While properties in the highest energy efficiency classes A and B showed almost stable prices, there was a price slide for poorly renovated properties, ImmoScout24 states. Properties in energy efficiency classes C and D lost eight percent of their value between May 2022 and May 2023, while the decline in classes E to H was five percent, according to an evaluation of sales offers in independent cities by the online broker. ImmoScout24 expects that the asking prices for poorly renovated properties will also fall in rural areas “as soon as the renovation costs become uneconomical in relation to the marketing value”.
Comment by Dirk Hasselbring
The real estate prices of existing properties are increasingly influenced by the expected renovation costs. We focus on the “decarbonization path” (reduction of CO2 emissions) of an object. If you don't know what costs you will incur after buying an older property, you will either ask for a significant discount or refrain from buying it completely. With a view to upcoming laws - keyword renovation obligation - two things are important: they must not overwhelm the owners, and the costs must be made transparent quickly. Ecology and economy must be taken into account in all measures and complement each other successfully in existing properties if they are purchased and renovated professionally.
Managing Director
d.i.i. Investment GmbH