Energy efficiency in the housing market: Where buying is really worth it!

Energy efficiency in the housing market: Where buying is really worth it!

In Germany, the search for the right home is increasingly determined by one important aspect: energy efficiency. The Hamburg Institute of World Economics (HWWI) has published a comprehensive study on the energy efficiency of condominiums on behalf of Postbank. The results of the “Postbank Housing Atlas 2025” study show how important the energy efficiency class is for buyers and sellers. All EU countries must achieve a reduction in the average primary energy consumption of residential buildings by 16% by 2030 and by 20-22% by 2035, and these requirements also apply in Germany via the Building Energy Act (GEG). reports Baulinks.

Currently, around 31% of the condominiums on offer in Germany are classified in the energy efficiency classes A+, A, B, C and D. The greatest density of energy-efficient apartments can be found in the seven large metropolises, with a share of 32.3%. What is particularly noteworthy is that in 39 regions - primarily in eastern Germany and southern Bavaria - over 40% of the apartments are in these categories. The Oberhavel district in Brandenburg leads here with 49%, followed by Jena and Rottal-Inn with 47.9% each. reports Postbank.

Price analysis of energy efficient apartments

The price differences for apartments vary greatly depending on the energy efficiency class. The average purchase price per square meter for apartments with energy efficiency class D or better shows a wide range. Buyers in Jena pay 4,549 euros and in Hamburg even 7,409 euros per square meter. In the Big 7 cities, the average price for well to very well equipped apartments with energy efficiency is an impressive 6,748 euros per square meter. In contrast, apartments in classes E to H are on average 1,782 euros cheaper, which underlines the attractiveness of the energy-efficient offers notes Real Estate Pilot.

Particularly high price premiums for energy-efficient apartments are observed in regions such as Miesbach in Bavaria, where buyers face a surcharge of 3,112 euros per square meter. In 64 regions of Germany, the price increases are over 1,000 euros per square meter, with cities such as Hamburg and Munich being particularly expensive states Baulinks.

Energy efficiency and purchasing decisions

Deciding between energy efficient and less efficient condos is not easy for buyers. In many regions, renovating older properties can be worthwhile, as Postbank highlights in its study. Renovation costs depend on the condition of the property and the number of residential units and could, for example, be similar in a 4-unit house as in a 20-unit building. It is therefore important to also take into account reserves and the existing heating system, which will affect the prospective buyer.

The prices for less efficient apartments also vary greatly. In some regions, such as the Saale-Orla district, buyers are even faced with a surcharge of just 223 euros, while in Rostock they have to pay 912 euros more for less energy-efficient apartments. This shows that location and amenities are not to be neglected reports Postbank.

All in all, despite the challenges of recent years caused by the Covid-19 pandemic, the energy crisis and the war in Ukraine, the real estate market in Germany has undergone noticeable change. Buyers are required to keep an eye on both current market conditions and energy efficiency requirements. Ultimately, the purchase price will also be influenced by legal requirements and the demand for energy-efficient properties in the future notes Real Estate Pilot.