FAQ — Investment

A gross yield of 4-6% is considered reasonable in Belgium. The net yield (after charges, taxes and vacancy) is typically between 2.5-4%. Cities offer lower but more stable yields.

1. Define your budget and borrowing capacity. 2. Choose a location with strong rental demand. 3. Calculate the net profitability. 4. Visit and have the property inspected. 5. Build a solid mortgage file.

Through a company, expenses and depreciation are deductible but corporate tax applies. As an individual, taxation is based on the cadastral income. For a large portfolio (>3-4 properties), a company can become advantageous.

Banks generally require a 20-30% deposit for a rental property (more than for a primary residence). Some banks accept 10-15% if the borrower's profile is strong.

Gross yield = (annual rent / purchase price) × 100. Net yield = (annual rent − charges − taxes − vacancy) / (purchase price + acquisition costs) × 100.

New builds require less maintenance and have better energy performance but cost more. Older properties offer better gross yields and the opportunity to add value through renovation.

Yes, but conditions are stricter than for a primary residence: higher deposit, slightly higher rate, and the loan-to-value (LTV) ratio is generally capped at 80%.

Choose a location with strong demand, set the rent at market price, maintain the property, anticipate the tenant's departure and publish the listing quickly. One month of vacancy costs ~8% of the annual yield.

Vary property types (apartments, houses, commercial), locations (cities, neighbourhoods) and tenant profiles (students, families, professionals). This reduces vacancy and non-payment risk.

Borrowing to invest increases the return on equity if the property yield exceeds the cost of the loan. Example: with a 20% deposit and a 4% net yield, the return on equity can reach 8-10%.