You are getting a return of €12,600 less costs, say €11,000 before tax on an investment of €123,000 that is a return of almost 9%.
There is potential for capital appreciation or depreciation.
You may have a deferred tax liability if you sell, depends on weather the €47k renovations is capital spending or not.
This is a great investment, subject to the usual risks of owning property. Wanting the money to trade up is not really a financial decision, more a lifestyle one.