Online | Lukinski

Real Estate Calculator: Free, Online, without Excel! Capital investment, yield & Co.

L_kinski — Fri, 26 May 2023 09:40:52 +0000

Real Estate Calculator – Free, Online, without Excel! Investment, return & Co. that’s how the future looks like! You are looking for good real estate online calculators that make your investor:in life easier? My new app Immobilien Guru is the solution for you. 8 of my calculators I want to introduce to you here, because they are very important if you want to make money with real estate! Equity, savings plan, purchase price, incidental purchase costs, return on investment, return on investment and return on investment! 8 real estate calculators you need to know!

Calculator off: Real Estate Guru App

Christmas 2022 gave me the idea, since then I’ve been programming the Real Estate Guru App! By now, the app has over 30 real estate and financial calculators, plus an investment learning system, 50,000 craftsmen and over 20,000 real estate experts.

If you like the calculators (below), be sure to check out your app store and get my free investor app!

30 + Real Estate Calculator
#1 Real Estate Training in the World
50 + lessons “Real Estate Investment
Craftsman recommendations throughout Germany
Real estate experts throughout Germany

App Download

Free in the App Store for iOS and Android.

There is also more online:

Real Estate Guru

8 real estate calculators presented!

Free, online, always and everywhere and all without Excel! My little real estate investment toolbox for you!

PS: Professionals can of course skip the first calculators around equity and savings plan and start directly with the yield, the yield check & Co.

Good luck, your Lukinski!

Equity: Calculate assets

Everything starts with equity. You can’t do without it, unless you have someone to vouch for you. Typically, if everything else is solid, you need 20% equity and the bank gives you 80%. Example:

Equity = 5,000 euros (20%)
Credit volume = 20,000 euros (80%)
Maximum purchase price = 25,000 euros

For this, you calculate your assets:

Equity calculator

Savings plan: How much can you save each month (building equity)?

You lack the necessary equity capital? Then there is only one way: Save! Here you can easily calculate how much you can set aside each month. Because often a few expenses are forgotten and you stop saving after the first month. Saving is your way to the goal! Calculate here how much you can put aside.

Savings plan calculator

Maximum purchase price: How much property can you afford?

Your equity automatically leads you to the maximum purchase price. You have already learned how to calculate this in the equity section. If you need to do it quickly, you can calculate it here:

Maximum purchase price

Incidental purchase costs: Purchase price + X

Incidental purchase costs, there was something else… Typically, depending on the state, 8% to 10% of the purchase price is incidental costs. That is in any case:

Real estate transfer tax
Notary fees
Land registry costs
Brokerage costs (if commissioned)

With my free purchase cost calculator, you can quickly and easily calculate all factors at any time, whether buying an apartment or a house:

Purchase incidental costs calculator

Net yield: What does a property bring in?

The most important calculation for investors is the net rental yield of a property. It tells you what a property yields per month in %. Since you as an investor:in typically finance with credit, you pay:

Maintenance ~ 2 % p.a. (per year)
Interest ~ current interest rate for borrowing
Repayment ~ 2 % p.a.

Let’s say you take out a loan at 2% interest, you have (2% + 2% + 2% = 6%). If your yield is > 6%, your tenant pays off your property, your assets grow passively and you still get X Euro per month as positive cash flow from your rented property.

To help you do the math quickly and easily, here’s my:

Net rental yield calculator

Yield Check: In 2 seconds

You don’t have all the figures for the net rental yield at hand right now? Then you should know my quick yield check. Here you can calculate any return in the Real Estate Guru app in 2 seconds. In the background, values are also assumed, such as the current 2% maintenance reserve per year, completely automatically.

You only have to push 2 simple knobs:

Purchase price
Rent / month

A yield check has never been faster! Click here to go to the:

Yield Check

Purchase price factor: key figure for larger projects

Simply explained: The purchase price factor turns the yield calculation around:

From ” Rental income / purchase price “
Will “Purchase price / rental income “

Super simple!

Yield = % Yield per year
Purchase price factor = paid off in X years

The result tells you in how many years your property as an investment has been paid off by the rental income.

Purchase price factor

Maintenance reserve: In 2 seconds

You’ve never calculated your maintenance reserves so quickly! My little calculator for maintenance reserves for real estate is just as simple as the yield check. The highlight, in the background I calculate everything according to Peter’s formula.

Maintenance reserve calculator

Speculation tax: Sell tax-free after X years

Tax-free, great! That’s what many investors say to themselves, and they’re right. Roughly speaking, there are 3 types:

Self-interest = 3 years period
Renting = 10 years period
Mixed model = X + 2 years period ( X = time of renting )

To make the calculation easy and fast in the future, I have developed this speculation period calculator.

Speculation period calculator

Learn Online with my App!

