Housing Index in Germany increased to 219.06 points in July from 218.19 points in June of 2025. This dataset provides the latest reported value for - Germany House Price Index - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

The average price of detached and duplex houses in the biggest cities in Germany varied between approximately ***** euros and 10,000 euros per square meter in 2024. Housing was most expensive in Munich, where the square meter price of houses amounted to ***** euros. Conversely, Berlin was most affordable, with the square meter price at ***** euros. How have German house prices evolved? House prices maintained an upward trend for more than a decade, with 2020 and 2021 experiencing exceptionally high growth rates. In 2021, the nominal year-on-year change exceeded 10 percent. Nevertheless, the second half of 2022 saw the market slowing, with the annual percentage change turning negative for the first time in 12 years. Another way to examine the price growth is through the house price index, which uses 2015 as a base. At its peak in 2022, the German house price index measured about *** percent, which means that a house bought in 2015 would have appreciated by ** percent. Is housing affordable in Germany? Housing affordability depends greatly on income: High-income areas often tend to have more expensive housing, which does not necessarily make them unaffordable. The house price to income index measures the development of the cost of housing relative to income. In the first quarter of 2024, the index value stood at ***, meaning that since 2015, house price growth has outpaced income growth by about ** percent. Compared with the average for the euro area, this value was lower.

The German residential real estate market, valued at €372.77 million in 2025, is experiencing robust growth, projected to expand at a CAGR exceeding 3.06% from 2025 to 2033. This growth is fueled by several key factors. A consistently strong economy, coupled with increasing urbanization and a growing population, particularly in major cities like Berlin, Munich, and Hamburg, are driving demand for residential properties. Furthermore, government initiatives aimed at improving housing affordability and infrastructure development are contributing to market expansion. The market is segmented by property type (villas/landed houses, condominiums/apartments) and key cities, reflecting regional variations in price points and demand. Competition among major players like Vonovia SE, Deutsche Wohnen SE, and LEG Immobilien SE is intense, yet the market's overall growth provides opportunities for both established firms and new entrants. However, challenges such as rising construction costs, stringent building regulations, and limited land availability in desirable urban areas could potentially restrain growth in certain segments. The sustained demand, particularly in the rental sector, suggests a positive outlook for the long-term stability and profitability of the German residential real estate market. While specific data for historical periods is limited, the consistent 3.06% CAGR suggests a steady and predictable growth pattern. This allows us to extrapolate logical estimates. The concentration of large players indicates a well-established market with a healthy balance between supply and demand. While challenges exist, the underlying economic strength and demographic trends suggest that the market’s positive trajectory is likely to continue. The segmentation by property type and city allows for a nuanced understanding of market dynamics within different geographical locations and among different target consumer groups. This in turn permits tailored investment strategies to optimize returns and minimize risks associated with this dynamic sector. Recent developments include: May 2023: Vonovia and CBRE Investment Management agreed to sell five assets totaling 1,350 apartments in Berlin, Munich, and Frankfurt. Three of these properties are new constructions finished and operated in the rental category. The remaining two are under construction, with completion scheduled for the second and third quarters of 2023., January 2023: Vonovia, a German real estate corporation, invested in Gropyus, an Austrian developer of ecological dwellings. Vonovia, which has 1.5 million German citizens, will lead Gropyus' EUR 100 million (USD 106.79 million) series B investment to develop the latter's prefab manufacturing factory in Richen, Austria. FAM AB, a stakeholder in Gropyus, is also investing.. Key drivers for this market are: Strong Demand and Rising Construction Activities to Drive the Market, Rising House Prices in Germany Affecting Demand in the Market. Potential restraints include: Strong Demand and Rising Construction Activities to Drive the Market, Rising House Prices in Germany Affecting Demand in the Market. Notable trends are: Strong Demand And Rising Construction Activities To Drive The Market.

Key information about House Prices Growth

• Germany house prices dropped 0.7% YoY in Sep 2024, following a decrease of 2.5% YoY in the previous quarter.
• YoY growth data is updated quarterly, available from Mar 2001 to Sep 2024, with an average growth rate of 2.2%.
• House price data reached an all-time high of 12.8% in Sep 2021 and a record low of -10.3% in Sep 2023.

Graph and download economic data for Real Residential Property Prices for Germany (QDER628BIS) from Q1 1970 to Q1 2025 about Germany, residential, HPI, housing, real, price index, indexes, and price.

The nominal price of residential properties in Germany in the fourth quarter of 2024 showed a modest increase of **** percent. This marks a recovery from previous declines, as the annual house price growth had turned negative in the earlier quarters of 2023, where house prices fell by over ** percent. Adjusted for inflation, the decrease was also noted at ***** percent in the fourth quarter of 2024. This trend could be observed across the major German cities.

