can again apply my yield calculation from above for the scenario ten years later.

Not everything shines here: gold as an investment

Question: Gold has long been a popular investment. Please explain to our readers three reasons for and against gold as an investment.

I can do that – I think – very briefly: If you are afraid of a total currency crash, you should buy gold for your money. Because gold will always have a certain value due to its limited occurrence.

But that is all that speaks for gold as an investment from my point of view. In the long term, gold is exposed to much higher fluctuations in value on the capital market than many shares or equity funds. The second reason against gold as an investment is that gold is traded in dollars. So with gold I not only have to assess the performance as such, the exchange rate between the dollar and the euro is also important. For example, if gold has appreciated in value, a weak exchange rate can have a much smaller impact. Thirdly, I need to store gold either in a bank deposit, or very securely at home. Both of these incur costs. After all, only about 16% of the population say gold is a good investment to build wealth. A property to rent out is trusted by 27% to be good for wealth planning. I can only agree with that.

My conclusion: If you want to avoid short-term capital market weaknesses, you are welcome to invest in gold for a limited period of time. In the longer and long term, there are much more valuable forms of investment. By the way, this is also what consumer protectionists say.

You can find more statistics at Statista

Question: In your experience, which three investments are the best?

There is certainly no such thing as “the” best investments. Because the investment must always fit the individual and his goals. One investor is looking for maximum security, while another has no problem with risk and loss. Then there are people who literally want to see what they have invested their money in, which again other investors do not care at all.

At least for all people who want to see where their money has gone, real estate is the best form of investment. If you do it right with real estate, you also have a stable and decent performance. And finally, I can also live in my investment myself later on.

On the other hand, if you are not afraid of the big risk, you can invest your money in commodities or rare earths, for example. At some major banks and also on the consultancy market, there are people who know their stuff quite well. As I said, it’s not for the faint-hearted and, by the way, it’s also an investment that should run for a little longer.

For pure security fanatics who would rather do without spectacular profits, there are funds whose profit is capped, but which are also protected against loss. But there we are actually quite close to good real estate again.

Mainz offers big city life with small town charm

Question: In your experience or that of your clients, what is the quality of life like in Mainz? Which sights and events make the city attractive for tenants and investors?

Mainz is a big city with the charm of a lovely small town – at least that’s what everyone who loves living in this city says. By the way, I also think that you don’t notice the city’s 220,000 inhabitants. This is certainly also due to the fact that the individual districts of today, such as Mombach, Gonsenheim, Hechtsheim, etc., have retained their own character. After all, they were all once independent communities. But even in the inner city, you’re not beaten to death by high-rise buildings, wide street aisles or anything like that. There is a cosy old part of town with a lot of half-timbered houses and other old, well-proportioned buildings around the cathedral. The cathedral itself is of course not a museum, but a lively inner city church.

That the location of the city is something special, knew already the Romans. Until today, the Roman theatre has remained as a witness of this time. Somehow, everything in Mainz has remained quite moderate. Although Mainz has been playing in the first Bundesliga for years, the new stadium at the gates of the city near the university is not a giant arena. Mainz is a university town. And that includes – in addition to a thriving and loving pub scene – a correspondingly large cultural offering. The municipal theatre is a well-functioning three-part house that is known beyond the city limits.

Sure: and then there is the carnival, pardon: Fastnacht – as the Mainzers say. Without “Weck,Woi, Wurscht” – i.e. bread rolls, wine and sausage – one survives neither the “Fassenacht” nor city life in Mainz at all. Whether this culinary triad already existed at the time of Johannes Gutenberg – who lived and worked in Mainz – I don’t know.

Demand exceeds supply: Real estate in Mainz

Question: Which real estate is currently the most popular investment in Mainz?

Actually, all types of real estate that the market offers. From single-family homes on the outskirts of the city to old or new condominiums and apartment buildings, and even office properties in the city centre or one of the many business parks – Mainz offers something for every anal desire. As everywhere, it’s a question of price and that depends not only on location, condition and age but also on the overall offer. No matter what it is: I advise every prospective buyer to have clarified all questions about financing etc.. Because there are currently many more interested parties than offers. You have to act fast.

Bingen is a real alternative

Question: Let’s assume a reader is a real estate investor in the Rhine-Main region and is looking for new worthwhile properties. What is your insider tip for profitable properties in Mainz and the surrounding area?