Learn online with my real estate app. With 50+ individual lessons, from buying and yield, to managing and renting, to selling a property profitably. Net yield, gross yield or even purchase price factor we still do not say much or just a little? Perfect, because with my app you can prepare super easy for your first capital investments.

Real Estate Coaching 2.0: Online and free of charge

You can read 1,000 books and end up not knowing what really matters. Like my calculators, it’s all about the nuts and bolts of real estate investing: equity, return, maintenance, etc.

The training is designed to be extremely simple, just like all real estate calculators!

Real estate as an investment: Learn to invest!

In 10 lessons with about 5 training sessions each, you will learn what is important in the individual sub-disciplines.

Buy real estate
Real Estate Yield
Real Estate Fix & Flip Strategy
Upgrade real estate
Rent real estate
Sell real estate
…

App Download

Free in the App Store for iOS and Android.

The real estate guru!

Apps real estate: recommendations for tenants, landlords & real estate investors

office@cxmxo.com — Fri, 03 Mar 2023 11:30:05 +0000

Real Estate Apps – These apps are for all apartment hunters, landlords, sellers or real estate investors. They offer tools and calculators to calculate key figures around the real estate or you can find your dream property for personal use or as an investment. All apps in an overview with the respective download link can be found in this list.

Real Estate Apps: Knowledge & News

With the following apps you will always stay up to date when it comes to real estate. Apps for beginners and for advanced users.

Real Estate Experience App

The Immobilien-Erfahrung.de app offers you all the real estate knowledge you need about capital investments, building management, upgrading, as well as financing and management. With the practical calculators, you can find out about ancillary purchase costs and many other key figures. In the real estate wiki, you will find over 1,000 technical terms simply explained.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Download from Google Play Store & Apple App Store.

IZ – Real Estate Newspaper

With IZ-Immobilienzeitung you always stay up to date with news from the German real estate industry. Find out everything about yield opportunities or investment properties in one app.

Is the app free of charge?

Yes, the app is free
Subscription needed

App Download: iOS & Android

Here you can find the app in the AppStore (iPhone) and Playstore for all Android smartphones.

House & Ground Magazine

The magazine “Haus & Grund” provides up-to-date information on topics in the real estate sector for tenants, landlords and property owners. For example, it covers political developments, news relating to tax law or tenancy law, and administrative topics. Readers have the option of marking articles with simple bookmarks and categorizing them later.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Here you can find the app in the AppStore (iPhone) and Playstore for all Android smartphones.

Real estate apps: online tools and calculators

With these tools, you can calculate practical key figures relating to real estate quickly and easily. From equity and return, to usable space and floor area – learn everything with these apps.

Real Estate Guru (my app): Learning App & Calculator

The Immobilien Guru app provides you with over 20 online tools related to real estate. In doing so, you can access a variety of practical key figures that can serve as decision-making aids or advanced knowledge. The app allows you to quickly and easily calculate savings plans for reserves, equity and return on real estate.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Here you can find the app in the AppStore (iPhone) and Playstore for all Android smartphones.

Rented.com

The real estate app Vermietet.de has been specially developed for landlords and property managers. The app offers a simple, secure and time-effective way to organize all aspects of property management, regardless of the type of portfolio – whether it’s a condominium or an apartment building. The app’s features include legally compliant service charge statements, secure rental agreements, valuation, and officially verified templates for reminders and rent increases.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Here you can find the app in the AppStore (iPhone) and Playstore for all Android smartphones.

Immocation.com

The Immocation.de app offers a simple and clear calculator that gives you quick and precise information about the return on investment before you buy or sell a property. In addition, the app offers further tools that provide you with detailed information on the subject of real estate. Thanks to the user-friendly user interface with simple sliders, operating the app is uncomplicated.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Here you can find the app in the AppStore (iPhone) and Playstore for all Android smartphones.

Deka real estate funds

The Deka Immobilienfonds app provides you with comprehensive information on all important details of the Deka Group’s property funds. With this app, you have quick and easy access to information such as the unit price, property information and background information on purchases and sales. The app’s push functions keep you up to date with the latest developments.

Is the app free of charge?

Yes, the app is free

App Download: iOS & Android

Foreign Exchange Trading / Currency Trading Explained: Example USA Trip

For beginners and novices, getting started in forex trading / currency trading is relatively easy. You can get in without much capital, even via app.

Many are familiar with the stock market, stocks and ETFs. But, how often have you heard about currency trading? Very few have experience in this particular area. How does trading with different currencies, from Euro (EU) to Dollar (USA) work or how do you earn money with it?

If you have ever traveled to the USA, then you have participated in currency trading without even knowing about it!

Every currency exchange is a foreign exchange trade. You buy at a certain short and sell at a certain short. The difference is then profit or loss.

That’s it. That’s how “simple” currency trading works.

Demand and supply

So that we start directly simple, now you learn how you can make 10,909 euros from 10,000 euros after one month on your next trip!

Course profit (30 days): 909 euros

How does it work?

