The development affects not only buyers but also tenants. Rising purchase prices have a long-term impact on rents. According to VDP, rents in new contracts have increased nationwide by more than 80 percent since 2010, and in Berlin by around 140 percent.
From the Pfandbrief banks’ point of view, it is clear where to start: with new construction. The “construction turbo” initiated by the federal government is a step in the right direction, but is not enough. Among other things, government guarantees are required to make construction financing cheaper and to make investments more attractive again.
However, it will probably still be some time before such measures take effect. For buyers this means: Anyone who has found a specific property and secured financing does not need to wait for prices to fall. And for tenants, the bitter realization remains that living in Germany will continue to become more expensive rather than cheaper in the coming years.
