A good investment
Investing in quality of life
It's good to know if 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 more than 50% on their investment.
Average resale appreciation
More than
- invested in 21-5 shares
The resales prove that 21-5 is a good investment
What will happen to the price of the 21-5 share?
When buying real estate, whether it's a year-round home or a holiday home, both domestically and internationally, most people consider first and foremost 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 vacations. However, the investment perspective is also a factor that most people consider when buying real estate, and this is probably especially true when buying vacation homes abroad.
We have not designed our 21-5 shares to be investment vehicles, but it's reassuring to have a sense of whether you can sell your share without losing money.
Since 2016 where we had the first resales, it has been a natural part of daily life 21-5. Some families go through divorce, others have fallen ill or worse. A little less than half of the families who sell theis shares, moves to another 21-5 association with either larger or smaller homes or different destinations.
A good short-term investment
We have learned that a share increases in value in the first few years, from the time the group is formed and you pay for your share to the time when all 5 houses are in use. The main reason for the increase in value is that we find that many families want to buy into an established owner association rather than being involved in starting a new one. This is similar to buying a property at the development stage, there is often an increase in value when the home is ready for occupancy.
The interest will naturally lead to an increase in value once all 5 homes are ready for occupancy. By buying into an established owner association, you can:
- See the actual 5 homes that have already been purchased
- Book vacations immediately
We don't expect you to buy a share and only own it for a short time, but it's good to know that you can sell at a reasonable price. Our knowledge of appreciation in the first few years is based on actual sales we have made for some of our 21-5 families.
In addition to the value created when the owner association is established, there are two other factors at play:
We are the uncrowned 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 expanded. This is how we add value to the homes. We find that much of the renovation work we do adds great value to the homes - in addition to the price we pay for the renovations.
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.