Buying house: now affordable in Germany again!

Buying house: now affordable in Germany again!

Real estate prices in Germany have developed strongly in recent years. Current analyzes show that buying a house is now as affordable as before the crisis. This positive trend is primarily attributed to the stable interest and the ongoing salary growth. According to the Immobilien Zeitung , the purchase prices for single-family houses have remained stable on average, while rents in many cities continue to rise. In this way, buyers are increasingly gaining the opportunity to live in their own home and leave the rental prices behind.

not everywhere in Germany, the dream of home is easy to realize. The Interhyptian index shows that the affordability of real estate depends heavily on the location. In metropolitan regions and neighboring counties, the hurdles for the acquisition of home ownership are high. In comparison, medium -sized cities and rural areas often offer better employment opportunities, which is a welcome message for many prospective buyers.

regional differences in affordability

Especially affordable real estate can be found in structurally weaker regions of East and northern Germany. The data proves that buyers have affordable apartments and houses in some counties. Examples of such regions are:

• Thuringia (Kyffhäuserkreis: 166 points)
• Saxony-Anhalt (Salzlandkreis: 170 points)
• Niedersachsen (Emden: 164 points)

The big picture, however, shows that the top 5 of the most affordable regions are characterized by high scores:

Cologne in comparison

cities like Cologne have also moved close to 80 points in their affordability. The Interhyp Index names Cologne with 82 points in a list that looks at the affordability in the seven largest German metropolises. The scale shows here that the real estate market in Cologne offers both opportunities and challenges. While there are certainly attractive curvations in the city, the search for affordable living space remains a difficult undertaking for many.

Overall, it can be said that almost 45 % of households in Germany do not live in the top 7 metropolises, but in large cities or their surrounding area, where there is affordability. This means that there are perspectives for buyers if they expand their search radius beyond the preferred regions and go in search of new opportunities.

Finally, it becomes clear that the real estate market in Germany is currently changing. The chances for buyers are better than ever, especially in relation to the regional differences of the affordability that are worth. Anyone who has a good knack and strategically can soon realize the dream of their own home.