The Germany Residential Real Estate Market is Segmented by Property Type (Apartments & Condominiums and Villas & Landed Houses), Price Band (Affordable, Mid-Market and Luxury), Business Model (Sales and Rental), Mode of Sale (Primary and Secondary), and Key Cities (Berlin, Hamburg, Munich, Cologne, Frankfurt, Dusseldorf, Leipzig and Rest of Germany). The Market Forecasts are Provided in Terms of Value (USD).

The house price index in Germany increased steadily from 2016 to 2022, followed by a decline until the first quarter of 2024. The index amounted to 100 in 2015 and, at its peak in the second quarter of 2022, exceeded 166 index points, meaning that house prices had risen by 66 percent during that period. Among the leading residential real estate markets in Germany, Munich had the highest square meter price for apartments.

In 2023, the German house price index was almost 149.2 percent, based on preliminary figures. This was an increase of around 49 percent compared to the index year of 2015.

House Price Index YoY in Germany increased to 2.60 percent in July from 2.50 percent in June of 2025. This dataset includes a chart with historical data for Germany House Price Index YoY.

The Germany Prefabricated Houses Market Report is Segmented by Material Type (Concrete, Glass, Metal, Timber and Other Materials), by Type (Single-Family and Multi-Family), by Product Type (Modular Homes, Panelised & Componentised Systems, Manufactured Homes and Other Prefab Types), and by Key Cities (Berlin, Hamburg, Munich, Cologne, Frankfurt and the Rest of Germany). The Market Forecasts are Provided in Terms of Value (USD).

The German condominiums and apartments market exhibits robust growth, projected to maintain a Compound Annual Growth Rate (CAGR) exceeding 7.80% from 2025 to 2033. While the exact market size in 2025 is unavailable, considering a typical market size for a developed nation with Germany's population and economic indicators, a reasonable estimate would be in the range of €50-70 billion. This substantial value reflects a significant investment in residential real estate, fueled by several key market drivers. Strong urbanization trends, a growing population, and increasing demand for modern, comfortable housing contribute significantly to market expansion. Government initiatives aimed at affordable housing and infrastructure development further stimulate demand. However, the market faces constraints, including rising construction costs, land scarcity in prime urban locations, and regulatory hurdles. These challenges necessitate innovative construction techniques, sustainable building practices, and efficient land utilization strategies to ensure sustainable growth in the sector. Segmentation within the market likely reflects various property types (luxury apartments versus affordable housing), geographical locations (urban vs. rural), and ownership models (rental vs. owner-occupied). Key players such as Vivawest GmbH, Koster GmbH, Hochtief Solutions AG, and others are actively shaping the market through their development projects and innovative approaches. The forecast period, spanning from 2025 to 2033, promises continued expansion, albeit with the need to address the identified constraints to maintain the predicted CAGR. The German condominium and apartment market’s future trajectory is directly tied to the effectiveness of addressing existing challenges. Success hinges on strategies that balance market demand with sustainable growth. This encompasses developing cost-effective and environmentally friendly construction methods, optimizing land use, and streamlining regulatory processes. Furthermore, diversifying property types and locations to cater to a broader spectrum of consumer needs will be crucial for sustained, healthy growth throughout the forecast period. Continuous innovation in design, materials, and technology will enable market leaders to stay ahead of the curve and navigate the complexities of this dynamic market. The ongoing need for affordable housing presents both a challenge and an opportunity, requiring strategic partnerships between government, developers, and investors to deliver solutions that cater to the diverse needs of the German population. Key drivers for this market are: 4., Aging Population4.; Increased Longevity. Potential restraints include: 4., Inadequate Staffing. Notable trends are: Freehold apartments: Consistent demand maintains steady prices.

This paper examines the effects of real estate transfer taxes (RETT) on property prices using a rich micro dataset of roughly 17 million German properties for the period from 2005 to 2019. Our empirical analysis exploits variation in RETT rate hikes across German states and over time. Our monthly event study estimates indicate a price response that strongly exceeds the change in the tax burden for single transactions. Twelve months after a reform, a one percentage point increase in the tax rate reduces property prices by on average 3%. Price effects are larger for apartments (-4%) than for single-family houses (-2%). Exploring potential mechanisms, we provide evidence that different holding periods are the main driver of the differential price effect between property types. Please note that the main data that we use is proprietary to the firm FuB IGES. The online replication package includes our do-files, a codebook of our main data, and the resulting log files, tables and figures. For the purpose of replication, the data, along with all code, can be accessed at the Economics and Business Data Center (EBDC) of the ifo Institute and the University of Munich. The EBDC offers researchers to use its facilities and access the data stored there at no costs. Further information about the EBDC can be found here: https://www.ifo.de/en/EBDC.

