[{"data":1,"prerenderedAt":323},["ShallowReactive",2],{"blog-article-German-house-prices-under-covid-en":3},{"article":4,"recommendedArticles":300},{"slug":5,"title":6,"listPicture":7,"listPictureMobile":8,"listPictureWebp":9,"listPictureMobileWebp":10,"preview":11,"category":12,"author":13,"authorImage":14,"authorImageWebp":15,"authorDescription":16,"authorSlug":17,"content":18,"contentRaw":19,"order":270,"publishedAt":271,"createdAt":271,"updatedAt":272,"seoTitle":273,"seoDescription":274,"seoKeywords":275,"seoImage":276,"mainPicture":277,"mainPictureMobile":278,"mainPictureWebp":279,"mainPictureMobileWebp":280,"language":281,"subTitle":275,"actionLabel":275,"actionType":275,"actionText":275,"id":275,"introduction":282,"tableOfContentArray":283},"German-house-prices-under-covid","German house prices under Covid: Cause for alarm or chance?","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F6wcY7VV9LzzopfTcGEjIPg\u002F021594322465af55f2930e37c0f135d7\u002Fhouse-prices-covid-800x511.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002FRukRkhJkja2pZNDvGA7vV\u002Fe265755dcfd0318c7b37ef64c2b210cb\u002Fhouse-prices-covid-380x243.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002FIpyc9G78GuqsAAmMSPzsd\u002Fdeddb2c13a38dc142967b0ca9c4a5381\u002Fhouse-prices-covid-800x511.webp","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F2ZVbfF95D4EOR80i3Qc6Sj\u002Ff1b849e220e573d41cd49d9857fac091\u002Fhouse-prices-covid-380x243.webp","Covid-19 causes an unknown shock to Germany's economy. Should we worry about home prices falling, or should we use it as a buying chance?","property-search","Dr. Chris Mulder","https:\u002F\u002Fa.hypofriend.de\u002Fhypofriends\u002Fdr.-christian-mulder.png","https:\u002F\u002Fa.hypofriend.de\u002Fhypofriends\u002Fdr.-christian-mulder.webp","Dr. Chris is a former Senior Economist and Manager at the IMF and The World Bank. He is a Hypofriend Co-founder.","chris","  \u003Cdiv id=\"table-of-contents\">\n    \u003Cdiv class=\"headline\">\n      Table Of Contents\n    \u003C\u002Fdiv>\n    \u003Cul>\n      \u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-recent-price-momentum-was-very-positive\">\n    Recent price momentum was very positive\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-early-data-support-the-notion-that-the-momentum-continues-to-be-up\">\n    Early data support the notion that the momentum continues to be up\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-affordability-is-great\">\n    Affordability is great\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-housing-importance-is-up\">\n    Housing importance is up\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-unemployment-could-increase-though\">\n    Unemployment could increase though\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-the-interest-rate-outlook-is-still-subdued\">\n    The interest rate outlook is still subdued \n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-it-takes-a-lot-to-have-prices-decline-nominally\">\n    It takes a lot to have prices decline nominally\n  \u003C\u002Fa>\n\u003C\u002Fli>\u003Cli>\n  \u003Ca @click.prevent=\"$root.$emit('scrollAnchor', $event)\" href=\"#h-in-conclusion\">\n    In conclusion\n  \u003C\u002Fa>\n\u003C\u002Fli>\n    \u003C\u002Ful>\n  \u003C\u002Fdiv>\n\u003Cp>Here are some pointers followed by our conclusion. \u003C\u002Fp>\n\u003Ch2 id=\"h-recent-price-momentum-was-very-positive\">Recent price momentum was very positive\u003C\u002Fh2>\n\u003Cp>Why is that important? House prices are slow-moving variables. This means it takes quite a bit for a trend to change, as the trend reflects underlying fundamentals, like low interest rates. There was a strong upward momentum, and it is, therefore, likely that some upward momentum will be maintained.\u003C\u002Fp>\n\u003Ch2 id=\"h-early-data-support-the-notion-that-the-momentum-continues-to-be-up\">Early data support the notion that the momentum continues to be up\u003C\u002Fh2>\n\u003Cp>After a decline immediately following Covid-19's getting a foothold in Germany, buyer interest recovered, starting in mid-April.