Expert warns: Real estate prices are falling - when will the turnaround come? Forecast for 2024.

Expert warns: Real estate prices are falling - when will the turnaround come? Forecast for 2024.

According to a report by www.n-tv.de, the real estate sector in Germany has come under pressure. After years of explosive growth in real estate prices, especially in large cities, prices are now falling. Jens Tolckmitt, general manager of the VDP, classifies the current development and gives a cautiously positive forecast for the future.

This development has far-reaching effects on the real estate market and the financial industry. The falling prices could lead to a decline in real estate investment as investors may take a wait-and-see approach. This in turn could lead to a slowdown in economic growth, as the construction and real estate sectors play an important role in the German economy.

In addition, banks that have invested heavily in real estate loans could be affected by falling prices. A decline in property prices could lead to an increase in non-performing loans, which in turn could threaten financial stability.

However, Jens Tolckmitt's cautiously positive forecast suggests that property prices could stabilize in the long term. This could lead to a healthier and more sustainable development of the real estate market, which could be beneficial in the long term.

Overall, it can be said that current developments in the real estate sector in Germany require close monitoring as they could potentially have far-reaching effects on the market and the financial sector.