Residential Property Prices in Germany increased 3.81 percent in March of 2025 over the same month in the previous year. This dataset includes a chart with historical data for Germany Residential Property Prices.

The German residential construction market, valued at approximately €XX million in 2025, is projected to experience robust growth, with a Compound Annual Growth Rate (CAGR) of 5.50% from 2025 to 2033. This expansion is driven by several key factors. Firstly, a persistent housing shortage in major German cities fuels strong demand for new apartments and condominiums, particularly in urban centers experiencing population growth and inward migration. Secondly, increasing disposable incomes and favorable mortgage interest rates contribute to heightened purchasing power among potential homeowners. Government initiatives aimed at promoting sustainable building practices and energy efficiency further stimulate the market. The renovation segment is also experiencing growth, reflecting a focus on upgrading existing housing stock to meet modern standards and improve energy performance. The market is segmented by dwelling type (apartments & condominiums, landed houses & villas) and construction type (new construction, renovation). While the new construction segment dominates, the renovation sector is showing promising growth potential, driven by the aging housing stock and rising awareness of sustainable living. Key players like The Grounds Real Estate Development AG, KAEFER Construction, and Deutsche Wohnen SE are actively shaping the market landscape through innovative projects and strategic acquisitions. However, the market faces certain challenges. Rising construction material costs, labor shortages, and complex permitting processes can impact project timelines and profitability. Furthermore, increasing regulatory scrutiny regarding environmental standards and energy efficiency requirements presents both an opportunity and a potential restraint for developers. Despite these hurdles, the long-term outlook remains positive, with continued growth fueled by sustained demand and ongoing government support. The market's dynamic nature presents opportunities for both established players and emerging companies to capitalize on innovation, sustainable practices, and technological advancements within the construction sector. Recent developments include: January 2023: MPC Capital, an asset and investment manager, has acquired a new construction project in Nauen, Berlin, for its "ESG Core Residential Real Estate Germany" fund. The project is being built to the KfW-40 EE standard and meets extensive ESG criteria, which are required for the fund to invest. The development consists of seven multi-family buildings totalling 106 residential units and 127 parking spaces. The rentable living space is approximately 8,600 m2. The project is expected to be completed by the end of 2024., December 2022: Allianz Real Estate, on behalf of Allianz companies (Allianz), and Heimstaden Bostadinjectst have invested SEK 7,000 million (EUR 650 million (USD 703.58 Million)) in their existing Swedish joint venture, with the proceeds going toward debt repayment. Allianz and Heimstaden Bostad form a new joint venture that includes Allianz's German residential real estate portfolio. With a current occupancy of 97%, the new joint venture will own 38 properties with 3,135 homes in Düsseldorf, Greater Munich, Cologne, Bonn, Berlin, and Stuttgart.. Key drivers for this market are: 4., Rising Disposable Incomes4.; Government Initiatives4.; Growing Expatriate Population. Potential restraints include: 4., Regulatory Framework4.; The Risk of Oversupply. Notable trends are: Rising Home Prices in the Market.

The vacancy rate of housing in Germany has been decreasing in recent years. In 2022, approximately *** percent of residential units in Germany were vacant. For comparison, in 2009, the vacancy rate was *** percent.

House prices in Germany rose by about ** percent in 2021 but price growth is forecast to slow down until 2024. According to a report by the Deutsche Bundesbank, the German housing market is set to experience a *** percent increase in the average house price in 2023 and *** percent increase in 2024. According to the source, despite higher construction costs, financing costs, and overall economic uncertainty, the high housing demand alongside insufficient supply are likely to continue to drive prices up. Residential real estate prices in the largest cities have grown substantially since 2012. In Munich - Germany's most expensive residential market - the square meter price reached almost ****** euros per square meter in 2022.

Germany Residential Real Estate Market size was valued at USD 792 Billion in 2024 and is projected to reach USD 1224.72 Billion by 2032, growing at a CAGR of 5.6% during the forecast period from 2026-2032.

Germany Residential Real Estate Market: Definition/Overview

Residential real estate in Germany includes properties for private living such as single-family homes, multi-family units, condominiums, and apartments. These properties serve to people and families looking for permanent or temporary housing, with an emphasis on high-quality construction, energy efficiency, and sustainable design approaches that conform with Germany's severe building laws.

Residential real estate in Germany is a cornerstone of urban growth and housing solutions, providing areas for both personal occupancy and investment.

In 2023, the Germany Real Estate Market reached a value of USD 634.2 million, and it is projected to surge to USD 738.6 million by 2030.

The two data sets used in the analysis comprise listing prices and housing characteristics from the German real estate platform Immobilienscout24 as well as transaction prices and housing characteristics for houses sold in Berlin between January 2013 to October 2015.