\u003C\u002Fp>\n\n            \u003Cpicture>\n              \u003Csource type=\"image\u002Favif\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=avif&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=avif&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=avif&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=avif&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=avif&w=1922 2x\n                    \">\n              \u003Csource type=\"image\u002Fwebp\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=webp&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=webp&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=webp&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=webp&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?fm=webp&w=1922 2x\n                    \">\n              \u003Cimg loading=\"lazy\" class=\"image-fluid\" alt=\"covid-property-recovery\" sizes=\"(min-width: 961px) 961px, 100vw\" width=\"961\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=1922 2x\n                    \" src=\"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png?w=961\">\n            \u003C\u002Fsource>\u003C\u002Fsource>\u003C\u002Fpicture>\n          \n\u003Cp>House prices also continue to rise, but frankly, those data are lagging due to the long time it takes to conclude a purchase in Germany and reflect strong buying interest in January and February. \u003C\u002Fp>\n\u003Cp>Our appointments are again up significantly. \u003C\u002Fp>\n\u003Ch2 id=\"h-affordability-is-great\">Affordability is great\u003C\u002Fh2>\n\u003Cp>Houses are much more affordable than they have been in 30 years due to the low interest rates. This will provide impetus to increase prices.\u003C\u002Fp>\n\n            \u003Cpicture>\n              \u003Csource type=\"image\u002Favif\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=avif&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=avif&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=avif&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=avif&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=avif&w=1922 2x\n                    \">\n              \u003Csource type=\"image\u002Fwebp\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=webp&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=webp&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=webp&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=webp&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?fm=webp&w=1922 2x\n                    \">\n              \u003Cimg loading=\"lazy\" class=\"image-fluid\" alt=\"affordability-perpective-germany\" sizes=\"(min-width: 961px) 961px, 100vw\" width=\"961\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=1922 2x\n                    \" src=\"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png?w=961\">\n            \u003C\u002Fsource>\u003C\u002Fsource>\u003C\u002Fpicture>\n          \n\u003Cp>Also, it is essential to realize that house prices in Germany declined from about 1970-2010 in real terms when they increased in other countries. This is also contributing to a very high level of affordability and underpins the underlying upward momentum.\u003C\u002Fp>\n\n            \u003Cpicture>\n              \u003Csource type=\"image\u002Favif\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=avif&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=avif&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=avif&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=avif&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=avif&w=1922 2x\n                    \">\n              \u003Csource type=\"image\u002Fwebp\" sizes=\"(min-width: 961px) 961px, 100vw\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=webp&w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=webp&w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=webp&w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=webp&w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?fm=webp&w=1922 