Let’s start a little thought experiment.

Example: Currency Exchange on US Business Trip

You’re going on a trip to the USA. So you have to exchange your Euros for Dollars. By doing so, you participate in the global foreign exchange market.

You take 1) the money you need on the trip and 2) an extra 10,000 euros.

You exchange the 10,000 euros at the current exchange rate.

Euro/USD exchange rate (January 8): 1.20

What does exchange rate mean? The exchange rate means how much you have to pay from one currency to another. An exchange rate (EUR/USD) of 1.20 means that you will get 1.20 euros for 1 euro in exchange.

1.00 Euro = 1.20 Dollar

Accordingly, you exchange at this rate and get $12,000. So for 10,000 euros you get 12,000 dollars (US).

10,000 Euro = $12,000

A month later, on February 8, you travel back to Germany. The EUR/USD exchange rate is now 1.10. That means the euro has weakened. Accordingly, you now get more euros back.

For your 12,000 US dollars you now, one month later, get back a whole 10,909 euros in exchange.

+ 909 euros profit

You just incidentally made a profit of 909 euros. That would pay for your next round-trip flight to the USA. This is how currency trading works, explained very simply.

Example Calculation: Euro / Dollar

In summary:

Time period: 30 days
Exchange rate fluctuation (EUR/USD): -0.10
You exchange 10,000 euros for 12,000 dollars
Exchange rate 1.20
Reverse exchange 12,000 U.S. dollars for 10,909 euros
Exchange rate 1.10
Conclusion: 909 euros profit

Here are the exchanges:

January: 10,000 euros = $12,000
February: 10,909 euros = 12,000 dollars

Perfect, now you have understood currency trading and the exchange rate in its basics.

Exchange Rate: How is the Value Calculated?

Here again briefly summarizing what you learned above:

EUR / USD

Value: Initial currency (EUR)
Value: New currency (USD)

For example, the EUR/USD rate tells you how many dollars (USD) are needed to buy one euro (EUR).

EUR/USD 1.20
Means: For 1 euro you get 1.20 dollars

This is the current EUR / USD exchange rate:

Where do these exchange rate fluctuations come from?

Exchange Rate Fluctuation: Explained Simply

Financial news, economic news, politics, all of these and more affect the exchange rate. Since it is not a company, as in the case of a share, but a currency, that is, an economic area, there are of course accordingly x-fold many messages. Different economic areas, news, time zones, psychology of the brokers, all influence fluctuations, with which such profits can be achieved.

This leads to exchange rate fluctuation.

Private traders make up only a very small part of the global currency trading in terms of volume. Trading companies trigger the vast majority of transfers. They do so in order to:

Buy products abroad
Exchange proceeds back into national currency

For example, to do this, companies exchange euros for dollars, dollars for euros, euros for yuan, etc.

If many companies exchange at once, the demand increases.

Business 101: If the demand increases, the supply decreases and accordingly the price increases, whether for services, products or currencies.

Who knows dynamics before large public attention, can find substantial capital profits, as above in the calculation example to the foreign exchange trade in. Therefore, as in currency trading, you must constantly follow news. For example, by setting up an alert on Google. But let’s stick to the basics for beginners. What are the advantages of currency trading?

Advantages Foreign Exchange Trading

It is important: always consider the disadvantages and risks (loss of assets).

So, what are the advantages of forex trading? Traders are attracted to the foreign exchange market for a variety of reasons, including.

Size of the forex market
Variety of currencies to trade
Different levels and volumes
Low transaction costs
24-hour trading during the week

Important Currencies & Cryptocurrencies

Tip: You can find all the latest rates at the end of the article.

Currencies:

US Dollar (USD)
Euro (EUR)
Japanese Yen (JPY)
Pound Sterling (GBP)
Australian Dollar (AUD)
Canadian Dollar (CAD)
Swiss Franc (CHF)
Chinese Renminbi (CNH)
Hong Kong Dollar (HKD)
New Zealand Dollar (NZD)

Cryptocurrencies:

Bitcoin
Ethereum
Litecoin
Ripple
Bitcoin Cash
Dash

How to Trade Currency

How do I get started with currency trading? How do I participate in currency trading? Today, trading foreign exchange is relatively simple. There are many brokers on the Internet and in app stores. Here you can start and trade forex in seconds as well, 24 hours a day, 5 days a week.

By the way, you can trade cryptocurrencies 7 days a week

Forex Trade

Internationally, you will almost always hear the term “forex”.

Forex = currency trading = foreign exchange trading

Forex stands for “foreign exchange” and refers to the buying or selling of one currency, in exchange for another. Forex is the most heavily traded market in the world because people, companies and entire countries participate in it.

For beginners and novices, getting started in Forex trading is relatively easy, as mentioned in the introduction. You can get started without much capital. Through online brokers or apps.