Quite clearly: Bingen on the Rhine or the one or the other municipality bordering there. This has something to do with the fact that on the one hand the real estate prices here are significantly cheaper than in Mainz or the neighboring cities such as Ingelheim, Nierstein or so. Rents in the Bingen area are also lower than in the immediate metropolitan area, but again not that much lower relative to the purchase price. Thus the yield, about which we spoke above, is often clearly better with real estates more in the country. So it is well worth looking a little further afield.

• Capital investment Bingen

How a Diskret broker works

Question: You yourself describe the Lukinski brokerage office as a discreet broker. What does that mean exactly?

This means that we offer the properties offered to us without the classic – let me call it – “market writing”. For the seller this means: he can be sure that no one in the immediate vicinity will notice his intention to sell. The usual advertising signs in the windows or in the front garden are not necessary. Our vehicles are kept inconspicuous and are completely neutral in colour.

The exposés are only sent to customers who we have contacted beforehand and included in our database. Of course we also use real estate marketing portals, but our appearance or the appearance of the property is designed so that hardly anyone can draw conclusions about the location of the property. So if you want to offer your property on the market with maximum discretion, for example because you want to avoid annoying discussions with neighbours or friends, a discreet estate agent like Lukinski is the right choice for you.

For the buyer, this also means maximum discretion. This is particularly important if you value serious negotiations without the often usual “price gouging” by a rush of interested parties. The buyer can be sure that his person remains behind the scenes. Only after moving into the new home will his identity become public with the new neighbours.

Focus Frankfurt: Investing in the Rhine-Main Region

• Investment Frankfurt
• Prices in Frankfurt
• Capital investment Darmstadt
• Capital investment Wiesbaden

Specialist lawyer for real estate: house, condominium and land

Since the field of real estate law is very extensive, it is considered a separate specialty. Lawyers can further their education within this field and acquire explicit subject-related knowledge. Such specialist lawyers are particularly popular in legal disputes involving specific regulations from the particular field.

Definition – What does real estate law mean?

Real estate law can be defined as all legal aspects relating to real estate. Real estate law, however, very much encroaches on the most diverse areas of law, which is why the term real estate law is not used by law.

Real estate law is not a precisely defined area of law, but an established term for the main areas of law dealing with the purchase, sale and management of all immovable property. The first area to be covered is the area of land law. The ownership of land and property are described here by law. This includes the purchase, sale and administration of land and everything on it or under it. The second area is the so-called heritable building right. With the hereditary building right the right is sold to the buyer up to 99 years, depending upon met agreement, to use a property and to build on it. The heritable building right holder does not pay the full price of the land, but pays a previously fixed ground rent on a regular basis. Often a ground lease is concluded for 99 years and an extension is offered as an option. However, the exact period can be agreed individually in each case. The third relevant area of law is residential property law. The laws pertaining to this regulate the ownership rights of condominiums in apartment buildings. Membership in the respective condominium owners’ association is mandatory as a condominium owner. Community order is called the framework agreement which regulates the living together firmly. All construction projects must be unanimously agreed upon and coordinated among all resident parties. Each tenant can read in detail his ownership rights in the declaration of division of the condominium owners’ association. In any case, we can recommend a consultation with an expert in the field of real estate law in advance.

• Land law – ownership of land
• Heritable building right – Separate ownership of a property
• Residential property law – ownership of apartment

Activities of a real estate lawyer

If you want to hire a specialist lawyer as an expert for your own legal advice, you first need to know which areas of law are covered by the respective law firm. Therefore, the first big question is: What does a lawyer with a focus on land and real estate law do?

• Review of experts for land and real estate contracts
• Participation and representation in the conclusion of contracts (before, during and after)
• In the case of project development, contract management can be taken over on request
• The handling of purchase price and warranty claims
• Extensive control of warranty and limitation periods in real estate transactions
• Due Diligence Reviews
• Authority Representation
• Examination and clarification of neighbouring conditions
• Conducting independent evidence proceedings and litigation

Recommendation for specialist lawyers in the Mainz area?

More good recommendations in Mainz and the surrounding area.

• Frankfurt
• Wiesbaden
• Bad-Homburg
• Darmstadt

Book tips real estate law – from BGB to expert tip

Real estate law can be found in a wide variety of legal books. The BGB (German Civil Code) contains some important passages, but also other legal books, such as the Beurkundungsgesetz (BeurkG) are used in the field of real estate law.

Real estate disputes: Rising legal cases

Based on the figures of the Federal Statistical Office, one can see very well that lawyers are currently booming. Especially since 2014, the number of cases has been increasing and thus, of course, the costs for legal advice.

