In this interview, our estate agent Dirk Wagner Insights into the topic of property as an investment. Dirk has been working as a broker and consultant in the investment sector for many years and has a deep understanding of how markets work, how wealth is created and which decisions really count.
The questions Vazha Zviadauri, working student at Black Label Immobilien. The conversation makes it clear how real estate is not just about numbers, but about teamwork, experience and thinking together about sensible decisions.
Question 1: What is a capital investment?
Capital investment means asset accumulation. Capital describes monetary assets that you build up, and investment is the form in which this happens. Alongside insurance, shares or ETFs, property is one of the asset classes in which you either invest money or build up assets in instalments. In the case of property, you use borrowed capital from the bank, buy a flat for 100,000 euros, for example, and repay it with the help of rental income, tax effects and possibly subsidies. At the same time, you protect yourself against inflation and benefit from long-term capital appreciation.
Question 2: What is the difference between an investment and a property for own use?
An owner-occupied property is a personal housing decision and has nothing to do with an investment. With a capital investment, you always buy a rented residential unit. Parameters such as
Is the location suitable in the long term?
Will there still be demand there in 10 or 20 years?
Can the flat be let permanently?
How stable is the performance?
The higher the demand at the location, the more stable the value and the easier it is to find long-term tenants. If you have the expertise, you can check these points yourself. If you don't, you should definitely have them checked, because these criteria are decisive for long-term success.
Question 3: Which expert should you turn to if you don't have the knowledge yourself?
If you cannot categorise the parameters with certainty, you should turn to experts. These include estate agents who know the market and can assess whether the location, demand and price match. A tax advisor is also important because they can assess the tax implications of a capital investment and how the tax burden is reduced by certain types of property. Both perspectives - market and tax - are crucial to understanding whether a property makes economic sense.
Question 4: For whom is property the most attractive investment?
Basically for many people, provided they have a solid credit rating. From around 2,500 to 3,000 euros gross, a bank can provide additional financing. Three groups benefit in particular:
People with a high tax burden: They can use certain types of property to significantly reduce their taxes.
Young professionals: Time is a decisive lever - if you start early, you can build up a larger portfolio over many years.
High-income occupational groups: A classic example from my work: doctors who earn well early on and plan for the long term.
Question 5: Are there any examples from your counselling practice?
Yes, many. Much of my experience comes from the time I worked as a consultant for young doctors. This professional group is particularly well suited to demonstrating the impact of long-term investments: they earn well early on, have stable career prospects and are often faced with the question of how to use their income wisely.
The most typical scenario:
Many people initially leave their money in their bank account - with the feeling that they are building up wealth. In reality, however, they lose purchasing power year after year due to inflation. This becomes apparent when you look at the prices of everyday goods, supermarket purchases or cars, which become much more expensive over the years. Exactly the same development also affects the money that sits unused in your account.
Time and again, our advice shows how much of a difference it makes when young people get into property early instead. Some buy another flat every two to three years because income, property development and creditworthiness develop positively. After ten to fifteen years, an impressive fortune is created without stress.
The decisive factor is not a single property, but continuity: start early, check regularly, make targeted additional purchases. Time works in favour of these investors - and that is what makes the results so clearly visible.
This conversation will also be accompanied by a Video, in which Dirk Wagner explains the contents in detail.Â
Question 6: How do you see Berlin as a place to live and a market?
I've lived in Charlottenburg since 2008 and feel very much at home in the south-west. Berlin often feels like several cities at once: there are metropolises, quiet residential areas, forests, water and very different neighbourhoods. Some areas are characterised by tourism, others are young, others are more family-oriented or inhabited by older people.
It is precisely this diversity that characterises Berlin. There are differences between East and West, but many old neighbourhoods show that the city belongs together. The slab is typical for the East, large, dense housing estates for the West. The breadth and diversity of the city is unique.
Question 7: Many salespeople say „I'll save the commission if I do it myself.“ What do you say to that?
The idea seems logical, but often leads to financial losses. Private sellers usually set the price incorrectly - too high because neighbours provide comparative values that do not correspond to the real selling prices, or too low because decisive market knowledge is lacking.
An experienced estate agent knows:
Actual sales prices (e.g. via the expert committee),
the effects of interest rates and bank behaviour,
the right arguments in negotiations,
our own database of registered prospective buyers.
Many private sellers buckle in negotiations because they lack arguments. This often leads to lower proceeds than with an estate agent - even after deducting the commission.
Question 8: What does counselling mean to you personally?
For me, counselling means understanding someone.
Who are you?
What moves you?
Where do you want to go?
And then to consider which strategies make sense - not for just any investor, but for this particular person. Experience is important here, but joint reflection is just as important. It's not about „pushing through“ an object, but about making decisions that work.
