Missing real estate bubble start

[izard]

One of the reasons I decided to move to Munich 9 years ago, when I had choice of Paris, London and Munich was there was no housing bubble. I missed buying a flat here at decent prices because of many reasons I don't want to go into here. Now the affordability approaches records set by Sydney and Hongkong, so I decided not to bother.

but..

Today I found a very interesting offer - a flat located very close to center of Munich (at a center of my favorite neighborhood, close to all amenities), everything perfect, ~50% !!! discount at a market price! Drawback - the house is big and 90% of inhabitants are receiving social benefits, many immigrants (but as an immigrant myself I don't mind at all).

I thought the discount in this case should have been 10-20%, so I am probably missing another important factor. What else could it be?

Comments

[sab123]

Очевидно, преступность и вообще не-кооперацию среди жителей.

[izard]

Выяснил в чем дело. Не столько это, сколько предстоящий капитальный ремонт (и его оплата за 15-этажку), снос этой 15 этажки за счет владельцев в самое позднее в 2050 году, и доп платежи по лизу в 300 евро в месяц, с индексированием раз в 3 года.

[klebestr]

а сколько же лет дому, что его сейчас ремонтируют, а через 30 лет снесут?

[izard]

40 лет 15-этажке, самый низкий энергорейтинг, выглядит не очень подъезды в грязи, тарелки и белье на балконах... Но двор чистенький.

[klebestr]

Это ж как фигово строили, что через 90 лет после рождения уже будут сносить...

[juan_gandhi]

Looks suspicious.

[izard]

Actually 50% off now makes sense after research - flat comes w/o land (rare case here in Germany), but buyer has to pay a share for renovating 15-storey building, and has to pay for demolishing building in 2050, then pay for constructing another one there to still own a share.