According to data released Wednesday by the Federal Statistical Office, residential property prices in Germany rose by an average of 3.2 percent in the second quarter of 2025 compared to the same period last year.
This marks the third consecutive quarter of year-on-year increases in residential property values, a reversal of a consistent downward trend observed since the fourth quarter of 2022. The previous increase in the first quarter of 2025 was 3.5 percent compared to the prior year, while the increase in the fourth quarter of 2024 was 1.9 percent. Prices for residential properties rose 1.1 percent between the first and second quarters of 2025.
Condominium prices in all regions of Germany were on average higher in the second quarter of 2025 than in the corresponding quarter of the previous year. Prices for single-family and two-family homes also increased in most areas.
Within Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt am Main, Stuttgart and Düsseldorf – condominium prices rose by 2.4 percent year-on-year, a modest 0.3 percent increase compared to the previous quarter. Independent large cities outside of this top tier witnessed a more significant increase, with average condominium price rises of 5.0 percent year-on-year, accompanied by a 1.3 percent rise compared to the previous quarter. In sparsely populated rural districts, buyers paid 3.6 percent more for condominiums than in the same period last year, a 3.6 percent increase compared to the previous quarter.
Similarly, single-family and two-family homes saw price increases in most regions. Sparsely populated rural districts registered an average increase of 2.8 percent year-on-year, a 1.3 percent rise compared to the previous quarter. Independent large cities outside the top seven urban centers experienced a rise of 3.9 percent year-on-year, with a 1.6 percent increase compared to the previous quarter. Prices for single-family and two-family homes in Germany’s seven largest cities, however, dipped slightly, decreasing by 0.2 percent compared to the second quarter of 2024, a negligible increase of 0.2 percent when compared to the preceding quarter.