According to data released Wednesday by the Statistical Federal Office, residential property prices in Germany increased by an average of 3.2 percent in the second quarter of 2025 compared to the same period the previous year.
This marks the third consecutive quarter of rising prices following a sustained period of decline which began in the fourth quarter of 2022. Price increases were reported at 3.5 percent year-on-year in the first quarter of 2025 and 1.9 percent in the fourth quarter of 2024. Prices for residential properties rose by 1.1 percent between the first and second quarters of 2025.
Across the country, apartment prices in all regions exceeded those of the corresponding quarter in 2024. Prices for single-family and two-family homes also generally increased.
Within Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt am Main, Stuttgart and Düsseldorf – apartment prices rose by 2.4 percent year-on-year, representing a 0.3 percent increase compared to the previous quarter. Independent large cities outside of this top tier saw an average increase of 5.0 percent for apartments, a rise of 1.3 percent when compared to the previous quarter. In sparsely populated rural districts, buyers paid 3.6 percent more for apartments than in the second quarter of 2024, including a 3.6 percent increase from the previous quarter.
Single-family and two-family homes also saw price increases in most regions. Sparsely populated rural districts registered an average increase of 2.8 percent year-on-year, with a further 1.3 percent rise compared to the previous quarter. Independent large cities outside the seven largest cities experienced a 3.9 percent increase in prices, a rise of 1.6 percent when compared to the previous quarter. In contrast, prices for single-family and two-family homes in Germany’s seven largest cities decreased by 0.2 percent compared to the second quarter of 2024, including a 0.2 percent increase compared to the previous quarter.