Berlin Property Price Map 2019 – An Increase of More Than 10% to Purchase – and Rents Continue to Rise

London, 10 June 2019 – Black Label Properties’ has published its Berlin Price Map and Berlin Rental Map 2019 showing the current situation on the property market. Here are the key findings:

• Purchase prices continue to rise, but by 10-15% rather than the 5-8% as expected. The price per square metre within the popular S-Bahn ring has almost equalled last year. Buyers will struggle to find an apartment for sale in the centre of Berlin for less than 4,000 euros per square metre. Here, the purchase price for new builds has exploded, an increase of between 10-15%, and there are fewer buyers

• The Rental Price Map 2019 shows a similar upward trend. Rents are not rising as fast as purchase prices, but rents within the S-Bahn belt continue to rise. Renters will struggle to find an apartment for less than 15 euros per square metre on the open market. Last year, rents within the S-Bahn belt were less than 11 euros per square metre, so this is a big jump

Top tips for investors – invest in a rented apartment

“There is a significant difference in the price of around 30% between vacant and rented flats, which are much cheaper to invest in,” says Achim Amann, Co-founder and CEO, Black Label Properties. “They are leased to long-term tenants who have up to 10 years’ self-employment protection so this is a good option for those looking to invest in Berlin”.

The reason for the big price gap between vacant and occupied apartments is because there are significantly fewer rental opportunities than last year, so rents continue to rise. Apartments, which are subject to a re-letting of the rental price brake, rarely come onto the open market. Either they are sold for profit or rented out as a shared flat and/or furnished or traded on the ‘black market’. The negative effects of the rental price brake have made the search for an affordable rental apartment much harder.

Berlin property market predictions

“Rents will continue to rise – especially in the southwest districts like Steglitz, Tempelhof, Mariendorf, Britz, and Zehlendorf – there is still a lot of movement on the market. We expect to see price increases of 8-10% for this year”. “One striking trend is that young families are turning their backs on Berlin by selling their properties or giving up rented apartments. They can live more cheaply in the surrounding areas. We have also noted with regret that many investors and construction companies are turning away from Berlin and choosing to build in other areas. What’s driving this, in our view, is the rent brake, environmental protection, the political situation in Berlin and, in particular, the hostile mood of the building authorities towards property developers and landlords”.

Notes to editors:

Black Label Properties updates its Price Map and Rental Map every year using the software ‘MarktNavigator’ from Immobilienscout24.de, to help us accurately estimate the market price developments.

Media contact

For interviews, images, press visits contact: Nicci Talbot, nt@blacklabel-properties.com, mobile: +44 7758 621106. www.blacklabel-properties.com

BLP Investments GmbH
Reichsstraße 12
14052 Berlin
Telephone: +49 30 – 921 43 046
Press contact: nt@blacklabel-properties.com

Black Label is an international agency based in Berlin. We work together with a team of English-speaking lawyers, notaries and mortgage brokers in Berlin, who are on hand to explain the financial and legal process of buying real estate in Germany.

We can provide you with a varied choice of properties to suit your needs - whether you plan to use it yourself or are looking for an investment.

We also offer property management packages for both furnished and unfurnished lettings, as well as an interior design and furnishing service. For more information visit https://blacklabel-properties.com.

This release was published on openPR.