2x\n                    \">\n              \u003Cimg loading=\"lazy\" class=\"image-fluid\" alt=\"german-house-prices-declined\" sizes=\"(min-width: 961px) 961px, 100vw\" width=\"961\" srcset=\"\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=327 327w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=570 570w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=961 961w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=1200 1200w,\n                      \u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=1922 2x\n                    \" src=\"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png?w=961\">\n            \u003C\u002Fsource>\u003C\u002Fsource>\u003C\u002Fpicture>\n          \n\u003Ch2 id=\"h-housing-importance-is-up\">Housing importance is up\u003C\u002Fh2>\n\u003Cp>With so many people working from home and being sequestered at home, many of us have a new appreciation of the importance of having a nice place to call your home. We even see it among our co-workers.\u003C\u002Fp>\n\u003Ch2 id=\"h-unemployment-could-increase-though\">Unemployment could increase though\u003C\u002Fh2>\n\u003Cp>Real house prices in Germany correlate well with unemployment. This correlation is strong, it seems, because unemployment is an indication of prosperity, which in turn attracts immigrant workers – as we have seen in recent years, as well as in the sixties.\u003C\u002Fp>\n\u003Cp>Going forward, we will see a rise in unemployment that is, in part, longer-lasting as we see some sectors (travel and tourism notably) facing a hard time. Other sectors (like IT in Berlin) are likely to continue to grow with the associated influx of highly skilled workers. \u003C\u002Fp>\n\u003Cp>In other words, this is a significant negative, but not as much as a general rise in unemployment would be.\u003C\u002Fp>\n\u003Ch2 id=\"h-the-interest-rate-outlook-is-still-subdued\">The interest rate outlook is still subdued \u003C\u002Fh2>\n\u003Cp>\u003Ca href=\"https:\u002F\u002Fhypofriend.de\u002Fen\u002Fmortgage-rates-germany\">\u003Cu>Interest rates\u003C\u002Fu>\u003C\u002Fa> are still lower than they had been before the outbreak of the crisis. While banks have raised the margins for mortgages somewhat, rates are still at all-time lows. \u003C\u002Fp>\n\u003Ch2 id=\"h-it-takes-a-lot-to-have-prices-decline-nominally\">It takes a lot to have prices decline nominally\u003C\u002Fh2>\n\u003Cp>House prices have rarely declined in nominal terms in German history. Indeed, this is a global trend, with people being very averse to taking what they perceive as a nominal loss on the value of their home. \u003C\u002Fp>\n\u003Cp>Sellers don't consider the price they bought as a starting point; they only consider it the highest nominal value they have estimated for their home. It typically takes forced sales to bring house prices down.\u003C\u002Fp>\n\u003Ch2 id=\"h-in-conclusion\">In conclusion\u003C\u002Fh2>\n\u003Cp>Many factors point to increasing house prices, particularly the momentum up, the high affordability and low interest rates, and the added appreciation for having a good home. The main negative is unemployment, but we see some mitigation in it being relatively sector-specific. \u003C\u002Fp>\n\u003Cp>Our advice, therefore, is: Do not expect house price declines anywhere soon; rather, be prepared for gradual continued price increases. Also, expect more bargaining scope as some owners will be wary about the economy.\u003C\u002Fp>\n\u003Cp>\u003Ca href=\"https:\u002F\u002Fhypofriend.de\u002Fen\u002Fgerman-mortgage-calculator\">Discover your mortgage options with our German mortgage Calculator\u003C\u002Fa>.