My partner and I have rented a home in a small village and would like to stay there for many decades to come. However, I feel uncomfortable being a tenant. So, we have saved enough money to buy a house.
Unfortunately, no house has been for sale in this area for at least six years. What should I do with the money while we wait for a buying opportunity? I want to minimize the volatility risk of the real estate market and avoid bleeding money to the landlord.
My idea was to "indirectly" buy a house through investing in real estate companies. The dividends would pay our current rent and the value of the shares would roughly match the price changes on the local real estate market.
However, compared to (directly) owning a home we would have to pay 25% tax on the dividend income.
Is there a way to save the money without additional losses compared to buying a home now?
(I was thinking about founding a "home cooperative" with my partner, which holds the shares and becomes the tenant for the current home. The rent reduces the profit of the cooperative to near-zero.)