Modernization Costs

Modernization costs, in contrast to expenditures for real estate repairs, constitute an investment. Through modernization surcharges, these costs can also be added to the rent. However to do so, they must increase the utility value of the property and also improve its use. Examples include the installation of an elevator, the improvement of sound insulation or also the construction of a balcony. Consequently, it makes sense to also differentiate between these cost groups within the scope of planning measures. In IT-based budget planning, the modernization costs can accordingly be reported separately.