\u003C\u002Fp>",{"data":20,"content":21,"nodeType":269},{},[22,31,39,46,53,60,77,84,91,98,105,118,125,138,145,152,159,166,173,180,187,209,216,223,230,237,244,251],{"data":23,"content":24,"nodeType":30},{},[25],{"data":26,"marks":27,"value":28,"nodeType":29},{},[],"Here are some pointers followed by our conclusion. ","text","paragraph",{"data":32,"content":33,"nodeType":38},{},[34],{"data":35,"marks":36,"value":37,"nodeType":29},{},[],"Recent price momentum was very positive","heading-2",{"data":40,"content":41,"nodeType":30},{},[42],{"data":43,"marks":44,"value":45,"nodeType":29},{},[],"Why is that important? House prices are slow-moving variables. This means it takes quite a bit for a trend to change, as the trend reflects underlying fundamentals, like low interest rates. There was a strong upward momentum, and it is, therefore, likely that some upward momentum will be maintained.",{"data":47,"content":48,"nodeType":38},{},[49],{"data":50,"marks":51,"value":52,"nodeType":29},{},[],"Early data support the notion that the momentum continues to be up",{"data":54,"content":55,"nodeType":30},{},[56],{"data":57,"marks":58,"value":59,"nodeType":29},{},[],"After a decline immediately following Covid-19's getting a foothold in Germany, buyer interest recovered, starting in mid-April.",{"data":61,"content":67,"nodeType":68,"asset":69},{"target":62},{"sys":63},{"id":64,"type":65,"linkType":66},"4k9kqTvMsgYgKjQs2VLscC","Link","Asset",[],"embedded-asset-block",{"fileName":70,"details":71,"url":76},"covid-property-recovery@2x.png",{"size":72,"image":73},37406,{"width":74,"height":75},1356,992,"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F4k9kqTvMsgYgKjQs2VLscC\u002Fe565d2ab518b6d3ec2a88c45846511a2\u002Fcovid-property-recovery_2x.png",{"data":78,"content":79,"nodeType":30},{},[80],{"data":81,"marks":82,"value":83,"nodeType":29},{},[],"House prices also continue to rise, but frankly, those data are lagging due to the long time it takes to conclude a purchase in Germany and reflect strong buying interest in January and February. ",{"data":85,"content":86,"nodeType":30},{},[87],{"data":88,"marks":89,"value":90,"nodeType":29},{},[],"Our appointments are again up significantly. ",{"data":92,"content":93,"nodeType":38},{},[94],{"data":95,"marks":96,"value":97,"nodeType":29},{},[],"Affordability is great",{"data":99,"content":100,"nodeType":30},{},[101],{"data":102,"marks":103,"value":104,"nodeType":29},{},[],"Houses are much more affordable than they have been in 30 years due to the low interest rates. This will provide impetus to increase prices.",{"data":106,"content":110,"nodeType":68,"asset":111},{"target":107},{"sys":108},{"id":109,"type":65,"linkType":66},"1PRDecu4TnUadGB0kg3LUe",[],{"fileName":112,"details":113,"url":117},"affordability-perpective-germany@2x.png",{"size":114,"image":115},46910,{"width":74,"height":116},1346,"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1PRDecu4TnUadGB0kg3LUe\u002F147b12b244608242de8bf8c1a225d3d8\u002Faffordability-perpective-germany_2x.png",{"data":119,"content":120,"nodeType":30},{},[121],{"data":122,"marks":123,"value":124,"nodeType":29},{},[],"Also, it is essential to realize that house prices in Germany declined from about 1970-2010 in real terms when they increased in other countries. This is also contributing to a very high level of affordability and underpins the underlying upward momentum.",{"data":126,"content":130,"nodeType":68,"asset":131},{"target":127},{"sys":128},{"id":129,"type":65,"linkType":66},"7e3llVnKUfivbe8NjKYQcj",[],{"fileName":132,"details":133,"url":137},"german-house-prices-declined@2x.png",{"size":134,"image":135},46525,{"width":74,"height":136},954,"\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7e3llVnKUfivbe8NjKYQcj\u002Fb1724db5e5e828a35c123d31b85a1ccf\u002Fgerman-house-prices-declined_2x.png",{"data":139,"content":140,"nodeType":38},{},[141],{"data":142,"marks":143,"value":144,"nodeType":29},{},[],"Housing importance is up",{"data":146,"content":147,"nodeType":30},{},[148],{"data":149,"marks":150,"value":151,"nodeType":29},{},[],"With so many people working from home and being sequestered at home, many of us have a new appreciation of the importance of having a nice place to call your home. We even see it among our co-workers.",{"data":153,"content":154,"nodeType":38},{},[155],{"data":156,"marks":157,"value":158,"nodeType":29},{},[],"Unemployment could increase though",{"data":160,"content":161,"nodeType":30},{},[162],{"data":163,"marks":164,"value":165,"nodeType":29},{},[],"Real