Recent data released by the Statistical Federal Office indicates a continuing upward trend in residential property prices across Germany. During the second quarter of 2025, average prices rose by 3.2 percent compared to the same period in 2024. This marks the third consecutive quarter of year-on-year increases, following a sustained period of decline since the fourth quarter of 2022. The growth rate was slightly lower than the 3.5 percent recorded in the first quarter of 2025 and higher than the 1.9 percent seen in the fourth quarter of 2024. Prices for residential properties also increased by 1.1 percent when compared to the first quarter of 2025.
Apartment prices have risen above year-ago levels in all regions of Germany. Similarly, prices for detached and semi-detached houses have generally increased across the country.
Within Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt, Stuttgart and Düsseldorf – apartment prices increased by 2.4 percent compared to the second quarter of 2024, representing a 0.3 percent rise compared to the previous quarter. Independent large cities outside of these seven metropolises experienced a more substantial increase of 5.0 percent in apartment prices year-on-year, accompanied by a 1.3 percent gain from the previous quarter. In sparsely populated rural districts, buyers paid 3.6 percent more for apartments than in the same period last year, with a further increase of 3.6 percent compared to the preceding quarter.
The trend for detached and semi-detached houses largely mirrored that of apartments. In rural districts, these properties saw an average price increase of 2.8 percent year-on-year, adding 1.3 percent from the prior quarter. Independent large cities outside the top seven cities recorded a 3.9 percent increase compared to the second quarter of 2024, a 1.6 percent increase from the previous quarter. Notably, prices for detached and semi-detached houses in the seven largest cities of Germany decreased slightly, falling by 0.2 percent compared to the second quarter of 2024, but experiencing a modest 0.2 percent gain when contrasted with the previous quarter.