Mistake #1: confusing gross and net yield
This is by far the most common mistake. A 5% gross yield can turn into 2.5% net after deducting all charges. The calculation must include: property tax, insurance, maintenance, management fees, rental vacancy and income tax.
Mistake #2: ignoring the EPC
A property with a poor EPC score will need renovation in the medium term to comply with regional obligations. The cost of this renovation can reach €30,000 to €60,000 and must be factored into the initial investment calculation.