Following a period of decline, experts predict that property buyers in Germany will face higher costs in 2026.
Michael Voigtländer from the German Economic Institute (IW) forecasts a moderate increase of 3–4%, noting that growth will not be as rapid as in the early 2000s.
Michael Neumann, CEO of mortgage broker “Dr. Klein,” highlighted that demand remains strong while new construction lags behind needs, and supply of existing properties is limited in major cities.
Jens Tolckmitt, head of the Association of German Pfandbrief Banks, added that housing shortages will persist for years, especially in urban centers, further driving prices and rents upward.
Sources - Agencies
