Stormy weather conditions for home sellers
The real estate markets are not only in flux, but their development is also uneven across Germany. Inflation and rising interest rates have led to a loss of purchasing power for many prospective homebuyers. Demand for real estate has fallen significantly in some regions of Germany, but not everywhere.
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During the recent period of low interest rates, many prospective homebuyers could still afford a mortgage. This resulted in high demand for real estate across much of Germany, particularly in metropolitan areas and their surrounding suburbs. Currently high repayment rates are making financing difficult for many potential buyers.
Buying property is still possible if prospective buyers adapt to the changed circumstances. For example, extending the loan term or looking for a smaller property can be ways to fulfill the dream of owning your own home.
Nevertheless, the apparent difficulty of securing financing has led to a decline in demand. In some regions, home sellers have no choice but to negotiate prices with potential buyers. In other parts of the country, however, property sellers are still able to record slight price increases.
Where, for example? You can find out in our video.