Real estate price explosion: city classification shocks tenants!

Real estate price explosion: city classification shocks tenants!

The real estate market in Germany remains tense, and not just in the large metropolises. According to the current analyzes by Capital The housing market is increasingly categorized into so-called A, B, C and D cities. This classification allows real estate professionals to better understand the changes and trends in different locations. What is particularly noticeable is that rental prices are rising in many cities, including in less well-known regions.

Munich remains a hotspot for high rental prices and is considered extremely expensive, while the housing market in Berlin is also characterized by competitive rental apartments. This development is accompanied by a constantly growing demand that is not only concentrated in the big cities. Loud Scout24 The “ImmoScout24 Housing Barometer” shows that the demand for rental apartments in almost all cities is higher than it was four years ago.

Growing pressure on rental markets

The analysis of the living barometer is carried out regularly on a quarterly basis and refers to the seven largest metropolitan regions: Berlin, Düsseldorf, Frankfurt am Main, Hamburg, Cologne, Munich and Stuttgart. The data from both existing and new apartments for rent or purchase is recorded on ImmoScout24. The continuous evaluation shows that demand in cities in the second, third or fourth tier has increased relatively more than in the metropolises.

This increased demand is not only leading to an increase in rental prices, but also suggests that many people are willing to relocate to less desirable, but still attractive, regions. Price forecasts for the next 12 months show that pressure on the property market is likely to remain.

A look at the living barometer

The ImmoScout24 living barometer offers comprehensive insights into the current rental and purchase price trends in Germany. The price data is supplemented by valuable information on supply and demand, which enables a differentiated assessment of the market. A complete housing barometer and other data are available for download to give interested parties and investors insights into the real estate landscape.

In summary, it can be said that the real estate market in Germany represents a dynamic environment in which both large cities and smaller towns play an increasingly important role. The constant demand and price developments are indications that living space remains a sought-after commodity in Germany.