What is the trend of German property prices during the corona pandemic?

The experts at Momo Estates are obviously watching the price level of German real estate especially during this corona time with great interest. The key question here is what is the trend of German property prices during the corona pandemic? After all, this is an interesting fact now that economic figures are also generally declining in our eastern neighbours. However, German real estate prices surprisingly show a different picture. Time for a mid-term review.

Trend of German property prices: how do German property prices compare with economic figures?

Elsewhere on Momo Estates' website, there is an article stating that our experts were convinced that it was still a very good and profitable choice to invest in German real estate, despite the fact that the world is dealing with the corona virus outbreak and suffering from its economic damage. It is an article written before the outbreak of the second corona wave. That our experts were very right in this is evident from the fact that German property prices are still rising sharply and there seems to be no end in sight for the time being.

Economic experts marvel at constant rise in German house prices

That the coronavirus outbreak has had a major impact on economic developments is a conclusion we can draw towards the end of 2020. The economic damage has been felt across Europe. Even a strong German economy is clearly feeling the effects of the pandemic. Many German companies have gone bankrupt, the hospitality industry is desperately searching for ways to keep its head above water, entire industries are becoming depleted and the unemployment rate is showing a strong upward trend. Surprisingly, therefore, German property prices are rising relentlessly.

The Federal Statistical Office recently announced that residential property prices in Germany in the third quarter of 2020 saw their strongest increase in four years. The fourth quarter of 2016 last saw such an increase as what was seen in the third quarter of 2020. This is a striking picture that is completely at odds with the country's economic figures. Many economic experts are therefore surprised by this constant rise in German house prices and say they expected a different picture.

A good time to invest in German real estate

There are several reasons to believe that no stagnation in rising German property prices should be expected for the time being. One reason is the high demand for housing. In many places, there is a housing shortage which makes flats scarce and expensive. This fact underlines what our experts have already pointed out: now is still an excellent time to invest in German real estate. Given the expected price rise, it is even better not to postpone this step unnecessarily.

The experts at Momo Estates will be happy to take the time to discuss your options and inform you on how to invest in German real estate. In addition, we can assist you throughout the process if you wish. Please feel free to contact us to make a non-binding appointment.