Traders: individuals, companies and countries
Enter without high equity
Quick to trade via app

Pairwise Trading: Definition

In the foreign exchange market, currencies are always traded in pairs. When you exchange euros for US dollars, you are dealing with two currencies, so the exchange always indicates the value of one currency in relation to the other.

For example, the EUR/USD rate tells you how many US dollars (USD) are needed to buy one euro (EUR).

Symbols: Definition

The foreign exchange market uses symbols to denote certain currency pairs. The euro is symbolized by EUR, and the US dollar is USD, so the euro/US dollar pair is displayed as EUR/USD.

Exchange rate today: Example

Once again, here is the current EUR / USD exchange rate:

This is how to read the chart, example from 07/2020:

Currency pairs bid price / change / change (%).

EUR / USD at 1.173 / 0.00730 / 0.6293%
USD / JPY at 105.447 / -0.67520 / -0.6363%
EUR / GBP at 0.912 / 0.00130 / 0.1467%
USD / CHF at 0.920 / -0.00090 / -0.0983%
EUR / CHF at 1.079 / 0.00570 / 0.5323%
GBP / USD at 1.286 / 0.00620 / 0.4869%
EUR / JPY at 123.669 / -0.00210 / -0.0017%

Each forex pair is assigned a market price. As described above, the price is the exchange rate, how much of the second currency is needed to buy one unit of the first currency.

If the price of the EUR / USD currency pair is 1.173, it means that it costs 1.173 US dollars to buy one euro.

Formula: Currency exchange

To find out how many euros it costs to buy one US dollar, simply reverse the currency pair. To do this, you divide 1 by the current rate, which you already know.

1 / exchange rate

In the example, this would be 1 / 1.173 so you get a USD / EUR rate of 0.852

USD / EUR at 0.852

Pip: Point in Percent

In foreign exchange (forex) trading, the pip value can be a confusing topic. A pip is a unit of measurement for currency movements and is the fourth decimal point for most currency pairs.

For example, if the EUR/USD rate moves from 1.1730 to 1.1731, that is a one-pip move. Most brokers offer a “fractional pip price”. Here you would still see a fifth decimal place, such as at 1.17305.

How much profit or loss you make from a pip movement depends on both the currency pair you are trading and the currency you have funded your trading account with.

Currency rate up to date: real-time

Here you can find the most important currencies in a 12-month overview:

EUR / USD

USD/EUR

EUR / CHF

Trading: stocks, currencies, and apps

If you want to read more tips, in the blog you can find many more articles, like:

Cryptocurrency & Block Chain – Simply Explained
Buy Stocks: Direct Bank / House Bank
Stocks, ETF, Forex, Cryptocurrency, Social: My Experience and Mistakes!

Cryptocurrency: Bitcoin, Ethereum, Ripple & Co.

Digital currencies are getting more and more attention from investors, whether from companies or individuals. Individual countries are even already thinking about introducing their own digital currencies. Here again the “most important” courses at the moment.

Cryptocurrencies:

Bitcoin
Ethereum
Litecoin
Ripple
Bitcoin Cash
Dash

How to Define Cryptocurrencies?

Now I don’t want to mention technical terms like “block chain”, etc. Simply explained: cryptocurrencies are like commodities, for example gold as a precious metal. There is a finite amount of XY on earth.

Did you know? There are only 21 million Bitcoins

Theoretically, gold is worth nothing, but because people assign value to gold, it has value. The more people use this investment opportunity, the higher the price goes. Bitcoin almost the same way. There is a certain number and the more invest, the higher the price goes. If people sell their shares, so they do not trust the further price growth, the price falls again.

Fast and speculative.

Higher, faster profits / losses
Much psychology, little news analysis
Trading is possible 7-days a week

Of course, I can’t fully explain cryptocurrency to you here, but I want to give a little insight. I invested the first time in 2017 in Bitcoin, later also Ethereum, Chainlink and Litecoin. What are my experiences?

Higher Frequency Means More Profit / Loss

So of course you make “only” 1x profit. Still though, if this profit is taken “more often”, in sum you attain much more capital.

Method / Strategy in Trading

You buy at the lowest possible price and sell at the next price high

Sounds simple, but many buy a financial product at the beginning and just keep it. This saves you a lot of nerves, short-term trading increases the profit for it.

For example, when I traded my first bitcoins, I sold and bought in between. So I can take small profits and then reinvest when the price is cheaper again in the hope that it will become cheaper.

My highlight was then the price high of 24,000 shortly before December 24. My last, active trading day. Since then, I’ve been focusing more on social trading.

Price Plunge, Price Gain, High at $23,900

What a thriller! After trading for a long time, the day now came when I wanted to sell. I ran through the city for 2 hours with my app – of course, the sale was already preset, it was more the emotional aspect of being there!

It also went high once again, as you can see in the chart here. The bitcoin rate is shown here in euros. The method is the following: You buy at the price low and sell at the next price high.

