1. Choosing objects and funding
First you will need to develop a strategy. For this you have to decide on which kind of real estate you want to acquire. This decision can also be influenced by your equity – a single apartment can be less expensive, and therefore be attractive concerning price, but it offers a lower potential for income returns. Furthermore, a plan for the property should be decided on – simply retaining for your own portfolio, renovation and renting it out afterwards or reviewing rent are examples.
At the same time, you should think about how to fund the property. You could for example use borrowed capital to invest more than your own equity allows. With inflation rising you can even profit by doing so: Your loan loses value thanks to inflation decreasing the value of your debt as well. Furthermore, you will profit from fixed interest rates on your loan while interest rates develop upwards.