Many people are currently hesitating about buying their own home. Rising interest rates, uncertain prospects and the question of whether "now is the right time" are unsettling many. But anyone who takes a close look at the development of the housing market will recognize this:

Rents are becoming more expensive, ownership remains stable - and the market has stabilized.

Rents have been rising in German cities for years - recently again significantly. Living space is scarce, new buildings are falling short of demand and renovations of existing buildings often lead to further rent increases. Anyone who currently pays €1200 a month in rent is spending over €14,000 a year - money that is permanently lost. If you own your own home, at least part of this sum goes towards building up your own assets.

Owning your own home or a condominium means planning security and independence. While rents increase year on year, the monthly burden remains constant with financing. What's more, each repayment increases your own asset value - a decisive difference to ongoing rental payments.

Inflation is currently running at around 2% - meaning that money in your bank account continues to lose value in real terms. At the same time, the proportion of households spending more than 40 percent of their income on housing has risen significantly. This development underlines the fact that renting is increasingly becoming a financial burden while ownership creates long-term stability.

Investors are also benefiting from this development. Rising rents and stable excess demand are leading to reliable returns. At the same time, the legislator is providing targeted support for the construction of energy-efficient rental apartments:
Thanks to the new special depreciation allowance under Section 7b of the German Income Tax Act (EStG), 5% can be claimed in addition to the straight-line depreciation allowance in each of the first four years. This creates tax relief that noticeably offsets the interest expense and makes investments more attractive in the long term.

Of course, interest rates play a role in every decision. However, the decisive factor is not so much the interest rate itself, but the ability to plan. After the fluctuations of recent years, the market has calmed down. Financing discussions are reliable again, purchase prices are realistic and subsidy programs are taking effect. Those who act today benefit from an environment that is more stable and transparent than it was a year ago.

The thought "I'm still waiting" can be expensive

- because while buyers benefit from price stability and repayments, rents and competition for available apartments continue to rise. Ownership not only creates living space, but also security: as protection against inflation, retirement provision and tangible value in turbulent times.
At VENTIS , we have been developing living space that is sustainable in the long term for over 30 years - efficiently planned, built to a high standard and designed with sustainability in mind. Our aim is to create projects that are both emotionally and economically convincing. For us, ownership does not mean luxury, but security and stability.

Buying today means investing in independence, security and your own future.

Klaus Prokop
Management Board VENTIS Immobilien AG