A very important basis in trading financial products. The shorter and more extreme the periods are, the higher the profit, but also the risk of the trade.

2 additional purchases in 2 days
2 immediate sales

Graph in Euro:

Real estate evaluate: Factors, on-line, free of charge – Flat, house & multi-family house

L_kinski — Sun, 20 Sep 2020 15:58:15 +0000

Property valuation – How can I value a property? The reasons for a valuation are manifold. Property valuation involves large sums of money and all parties are interested in a professional analysis. If the value of your real estate is within the right range, this generates a high demand, which ultimately leads to finding the prospective buyer who pays the best price. Do not give away money!

From experience we can say that an objective and thorough real estate evaluation is decisive for the success of the sale.

Property valuation: explained step by step

If the price is too low, you are giving away money, a too high purchase price alienates the real prospective buyers. Setting the right offer price is one of the most important points in selling real estate.

Before we come deeper into the matter evaluation of location, building fabric, market value & Co., first of all basic 3 questions, which reach us in consulting discussions with customers:

How can I value a property?
Who determines the market value of a property?
How does the bank value a property?

Tip! Later in the article you will find much more detailed information on all types of procedures for determining the value of real estate.

Sale: age, investment, inheritance & changes

There are many reasons for selling a property. Investment considerations, an inheritance or changes in living conditions can be decisive. If there is a new generation, the family will want a larger property.

In old age, many would like to move to a smaller property in order to save maintenance costs, for example. Real estate owners often have a strong attachment to their property. A lot of time, work and love have been put into the house or apartment.

The property has a high personal value, which is reflected in the desired purchase price. If the price is too high, however, many buyers turn away immediately.

Who appears to the survey appointment, is already prepared with arguments to press the purchase price. Defects are looked for and the potential buyer finally only examines how much work he still has to put into the property. In short:

If the demanded price is far above the realistic market value, you will not sell.

For a short selling period and to achieve the best purchase price, a correct assessment of the market price is crucial.

Which real estate is valued as ?

In the following table we have compiled a list of the types of real estate and their usual valuation methods. With the valuation procedure for “offsetting”, a review of the previously determined values takes place:

Apartments (owner-occupied)

Comparison value procedure
Calculate with: capitalized earnings value method real value method

Apartments (rented out)

Income capitalization method
Calculate with: comparative value method or real value method

Residential building (owner-occupied)

Asset value method
Calculate with: capitalized earnings value method

Residential building (rented, e.g. apartment building)

Income capitalization method
Calculate with: real value method

Plot (undeveloped)

Comparison value procedure
Calculate with: [None]

Plot (undeveloped, but rented)

Comparison value procedure
Calculate with: capitalized earnings value method

Let property be valued

If you want to sell a house, our recommendation is: Get experts for a sound valuation.

A short appraisal is usually sufficient to value the property. Such an expert valuation goes beyond a standardized valuation and becomes the essential basis for determining the best offer price.

In such a valuation, experts also take into account regional characteristics, supply and demand. They help you to determine the current market value of your property. Trust in experienced contacts and achieve the best possible selling price for your property.

Valuation for real estate sales

All important information on the valuation of real estate sales summarized for you:

Income method: Distribution of traffic & building yield value

The income capitalization approach divides the property into the market value of the land and the building income value.

land value interest amount = 7 percent * 100,000 Euro = 7,000 Euro

building income value = 5,600 Euro * 12.50 (multiplier) = 70,000 Euro

This includes rental income, maintenance costs and costs for the management of land and buildings. This is compared with rental income less operating costs and the value of the land including interest.

Actual value method: Value for the new construction of a property

The calculation first determines the market value of the floor with the floor standard value, then the building standard value is added.

The real value of the building is the building production costs minus any age reductions. The land value (market value of the land) and the building value are added and multiplied by a material value factor.

Natural value = (100,000 Euro + 150,000 Euro) * 0.5 = 125,000 Euro

The calculation of the asset value factor depends on the building type, the provisional asset value and the standard land value. The total real value determined in this way indicates the financial resources that would be required for a new construction of the property.

Comparison value procedure: Comparison of similar properties

The comparative value method compares your property with similar objects. It is used in particular for the sale of condominiums and apartment buildings. The comparative value can also be determined for undeveloped land.

Square meter price of the comparison object = 300.000 Euro / 100 sqm = 3.000 Euro per sqm

Purchase price of the property to be valued = 3,000 euros * 200 sqm = 600,000 euros

Only objects in similar locations and with comparable cuts are taken into account in the comparison. The real estates entering into the valuation should come from direct proximity of the residential object. The comparative value procedure is considered as particularly realistic. It is very often used in the valuation of real estate, because the locations are regionally relatively well comparable.

Value appraisal (costs)

Who prepares valuation reports for real estate? How much does an appraiser for house valuation cost? What does an appraiser for old buildings cost? Unless legal requirements force the appointment of an expert, a real estate appraisal provides you with a realistic valuation of your property in the regional and national market. We prepare the valuation of land, residential and commercial properties promptly and precisely.

