A good investment
Investing in quality of life
It's good to know wether you can sell your 21-5 share when you buy it, and whether you can expect to make a profit or a loss on your investment.
You should not buy a 21-5 share just as an investment. It should be an investment in your quality of life. In the long run, however, the value of your share will generally increase, just as real estate generally increases in value over time.
21-5 has proven to be a good investment for those families who have sold their shares, with an average return of around 50% on their investment.
0%
Average resale appreciation
Since 2012, more than
0€
has been invested in 21-5 shares
Sales of pre-loved shares prove that 21-5 is a good investment
What will happen to the 21-5 share price?
When buying a property, whether it's a main residence or a holiday home, whether at home or abroad, most people's first consideration is whether the property meets the needs they want to satisfy with the purchase.
For most people, the most important factor is utility value, i.e. whether the property will provide the perfect setting for some of the family's future holidays. However, the investment perspective is also a factor that most people consider when buying property, and this is probably especially true when buying holiday homes abroad.
We haven't designed our 21-5 shares as an investment vehicle, but it's reassuring to have a sense of whether you can sell your share without losing money.
Since 2016, when we sold the first pre-loved shares in existing owners' associations, this has become a natural part of everyday life at 21-5. Some families go through divorce, others have fallen ill or worse. But most families who sell their shares in existing owners' associations move to another 21-5 association, either with larger or smaller homes, or with different destinations.
A good short-term investment
We have learnt that a 21-5 share increases in value already over the first few years, from the time an association is founded and you pay for your share to the time when all 5 homes are in operation. The main reason for the increase in value is that we find that many families want to buy into an established association rather than being involved in starting a new one. This is similar to buying a property at the development stage (off-plan), there is often an increase in value when the home is ready for use.
When more families are interested, it will naturally lead to an increase in value when all 5 homes are ready for use. By buying into an established association you can:
- See the actual 5 homes that have already been purchased
- Book vacations immediately
Besides what is mentioned above, there two other important factors for the prise increase:
- We are the undisputed European champions in buying homes abroad. No one has bought and renovated so many unique holiday homes around the world. We therefore have a unique experience that makes us very good at finding the best properties and buying them at very reasonable prices.
- We often buy artisan properties or actual ruins that need to be rebuilt and extended. This is how we add value to the homes. We find that much of the renovation work we do adds a great deal of value to the homes - in addition to the price we pay for the renovations.
We don't expect that you wish to join 21-5, and own your share only for short period of time, but it is good to know that you can sell, and at the very least get your money back. Our knowledge of value creation in the first few years is based on actual pre-loved shares we have sold.
Over time, homes always increases
The graph shows the development of Danish house prices 1940 - 2022, adjusted for inflation. Prices around the world follow a similar pattern as long as we stick to traditional destinations and markets and don't venture into uncertain markets and countries with unstable economic and political climates. History shows that real estate always rises over time, even more than inflation. At the same time, history also shows that timing, and not least location, is important.
In most countries, outlying areas suffer while prices in and around the major cities boom. When selecting destinations for our groups, we avoid markets that are potentially too sensitive, in order to ensure that prices are as stable as possible.
The investment aspect is by no means the most important thing when deciding to join a 21-5 owner association. But it's nice to know that with a 21-5 share you will most likely see an increase in value, both in the short and long term.