house prices in Germany correlate well with unemployment. This correlation is strong, it seems, because unemployment is an indication of prosperity, which in turn attracts immigrant workers – as we have seen in recent years, as well as in the sixties.",{"data":167,"content":168,"nodeType":30},{},[169],{"data":170,"marks":171,"value":172,"nodeType":29},{},[],"Going forward, we will see a rise in unemployment that is, in part, longer-lasting as we see some sectors (travel and tourism notably) facing a hard time. Other sectors (like IT in Berlin) are likely to continue to grow with the associated influx of highly skilled workers. ",{"data":174,"content":175,"nodeType":30},{},[176],{"data":177,"marks":178,"value":179,"nodeType":29},{},[],"In other words, this is a significant negative, but not as much as a general rise in unemployment would be.",{"data":181,"content":182,"nodeType":38},{},[183],{"data":184,"marks":185,"value":186,"nodeType":29},{},[],"The interest rate outlook is still subdued ",{"data":188,"content":189,"nodeType":30},{},[190,194,205],{"data":191,"marks":192,"value":193,"nodeType":29},{},[],"",{"data":195,"content":197,"nodeType":204},{"uri":196},"https:\u002F\u002Fhypofriend.de\u002Fen\u002Fmortgage-rates-germany",[198],{"data":199,"marks":200,"value":203,"nodeType":29},{},[201],{"type":202},"underline","Interest rates","hyperlink",{"data":206,"marks":207,"value":208,"nodeType":29},{},[]," are still lower than they had been before the outbreak of the crisis. While banks have raised the margins for mortgages somewhat, rates are still at all-time lows. ",{"data":210,"content":211,"nodeType":38},{},[212],{"data":213,"marks":214,"value":215,"nodeType":29},{},[],"It takes a lot to have prices decline nominally",{"data":217,"content":218,"nodeType":30},{},[219],{"data":220,"marks":221,"value":222,"nodeType":29},{},[],"House prices have rarely declined in nominal terms in German history. Indeed, this is a global trend, with people being very averse to taking what they perceive as a nominal loss on the value of their home. ",{"data":224,"content":225,"nodeType":30},{},[226],{"data":227,"marks":228,"value":229,"nodeType":29},{},[],"Sellers don't consider the price they bought as a starting point; they only consider it the highest nominal value they have estimated for their home. It typically takes forced sales to bring house prices down.",{"data":231,"content":232,"nodeType":38},{},[233],{"data":234,"marks":235,"value":236,"nodeType":29},{},[],"In conclusion",{"data":238,"content":239,"nodeType":30},{},[240],{"data":241,"marks":242,"value":243,"nodeType":29},{},[],"Many factors point to increasing house prices, particularly the momentum up, the high affordability and low interest rates, and the added appreciation for having a good home. The main negative is unemployment, but we see some mitigation in it being relatively sector-specific. ",{"data":245,"content":246,"nodeType":30},{},[247],{"data":248,"marks":249,"value":250,"nodeType":29},{},[],"Our advice, therefore, is: Do not expect house price declines anywhere soon; rather, be prepared for gradual continued price increases. Also, expect more bargaining scope as some owners will be wary about the economy.",{"data":252,"content":253,"nodeType":30},{},[254,257,265],{"data":255,"marks":256,"value":193,"nodeType":29},{},[],{"data":258,"content":260,"nodeType":204},{"uri":259},"https:\u002F\u002Fhypofriend.de\u002Fen\u002Fgerman-mortgage-calculator",[261],{"data":262,"marks":263,"value":264,"nodeType":29},{},[],"Discover your mortgage options with our German mortgage Calculator",{"data":266,"marks":267,"value":268,"nodeType":29},{},[],".","document",1,"Tue, 18 Aug 2020 08:39:40 +0000","Mon, 19 May 2025 13:39:02 +0000","German house prices under Covid: Cause for panic?","Covid-19 causes an unknown shock to Germany's economy. Should we worry about home prices falling, or should we use this as a buying chance?",null,"https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F7ltksu6YfWis2RoiW2VvQ7\u002Fa81d3397ad5367103e5c29575088aa66\u002Fhouse-prices-covid-800x534.