However, if the valuation report is to be presented in court, as in the case of a divorce, for example, experts with costs must be consulted. The residential or rental property is inspected on site. As a rule, both a written and a digital copy of the appraisal are issued.

Collection of formulas for real estate owners

Rent, buy, live, here you will find all important formulas for you as an owner. In our formula collection real estate you will find calculations and examples for buying, selling and renting. Rent or purchase price multiplier, gross yield, return on equity, property yield, reserves for repairs and much more. Click here to return to the overview:

Costs of an evaluation

For the calculation, a rough evaluation is first made. The price for the final valuation is therefore, in most cases, based on the estimated value of the property to be valued.

If the value of the property is below a limit of 150,000 Euros, you can expect approximate costs of 1,500 Euros. For luxury real estate or multi-family houses with a real estate value of more than 1 million, the estimated fee rises to 3,000 Euro.

Below 150,000 Euro value, approx. 1,500 Euro
Over 1.000.000 Euro value, ,about 3.000 Euro

Additional costs: right of way & Co.

Since additionally a right of way was judged, an impact of 20 per cent = 360 euro can be charged. This would mean that you would be charged less than 150,000 Euros for a property with a fee of 1,500 Euros for the property valuation plus 360 Euros for the processing of the right of way. The total costs are 1,860 Euros net.

Value apartment

Apartment valuation and value factors – You have a condominium and want to know what it is worth? Of course you can immediately go to an appraiser and/or real estate agent with this question. However, the exact valuation becomes important at the latest when you want to sell or bequeath the apartment. Even in the case of a mortgage – for example if you want to buy another property – the value should be determined very precisely. That is when the expert comes into play.

What influences the value of an apartment? Let’s stick to the so-called “Pi-mal-Daumen-Wert”, a very rough valuation. In order to determine the value of your apartment, a number of “soft” factors play a role.

Valuate apartment

Rating the house

Purchase price roughly estimate or let estimate – If house or dwelling were bought not too long ago, building costs or the purchase price offer first appoximate values with the house evaluation. On the Lukinski real estate portal you can get more information about the current value of your property by comparing it with properties in similar locations, of the same size and with the same fittings etc. Our exact determination of the property price depends on various criteria.

The most important criterion is the location. The real estate prices differ regionally, sometimes considerably. Therefore only objects in the proximity may enter into the real estate comparison. As experts for the real estate sales in the regions Rhineland-Palatinate and Hessen we can give fast a realistic estimate over the real estate comparison. With the house evaluation likewise aspects of the micro and macro situations, as well as the direct location of the object are of importance: Soundscape, view and lighting conditions interest potenzielle buyers and affect real estate value and the attainable price.

Rating the house

Rating an apartment building

Market value, valuation and purchase price of your property –

If you want to sell your apartment building, then one thing is important: A sound, market-oriented, realistic purchase price. The central questions of owners: What is my property worth? How do you calculate the value of an apartment building? How does the tax office determine the value of a house? Who determines the market value of a property? How does the bank value a property? Many questions and many facts that you will encounter when valuing an apartment building. To give you a first impression of the complexity of location, market value, comparative properties, building fabric & Co., we have written this guide on the subject of multi-family house valuation for you.

Evaluate apartment building

Value the property

Determining market value, valuation and purchase price – How do you value a property? How to calculate the market value of a property Who may value a property? Who provides information about the standard land value?

Valuate the property

Calculate yield: Formula collection

Calculate real estate value – rent, buy, live, here you will find all important formulas for you as an owner. In our formula collection real estate you will find calculations and examples for buying, selling and renting. Rent or purchase price multiplier, gross yield, return on equity, property return, reserves for repairs and much more.

Rental multiplier (purchase price factor)

In real estate exposés you will almost always find information on the gross yield, sometimes also on the rent multiplier. The rent multiplier (purchase price factor) is a simple key figure to compare different objects at a quick glance.

How to calculate the rent multiplier:

rental multiplier = purchase price / annual rent

Example:

A apartment in Los Angeles costs 1,000,000 Euro and generates annual rental income of 52,000 Euro, has a rent multiplier of 19.2:

rent multiplier = 100,000 euros / 5,500 euros = 19.2

Gross yield

The gross yield in percent is the counterpart of the multiplier.

