Why residential property prices are falling and what that means for buyers.

Why residential property prices are falling and what that means for buyers.

According to a report by www.welt.de, the prices for houses and condominiums continue to decline. However, it can be observed that not all residential buildings are equally affected by this trend. Age and energy efficiency class now play a decisive role in pricing.

The differences in price developments on the real estate market can even be extreme in some cities. In two cities, the price differences due to age and energy efficiency class are well over 40 percent. This shows that buyers and investors are increasingly placing value on modern and energy-efficient properties, while older and less efficient buildings are becoming less attractive. This development is expected to have an impact on the sale and rental of real estate in Germany.

Overall, it is expected that the trend towards energy-efficient and modern properties will continue to grow. In the long term, this could lead to older and less efficient buildings losing value, while well-equipped and modern properties become increasingly in demand. Property owners and investors should therefore keep an eye on the energy efficiency of their buildings and, if necessary, invest in modernizations in order to remain competitive.