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F5kAYLQ0h6DvJekkpdXCZlt\u002Ff5d50e7b25921ea1c620d93e8fcec5e8\u002Fhouse-prices-covid-1692x918.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002FxnFZKHCJjwxNVDAnj4qh4\u002F9df4ac0921ad7cdc1f83757d11005c8c\u002Fhouse-prices-covid-523x366.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F3v5ACoUXJtUXznf6V5m1w2\u002F5737ade226a17347e4349c7d2e790ba5\u002Fhouse-prices-covid-1692x918.webp","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1vKTuckj2D5WP0a4IoRVea\u002Fcfdad2f59906bdd389b83ce4a62ddb5f\u002Fhouse-prices-covid-523x366.webp","en","Covid-19 is creating an unprecedented shock to the German economy. Should we be worried if German house prices will decline, or take this as an opportunity to buy?\n",[284,286,288,290,292,294,296,298],{"key":285,"value":37},"#h-recent-price-momentum-was-very-positive",{"key":287,"value":52},"#h-early-data-support-the-notion-that-the-momentum-continues-to-be-up",{"key":289,"value":97},"#h-affordability-is-great",{"key":291,"value":144},"#h-housing-importance-is-up",{"key":293,"value":158},"#h-unemployment-could-increase-though",{"key":295,"value":186},"#h-the-interest-rate-outlook-is-still-subdued",{"key":297,"value":215},"#h-it-takes-a-lot-to-have-prices-decline-nominally",{"key":299,"value":236},"#h-in-conclusion",[301,311,315],{"slug":302,"title":303,"listPicture":304,"listPictureMobile":305,"listPictureWebp":306,"listPictureMobileWebp":307,"preview":308,"category":12,"categoryTitle":309,"categoryCode":310},"property-prices-germany-2026","Where It Still Makes Sense to Buy a Home in Germany – 2026","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F61qlPPB7YcT6uGtMuEZxVD\u002F0031d19efd13eccef6c230ae7fbfe6eb\u002Fnews-800x511.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F2U5AF4Jzh0sbYHDa3wNoKK\u002F8cf082a20057781fed438467ba5877ed\u002Fnews-380x243.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F6bf2ZgIc6NGtMGyDDL8WdE\u002F8e617188029d1d7d7ca56c32e9b45e51\u002Fnews-800x511.webp","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1rJVpZ1NLJnsW62W5biSOf\u002Fab4284c09dfa1afc3e3670d4f879c4ee\u002Fnews-380x243.webp","For future homebuyers and investors, the question in 2026 isn't if you should buy in Germany, but where. This article examines the findings of the latest Postbank Property Atlas to reveal affordable regions with strong growth potential.","Property Search","dd",{"slug":312,"title":313,"listPicture":304,"listPictureMobile":305,"listPictureWebp":306,"listPictureMobileWebp":307,"preview":314,"category":12,"categoryTitle":309,"categoryCode":310},"buying-a-home-for-yourself-or-a-rental-property-in-germany","What's Better in Germany: Buying a Home for Yourself or a Rental Property?","In Germany, it can be a smart move to begin your homeownership journey with a rental property.",{"slug":316,"title":317,"listPicture":318,"listPictureMobile":319,"listPictureWebp":320,"listPictureMobileWebp":321,"preview":322,"category":12,"categoryTitle":309,"categoryCode":310},"should-i-buy-a-tenanted-property-for-own-use-in-germany","Should I Buy a Tenanted Property for Own-use in Germany? A Trap or an Opportunity?","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F1dPT9Zd7yBrmg2bhCTlFMo\u002Fbdde050f37677234d2b19c548a0f9dd7\u002Ftenanted-property-800x511.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F44Tf5XsHq1NLeKHmJJq0cp\u002F2e92685fe66389d9e9c3457a1b8f5d10\u002Ftenanted-property-380x243.jpg","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002FMAbTvek8EoxXt8oL6Lcb3\u002Fa073b421f559741d03dd7ea7bd11fdc7\u002Ftenanted-property-800x511.webp","https:\u002F\u002Fimages.ctfassets.net\u002Fshj4zexxz7od\u002F20gDt8RXipOjuOaQvYCume\u002Fc9bedf6cf46d9aee7d023bceef9bf5a2\u002Ftenanted-property-380x243.webp","Buying a tenanted property can have its advantages and disadvantages. The following article will walk you through some considerations on how you can and should approach buying a tenanted property in Germany. ",1793484724589]