How to calculate the gross yield:

gross yield = annual cold rent x 100 / purchase price

Example:

Your apartment in Los Angeles generates annual rental income of the equivalent of 52,000 euros, the purchase price was 1,000,000 euros. The gross yield is 5.2:

Gross yield = 52,000 x 100 / 1,000,000 = 5.2

Grossthomy yield

How to calculate the gross rental return:

100 x annual net cold rent / property purchase price = gross rental yield in %

Sample calculation for the gross rental yield:

Step: 3.000.000 Euro purchase price + 350.000 Euro additional costs = 3.350.000 Euro
Step: Net cold rent per year = 150.000
Step: 150,000 Euro / 3,350,000 Euro x 100 = 4.47 % gross rental return

Net rental yield

How to calculate the net rental return:

Step: Purchase price + additional purchase costs
Step: Net cold rent – (annual) administration costs – (annual) maintenance costs = annual net income
Step: Annual net income / investment costs

Sample calculation for the net rental yield:

Step: 3.000.000 Euro purchase price + 350.000 Euro additional costs = 3.350.000 Euro
Step: 150.000 Euro net cold rent – 20.000 Euro administration – 70.000 Euro maintenance = 60.000 Euro annual net income
Step: 60,000 Euro annual net income / 3,350,000 Euro investment costs x 100 = 1.79 percent net rental return

Return on equity

The return on equity is calculated using the following return formula:

income after taxes x 100 / committed equity

Object yield

The property yield is calculated as follows:

rental income – maintenance costs – tax burden = property yield

Calculate property value: Free of charge for purchase, investment, sale and letting

L_kinski — Mon, 03 Aug 2020 17:59:01 +0000

Calculate property value – rent, buy, live, here you will find all the important formulas for you as an owner. In our formula collection property you will find calculations and examples for buying, selling and renting. Rent or purchase price multiplier, gross yield, equity yield, property yield, reserves for maintenance and much more. Click here to return to the overview: Valuing real estate.

Yield Definitions: Simply explained

If you’re thinking about buying a property for the first time, here’s first a key concept that will come up in many formulas.

What does yield mean?

Yield refers to the annual return on an investment in relation to the capital you have invested. It is usually expressed as a percentage, the interest rate, and is used to compare different, optional investment options. Calculating real estate return means knowing two values: Gross and Net Return. For the exact calculation of the return of a property, i.e. the annual return of the investment in percent, you must of course consider many other aspects and key figures.

Factor / rental yield / price per square metre – main decision criteria

In the cash flow craze, everyone seems to be talking only about the purchase price factor and rental yield. But when is real estate really worth it? What is the most important thing to consider? In this video you will learn what the main decision criteria (factor, rental yield, price per square metre?) are for real estate and why you should also always keep an eye on the increase in value…

Do you want to invest on a larger scale?

If you want to invest in more than “just” a property, I recommend you check out Alex Fischer (in the video). He himself holds over 20,000 m² in sought-after locations in Düsseldorf and started writing down his knowledge a few years ago, making videos. Here are hundreds of tips for real estate investors, from building a property, buying as an investment to company structure, tax optimization and renting.

Real estate investment on a large scale (external): Investing in real estate

Calculate real estate as an investment correctly?

Calculating real estate as an investment correctly? The most important key figures:

Rental income
Instalment to the bank (expenses)
Equity
Operating costs
Cash flow
Control

Real estate investment in Sylt (Germany). Tip! Read more about buying a farm here.

Real estate investment in Los Angeles (California, USA):

Buy and rent property

Rent multiplier (purchase price factor)

In real estate exposés you will almost always find information on the gross yield, sometimes also on the rent multiplier. The rent multiplier (purchase price factor) is a simple indicator to compare different properties at a quick glance.

How to calculate the rent multiplier:

Rent multiplier = purchase price / annual cold rent

Example:

An apartment in Los Angeles costs 1,000,000 euros and brings in annual rental income of 52,000 euros, has a rental multiplier of 19.2:

Rent multiplier = 100,000 euros / 5,500 euros = 19.2

Gross yield

The gross yield in percent is the counterpart of the multiplier.

This is how you calculate the gross yield:

Gross yield = annual cold rent x 100 / purchase price

Example:

Their apartment in Los Angeles generates annual rental income of the equivalent of 52,000 euros, and the purchase price was 1,000,000 euros. The gross yield is 5.2:

Gross yield = 52,000 x 100 / 1,000,000 = 5.2

Return on equity

You calculate the return on equity using the following return formula:

Earnings after taxes x 100 / equity tied up

Property yield

The property yield is calculated as follows:

Rental income – maintenance costs – tax burden = property return

Core renovation and energy modernization in Berlin. Reading tip! Old building renovation + value enhancement

Net and gross rental yield

Gross rental return

Here’s how to calculate the gross rental yield:

100 x annual net cold rent / property purchase price = gross rental yield in %.

