THE TIME TO BUY IN BERLIN IS NOW 

November 9, 2023

As the interest rate situation improves, we anticipate a swift rebound in demand and a subsequent rise in property prices. In the meantime, the combination of increasing rents and slightly declining purchase prices are providing improved returns.

- Deutsche Bank, 2023

The European multifamily sector continues to see extremely positive investor sentiment, demonstrating strong rental growth and occupancy levels and proving its countercyclical credentials through the current uncertain market conditions,

-Savills, 2023

The situation in the new construction segment in Berlin is complex. On one hand, inflation, increased interest rates and high construction costs are limiting the momentum. In terms of numbers of offers, there are ups and downs. After a noticeable decline, more projects have recently come back on the market, with smaller price adjustments. Builders do not seem to be charging the increased costs to buyers at the moment. This makes it a good time to buy a new-build property.

-Guthmann July 2023

A few stats on what makes Berlin special

  • 130% increase forecast in value of Berlin newbuilds over next 10 years 

  • 63% rise in Berlin rents over the next five years (Immowelt) 

  • 80% of Berliner’s rent with an average vacancy rate of 0.8% on city apartments (CBRE) 

  • 10% population growth predicted in Berlin by 2035 

  • Ranked #3 by PWC in Emerging Trends in Real Estate® Europe 2023 report, after London and Paris. 

  • Red hot jobs market: 35% increase in tech jobs in Berlin 2015-21 and 12% increase in office employment 2022-2023 

  • Berlin average salary 70% higher than UK average salary 

  • €28.1bn invested in expanding public transport network by 2035 

  • Consumer spending on rent expected to increase by 44.5% 2020-2035 (Deutsche Bank). 

SPREETAL LIVING

BERLIN – SIEMENSSTADT, CHARLOTTENBURG

PRICE: €187,500 - €269,220

30% STAGED DEPOSIT

UP TO 5.2% RENTAL YIELD

READ OUR PREVIOUS BLOG POST:

RICHARD BRADSTOCK

MANAGING DIRECTOR

about the AUTHOR

RPA’s founder, Richard has worked in residential development investment for 20 years and oversees the general running of the business ensuring the RPA Group retains true to its founding principles. Over his career Richard has built an incredible network of international property investors and like-minded industry professionals. The RPA Group was born out of a duty of care to provide property investors with an industry-leading and integral service, one that connects investors with quality and desirable investment opportunities, whilst providing reliable and trustworthy market commentary and analysis alongside, enabling investors to make the best, most-educated decisions for them.