Home financing - low initial rates / rapid increase?

works only as long as the return is not significantly above the loan interest rate...

The problem you are addressing usually arises because no one rents as they would build, or rents out what they would use themselves.

BINGO! You know it yourself...this is nonsense...BECAUSE absolutely NO ONE builds the way they rent.

For the identical object, both landlords and owner-occupiers have exactly the same costs

Hmm, yes, and yet ... Most rental buildings are not new. Most rental contracts aren't either. I could continue living here as a tenant. Or buy the apartment (hypothetically, if it were for sale). Purchase price: 20 times the annual rent? Plus ancillary costs?! Without calculating for a long time: tenants staying (not becoming) is economically better. In other words: profit lies in the purchase. In my opinion, the return on rental properties only works today if you assume being able to sell at price X in 20 years (any exit scenario is needed for profitability calculations). You’ll know more afterwards ...

works only as long as the return is not significantly above the loan interest rate...

The loan interest rate is identical because the property is identical. That was my point: No matter how simple or complex, no matter how cheap or expensive. Let the builder live in it once and let the builder rent it out once --> The costs remain the same, only the tenant additionally pays the return. For the builder, it remains the same whether he collects it directly from the tenant or sets aside the money for himself as the occupant.

: You are right, it’s more of an academic point. However, this thought experiment makes it clear that it is sometimes not as obvious as is often claimed. Now let’s say the (greedy) landlord raises the rent every year, the tenant might not have the opportunity to simply find something new/doesn’t have the necessary transparency, and compared to that, the builder is lucky to have acquired a masterpiece of craftsmanship with their project during the absolute low-interest phase, and suddenly the whole calculation can clearly play out in favor of the buyer. Of course, the opposite is also true.

In other words: It’s not as clear-cut as it’s often suggested. Therefore, I also understand why one might consider living in rented accommodation longer if there are no compelling reasons otherwise.

So gesehen streicht der Selbstnutzer diese Rendite in Form von Ersparnis ebenfalls ein.

You are definitely not studying business administration. The question remains what actually brings you to the forum ...? Rhineland greetings

You are definitely not studying business administration. The question remains, what actually draws you to the forum ...?

Rhenish greetings

In view of such posts: Very good question.