Own four walls protect against old-age poverty
Anyone who takes early action, buys an apartment and has paid it off before retirement, can count themselves lucky. Most homeowners are hardly or not at all affected by poverty in retirement.
Nowadays, when real estate loan interest rates are well below 1% for 15 years, it is worthwhile to buy your own apartment instead of renting it. For example, if you pay € 800 basic rent and have some equity, you can afford an apartment for € 200-250,000 and the financing costs for interest and repayments would be about as high as the rent. Do your own calculations with our “Compare rent / purchase” calculator.
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