Kevin Rader: Why buying real estate in Leipzig is particularly worthwhile

Leipzig has become one of the most sought-after real estate markets in Germany in recent years. The city is growing continuously, offers attractive purchase prices with high potential for appreciation and is experiencing increasing demand for residential space. This is a particularly interesting combination for investors, as Leipzig combines economic stability, a high quality of life and solid yield opportunities.

Leipzig is growing - a real estate market with a future

Population growth is a decisive factor for the attractiveness of a real estate location. While many German cities have stagnating or even declining populations, Leipzig is constantly attracting new people. Around 635,000 people currently live in the city, but forecasts predict that the population could rise to over 700,000 by 2035.

This growth is not a short-term trend, but a result of structural factors. The city benefits from a strong economy, which creates jobs, and a high quality of life, which attracts young professionals and families in particular. The demand for housing is constantly increasing, while supply is limited. This leads to rising real estate prices and rents in the long term, which offers attractive opportunities for investors.

Attractive purchase prices with high potential for value appreciation

Although property prices in Leipzig have risen significantly in recent years, they remain at a moderate level compared to other major German cities. While prices per square meter of over EUR 10,000 or EUR 8,500 are not uncommon in Munich or Frankfurt, the average purchase price in Leipzig is currently around EUR 3,700 per square meter.

These comparatively low entry-level prices mean that investors can acquire properties with a lower capital outlay than in other major cities. At the same time, prices in Leipzig have risen by around 75 percent over the past ten years, which corresponds to an average annual increase of five to eight percent. Forecasts predict that this trend will continue as the city continues to grow and demand for housing remains high.

Rising rents ensure attractive yields

In addition to rising real estate prices, rents in Leipzig are also developing positively. The average rent is currently around EUR 9.80 per square meter, while rents of up to EUR 14 per square meter can be achieved in high-quality new buildings and renovated old buildings. Small apartments are particularly in demand, as Leipzig has a high number of students and young professionals.

According to the latest student housing report, rents for apartments under 40 square meters rose by 9.3 percent last year. This high demand ensures secure rentability and stable income. Investors can expect rental yields of four to six percent in Leipzig, which is an attractive return compared to other cities.

Leipzig as a business location creates stability

In addition to the growing population and high demand for housing, Leipzig's economic development also ensures stable conditions for real estate investments. The city has developed into an important business location in Germany and is particularly strong in the automotive industry, logistics, technology and research sectors.

International companies such as BMW, Porsche and DHL have established large sites in Leipzig and provide thousands of jobs. The e-commerce sector is also growing, as evidenced by the logistics centers of Amazon and Zalando. At the same time, Leipzig has an excellent university landscape with the University of Leipzig and renowned research institutions such as the Max Planck Institute. This combination of strong companies and academic institutions ensures a steady influx of skilled workers and students who need living space.

High quality of life increases the attractiveness of the city

In addition to the economic factors, Leipzig scores with an exceptionally high quality of life. The city offers a balanced mix of urban life and plenty of green spaces. Numerous parks, such as Clara Zetkin Park, and the lake district around Leipzig make the city an attractive place to live.

The cultural scene is just as diverse. Leipzig is known for its Gewandhaus Orchestra, the opera, the book fair and a lively art and music scene. The city is also well connected in terms of transportation. With an ICE hub, an international airport and highway connections, Leipzig is easily accessible both nationally and internationally.

These factors ensure that more and more people are moving to Leipzig and want to live there long-term. This not only increases the demand for living space, but also makes real estate in the city a stable and profitable investment in the long term.

Renovation properties and listed properties as a special opportunity for investors

One particular advantage of Leipzig is the high proportion of listed old buildings. Many of these buildings have been renovated in recent years or are still awaiting modernization. Listed properties offer investors tax advantages, as refurbishment costs can be written off in many cases. At the same time, renovated old buildings in Leipzig are particularly sought-after as they combine the charm of historical architecture with modern living comfort.

This provides investors with attractive opportunities to acquire properties in need of refurbishment, upgrade them and then either sell them at a profit or rent them out on a long-term basis. The high demand for high-quality living space ensures that investments in this area are particularly worthwhile.

The Rader Group as an example of successful real estate investments in Leipzig

One company that is actively shaping the Leipzig real estate market is the Rader Group, headed by Kevin Rader. The company specializes in the purchase and refurbishment of residential properties and focuses on sustainable value enhancement concepts.

Under the management of Kevin Rader, the Rader Group is also planning to sustainably expand its portfolio and invest in Messestadt in 2025. Kevin Rader emphasizes the importance of sustainable investments and continues to see Leipzig as one of the most promising cities for real estate purchases.

Conclusion: Why buying in Leipzig is worthwhile

Buying real estate in Leipzig offers a unique combination of moderate entry prices, high demand and strong potential for value appreciation. The growing population and the flourishing economy ensure a continuously increasing demand for living space. At the same time, the comparatively low purchase prices combined with rising rents allow for attractive returns.

Investors benefit not only from a stable market, but also from the city's high quality of life. Investing in Leipzig now secures a long-term investment of stable value with promising future prospects.

Rader GmbH
Am Alten Bahnhof 2
06686 Lützen
Germany

As a regional partner for real estate, the Rader Group is deeply rooted in the real estate sector. Led by Managing Director Kevin Rader from Leipzig, the company is committed to the development of needs-oriented and modern living space in Leipzig and the surrounding area. The long-term, sustainable portfolio of properties is at the heart of the strategic focus. With a view to the future and growth, the company strives to constantly acquire and develop new properties for its long-term portfolio.

This release was published on openPR.