There are increasing signs that, in addition to rents, purchase prices are also rising again, writes the Handelsblatt, citing surveys by brokers and banks. Accordingly, the offer prices are rising for the second quarter in a row. This applies in six of the seven largest cities. Since rents have risen sharply, buying property is becoming interesting again, despite high interest rates. Since new construction activity is weak but the population is growing, the shortage of supply will continue for years to come.
Comment by Dirk Hasselbring
After the end of the real estate boom driven by cheap money, the view of the fundamentals is finally becoming clearer. And they speak a clear language: living space is scarce and will remain so for the foreseeable future. Growing population – driven by natural population growth and net immigration – as well as the ongoing trend towards ever smaller households are ensuring increasing demand. Despite all the bureaucratic obstacles and inefficiencies, the German housing market offers interesting prospects for investors.
Managing Director
d.i.i. Investment GmbH