Rural regions are growing the most

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Lerato Khumalo

Rural regions on the rise

Real estate prices are rising again for the first time since 2022

Updated March 25, 2026 – 10:35 amReading time: 1 min.

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Rural house settlement (symbolic image): Home ownership in Germany remains expensive. (Source: prill)

On average in 2025, real estate prices will increase again for the first time since 2022 – rural regions in particular are recording significant increases.

The prices for houses and apartments in Germany have increased. In the fourth quarter of 2025, prices for residential property in this country were on average 3.0 percent higher than in the same period last year. According to preliminary calculations by the Federal Statistical Office, residential property prices in Germany rose for the fifth time in a row compared to the same quarter in the previous year.

Compared to the previous quarter, prices increased by 0.1 percent. On average for 2025, real estate prices were 3.2 percent higher than the previous year. This is the first time they have risen again since 2022, after falling in 2023 and 2024.

In the fourth quarter of 2025, residential properties in all regions of Germany cost more on average than in the same quarter of the previous year. For condominiums in the fourth quarter of 2025, buyers paid 5.4 percent more in rural districts and 4.8 percent more in urban districts than in the fourth quarter of 2024.

Compared to the previous quarter, prices developed differently regionally. While they fell in large cities and metropolises (-1.6 percent), they rose in rural regions (+2.6 percent).