You can find more statistics at Statista

Real estate lawyer in Mainz: Top 7 recommendations

Here are the top 7 recommendations for the best real estate attorneys near you!

Assion Rudolf Attorney at Law

Rating: 5.0 / 5.0 (Google; 3 reviews)

Kaiserstrasse 42, 55116 Mainz

• Phone: 06131 228925
• Website: assion.cc

Lawyers and notaries Vollmer, Bock, Windisch, Renz, Göbel

Rating: 4.9 / 5.0 (Google; 76 reviews)

Rheinstraße 105, 55116 Mainz

• Phone: 06131 5763970
• Website: vbwr.de

MS Law Office M. Schwenger

Rating: 4.6 / 5.0 (Google; 10 reviews)

Eichenstraße 6, 55246 Wiesbaden, Germany

• Phone: 06134 60150
• Website: ra-schwenger.de

Kai Motzkus Attorney at Law

Rating: 5.0 / 5.0 (Google; 6 reviews)

Gartenfeldstraße 3, 55118 Mainz, Germany

• Phone: 06131 672767
• Website: ra-motzkus.de

Brüning and Colleagues Attorneys at Law

Rating: 5.0 / 5.0 (Google; 1 rating)

Midnight 22, 55116 Mainz

• Phone: 06131 288860
• Website: ra-bruening.de

BKS Lawyers Bastian Kling Schwitzgebel & Kern

Rating: 5.0 / 5.0 (Google; 2 reviews)

Emmerich-Josef-Strasse 18, 55116 Mainz

• Phone: 06131 671069
• Website: kanzleibks.de

Möller Attorneys at Law Partnership mbB

Rating: 4.9 / 5.0 (Google; 9 reviews)

Weberstraße 19A, 55130 Mainz, Germany

• Phone: 06131 984240
• Website: moeller-rechtsanwaelte.de

Mainz and surroundings: Recommendations

More good recommendations in Frankfurt and the surrounding area.

• Frankfurt
• Wiesbaden
• Bad-Homburg
• Darmstadt

India house – that certain something from Asia

In the India House you can find not only great selected decoration pieces from India, Indonesia and China but also unique pieces of furniture from Asia. In addition to the exotic individual pieces, self-designed furniture and decoration in India style are also sold here.

Rheinallee 205, 55120 Mainz

https://www.instagram.com/p/BzupMBjItdQ/

Toscana – modern and minimalist design of great brands

Toscana represents among others big brands in the field of design, such as Vita but also Ekobo. With modern pieces and an exquisite selection of products, design lovers in particular will find what they are looking for here.

Leichhofstraße 7-9, 55116 Mainz, Germany

https://www.instagram.com/p/Bff643VBOd-/

Fuchs & Bente – Scandinavian design with a special flair

Fuchs & Bente offers beautiful Scandinavian design. Everything about home, decorating, furnishing, designing and unusual designs is covered by this beautiful shop in Mainz. Here you can find great decoration and special furnishings with flair.

Gaustraße 34, 55116 Mainz

https://www.instagram.com/p/Bz0c_uFJLOL/

W-Raum – branded furniture and individual pieces

At Wohnraum you will find special brand furniture, modern decorative elements and extraordinary individual pieces from all over the world. With over 15 years of experience Wohnraum offers not only a lot of service but also a special eye for interior design.

Main Street 17-19, 55120 Mainz

https://www.instagram.com/p/Bnq3_CAHR-z/

Depot – modern design for all tastes

Depot offers something for every taste. With creative and modern designs, the products from the areas of outdoor, decoration, lighting, furniture and gifts convince and hold something for everyone. Through creatively designed presentation, the stores invite you to stroll and provide space for inspiration.

Adolf-Kolping Straße 2-4, 55116 Mainz, Germany

https://www.instagram.com/p/BzyWCZ3iWLk/

Nanu Nana – versatile assortment for every taste

The beautiful shops of Nanu Nana enchant with great pieces from the areas of living, decoration, kitchen and gift ideas. More inspiration: living & interior. Here, everyone will find something to suit their taste with an extensive and varied range.

Bahnhofsplatz 1a, 55116 Mainz

https://www.instagram.com/p/Bz0HSU8iYN3/

Wicky – browse and discover

At Wicky you will find a large assortment again. Many areas are covered here besides decoration items, such as gifts, household, posters or even jewelry. A great store to browse and discover.

Lotharstr. 1, 55116 Mainz