Example calculation for gross rental yield:

Step: 3.000.000 Euro purchase price + 350.000 Euro additional costs = 3.350.000 Euro
Step: Net cold rent per year = 150,000
Step: 150,000 euros / 3,350,000 euros x 100 = 4.47 % gross rental return

Net rental return

How to calculate the net rental yield:

Step: Purchase price + ancillary purchase costs
Step: Net cold rent – (annual) management costs – (annual) maintenance costs = annual net income
Step: Annual net yield / investment costs

Example calculation for net rental yield:

Step: 3.000.000 Euro purchase price + 350.000 Euro additional costs = 3.350.000 Euro
Step: 150,000 Euro net cold rent – 20,000 Euro administration – 70,000 Euro maintenance = 60,000 Euro annual net income
Step: 60,000 Euro annual net income / 3,350,000 Euro investment costs x 100 = 1.79 percent net rental return

Maintenance reserve according to calculation ordinance

In the article: Refurbishment & Modernisation you will learn about the maintenance reserve according to the German Calculation Ordinance. There are two common methods of calculating the maintenance reserve on an imputed basis that are used. Tip. Are you planning to renovate or modernise soon? Here you will find our guide including state subsidies:

Redevelopment of real estate

Current expenditure and reserves: List

Running costs and reserves are mainly:

Property management for your real estate
Repair, maintenance and refurbishment costs
Maintenance costs that do not occur regularly
Telephone calls, correspondence, account and interest
Proportionate service charges for empty flats
Legal expenses and loss of rent insurance

Method 1: Peter’s formula simply explained

Peters’ formula calculates a useful life of 80 years. The formula states that in this time 150% of the pure production costs (construction costs without costs for land, development, architect & Co.) are incurred for maintenance and renovation.

House
80 years Service life
150% of the production costs for renovation, maintenance

For condominiums in apartment buildings, one assumes 100%. Distributed to 65% for work on the common property and another 35% for work on the special property.

Condo
80 years Service life
100% of the manufacturing costs

Formation of reserves according to Peters’ formula

If you calculate further exemplarily with a property, whose production costs lie with 4,500 euro per square meter, then a monthly reserve of 7.05 euro per square meter results from it.

Reserve: House
Production costs: 4.500 € / m²
Monthly reserve: 7,05 € / m²

In the case of condominiums, this results in a somewhat lower reserve of 4.50 euros per square meter for the owners’ association.

Reserve: Condominium
Production costs: 4.500 € / m²
Monthly reserve: 7,05 € / m²

Tip. These are divided into the aforementioned 65% for work on the common property and another 35% for work on the special property.

Owners’ association reserve: 4.65 / m²
Reserve apartment owners: 2.40 € / m²

These costs cannot be passed on to the tenant.

Method 2: Annual reserve according to § 28, paragraph 2

Section 28, paragraph 2 of the Second Calculation Ordinance (zweite Berechnungsverordnung) also provides guidance on the appropriate level of a reasonable maintenance reserve. These cost estimates are significantly lower than those according to Peters’ formula, but are staggered according to the age of the building (basis: production costs of €4,500 per square metre):

Residential buildings up to 22 years = 21,30 € / m² living space
Residential buildings up to 32 years = 27,00 € / m² living space
Residential buildings over 32 years = 34,50 € / m² living space
Building with elevator + 3,00 € / m²

Sell real estate

The reasons for a valuation are manifold. Real estate values involve large sums of money and all parties are interested in a professional analysis. If the value of your property is in the right range, this will generate a high demand, which will ultimately find the interested party who will pay the best price. Do not give away money! All important information about the valuation of real estate sales summarized for you:

Property valuation: factors

Income approach: Breakdown of market value & building income value

The capitalised earnings value method divides the property into the market value of the land and the building income value.

Land value interest = 7 percent * 100,000 euros = 7,000 euros

Building income value = 5,600 Euro * 12.50 (multiplier) = 70,000 Euro

This includes rental income, maintenance costs and costs for managing the land and building. Accordingly, the rental income less the management costs and the land value including its interest are compared.

Capitalised earnings method

Material value method: Value for the new construction of a property

The calculation first uses the standard land value to determine the market value of the land, then the real value of the building is added.

The real value of the building is calculated on the basis of the building’s production costs less any reductions for age. The real value of the land (market value of the land) and the real value of the building are added together and multiplied by a real value factor.

Value in kind = (100,000 Euro + 150,000 Euro) * 0.5 = 125,000 Euro

The calculation of the asset value factor is based on the building type, the preliminary asset value and the standard land value. The total tangible asset value determined in this way indicates the financial resources that would be required to rebuild the property.

Real value method

Comparative value method: Comparison of similar properties

The comparative value method compares your property with similar properties. It is used in particular for the sale of owner-occupied apartments and houses. The comparative value can also be determined for undeveloped land.

Price per square metre of the comparable property = 300,000 Euro / 100 sqm = 3,000 Euro per sqm

Purchase price of the property to be valued = 3,000 Euro * 200 sqm = 600,000 Euro

Only properties in similar locations and with a comparable layout are considered in the comparison. The properties included in the valuation should come from the immediate vicinity of the residential property. The comparative value method is considered to be particularly realistic. It is frequently used to determine the value of properties because the locations are relatively comparable from a regional point of view.

Comparative value procedure