It’s always great when an innovative idea hits the market at the right time.

Our core market for Gecci Rent And Buy ® and GECCI LIVING® is Germany. Gerald Evans and his team are very knowledgeable about this and are well connected. Many construction requests for the first GECCI houses have been contractually ratified and will be built from 2021. At the same time, we will enter the markets of Western Europe, the USA and Canada in the near future, and preparations are already under way here. It is planned to also sell the business model through licensing. The first interested parties for licensing and investors are already on board.

In general, however, our focus is of course on a much larger market: There is an extreme "tenant market" everywhere in Germany, Western Europe, the USA and Canada: The home ownership rate in Germany is well below the European average and the markets we target are very prevalent Great demand.

At the same time, the pressure is increasing rapidly under the rising price trend: for years, rents have been rising continuously, especially in metropolitan areas and important economic regions. And the results of the German government's housing summit in autumn 2018 also have more of a cosmetic effect than a programmatic, sustainable solution. We also see problems in the markets of Western Europe, the USA and Canada. We believe we can make an important contribution to solving this problem.

What does this scenario mean for our target groups,
especially for young families?

Affordable rental properties are scarce, in city centers as well as in suburbs. Not just in large cities like Hamburg, Berlin oder Hanover, but also in many smaller towns and even in rural areas.

Reorganization, changes with municipal housing or redevelopments can result into our target groups no longer being able to afford their housing. Even when the household income should actually be sufficient.

The logical consequence of this situation is the purchase of an own home, ideally outside urban areas. Problem of this alternative is the financing.

Since the introduction of the EU directive from 2016 relating to credits for residential properties, the financial corporations are obliged to exert a very restrictive credit policy.

The consequence: Up to 50 per cent of all credit requests are rejected. Even when the applicants are actually solvent and reliable.

And if the credit is granted, the interest rate is rather high, especially with local banks: Since their profits have severely suffered for years due to the low interest rate policy, they try to compensate this with their interest rates for credits.

At the same time the demand for turnkey homes outside the cities continues rising. The competition in our target groups continues to grow. And immigration adds to this situation.

It is always great, when an innovative idea already exists.

It is undeniable: Our target group needs alternatives. A home they can really afford and which is protected from rising rent prices and interest rates. This alternative is Gecci Rent and Buy®. Potential home owners can purchase their home without credit and even save up to € 30,000 over the whole time span.

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