Berlin - Prices for owner-occupied homes in Berlin are going up and up. According to German property listings site Immoscout24, in the first quarter of this year, asking prices for new-build flats and houses climbed by 2.5 per cent, while prices for existing flats increased by 3.3 per cent (3.1 per cent for houses) in the same period.
According to Immoscout24's property barometer, condos built in the past two years cost an average of €4,974 per square metre in the capital, while older flats are going for an average square metre price of €4,463. The averages are based on prices published on the Immoscout portal, not actual purchase prices. They also don't reflect prices in trendy, central districts. In Kreuzberg, for example, average prices are hovering around €6,000.
Pricey new builds
"For many buyers, existing condominiums are much more attractive than newly built flats," says Immoscout managing director Thomas Schroeter, "due to the lower prices in the existing housing segment."
Nationwide, the market outpaced Berlin, with the asking prices of existing condominiums rising by 5.2 per cent in the first quarter, according to Immoscout. New build prices went up by 4.8 per cent.
Up and up and up
For Berlin, Immoscout forecasts price increases in the next 12 months in the range of 7.6 to 12.9 per cent. The company also expects sharp price rises in Cologne. Immoscout believes both cities still offer good value compared to places like Hamburg, Frankfurt am Main and Munich. The Bavarian capital remains one of the most expensive cities to buy a flat in Germany, with average prices approaching €7,000 per square metre.