Photo: PixabayDušan Uzelac, financial advisor and analyst, and founder of the Kamatica portal, explains what the advantages of buying an apartment are at the moment and how finances will look on the global level in the coming period.
"Real estate prices will rise, because global inflation awaits us. Nothing like the hyperinflation that happened to us in the first half of the 1990s will happen. So, we are not threatened by a complete collapse of the financial system, but the money will be worth less. An apartment that is worth, for example, 100 thousand euros today, will cost 120 thousand in two years ", explains Uzelac.
Here we need to make a clear distinction between the price and the value of the property - the value determines the market as the characteristics of the apartment: location, size, additional benefits (terrace, multiple bathrooms ....), and the price will jump due to falling money. the very value of real estate.
Uzelac also explains how you can profit from the whole situation. "Imagine buying an apartment for 100 thousand euros today. For the next 20 years, you will repay the housing loan of 100 thousand euros, and those 100 thousand have a lower value due to inflation. Remember taking loans and inflation in the old Yugoslavia. Inflation was the winning item for millions who bought an apartment and ended up paying a 26-penny installment. "Inflation works with loans and that is why now is the ideal time to buy real estate," he said.
Finally, an important moment is that housing loans in our country are tied to the euro, so due to the decline in its value that awaits us, loans will be more favorable in the long run, in the way previously described. Uzelac also points out that housing loans are tied to EURIBOR, and EURIBOR will exist as long as there is banking, because it is too expensive to change it.
Apartments and real estate in general are often considered a safe investment, and that is certainly an additional plus when you take into account that, in terms of finances, we are apparently waiting for times of inflation. Because of all that, a housing loan that you will pay less may not be such a bad idea, reports kamatica.com.
Source: kamatica.com
