Covid does not stop Germany. This is how we inaugurate our mini guide today. Although the situation in many countries is still critical, it is not surprising that in reality, like Germany, real estate does not seem to be collapsing. On the contrary. Unlike many other countries, Germany doesn’t seem to be stopped by Covid at all, thanks to the continuous increase in house prices. A tactic to avoid collapse ? Perhaps. But let’s get more into the heart of our mini-guide. Today we will find out why Covid is not stopping real estate Germany. So if you are intrigued or would like to buy a property in Germany… you are in the right place. Let’s get started!
Let’s start with the numbers: for houses and flats there has been an increase of 7% on an annual basis and 3% compared to the first quarter of 2020. A result that speaks for itself. But that’s not all. But where, indeed, did the collapse not take place? It should be pointed out, in fact, that the situation in Germany was obviously not homogeneous. The actual increases were recorded in what have been defined as the ”big seven”. So let’s find out what these resilient realities are!
The seven cities that have distinguished themselves, leading Covid not to stop Germany, are the following:
In smaller municipalities, the increases were even higher than in other cities. We are talking about 7.6% for houses and 8% for flats. It can be seen, therefore, that throughout Germany, Covid has generally been an accelerator for price increases.
Between April and June, in fact, a 5.9% increase was reported compared to the previous months.
However, the most significant drop was also the same. Do you want to know where ? In the availability of the offer in general.
According to the data collected, the decline in supply reported a minus 40 percentage points in the second quarter. Despite this, however, the market has roughly recovered as we have seen previously. It is estimated that 2020 will not only be the year of the pandemic. For Germany it will be a new record in the real estate sector, which it is hoped will be maintained in the following years.
2005-2019 REALIGRO REAL ESTATE LTD. All Rights Reserved - VAT Nr: 893969932
