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Real Estate in Berlin: The End of Sleeping Beauty

Every year, not only millions of tourists from all over the world are drawn to the German capital, which is undergoing constant atmospheric and architectural changes, but also many who want to settle in Berlin. International companies are also rediscovering the metropolis directly bordering Eastern Europe as a geographically well-suited and, above all, promising location for branch offices or even corporate headquarters and are looking for "Berlin real estate". The new jobs being created in the digital services sector in particular are making the city on the Spree even more attractive as a place to live. Of the more than 130,000 new residents in the years 2010 to 2013 alone, around three quarters came from abroad. A correspondingly strong increase in demand for residential space for rent and purchase and real estate (houses and commercial properties), particularly in the central districts within the S-Bahn ring, is causing price increases, some of them exorbitant, for both rental and purchase properties in Berlin's Immowelt... For example, in Kreuzberg around Oranienstrasse, which was still "dirt cheap" just a few years ago, new rentals now cost more than in Charlottenburg on both sides of Kurfürstendamm, which was once virtually unaffordable. The price trend forcondominiums is similarly rapid and almost universally exclusive. The only exceptions to this are currently still rather peripheral districts and neighborhoods such as Marzahn-Hellersdorf, Reinickendorf, Staaken (Spandau), Karow (Pankow), Rudow (Neukölln) and, in part, Bohnsdorf (Treptow-Köpenick) and Lichtenrade (Tempelhof-Schöneberg). There one has as housing-looking for also so far still the best chances of getting hold ofcommission-free real estates to acceptable conditions. Particularly in Berlin, where as a rule with broker commissions around the 7 per cent the highest of their kind in Germany are required, the search for such "unencumbered" dwellings can make itself felt and clearly paid. Renting and buying without brokers is thus a possibility of offering the high prices for rent and/or purchase price for real estates in Berlin something the forehead.

the clay makes the music, the situation the price: Where is it cooler, where is it hot?
more desired and thus more expensively become these latter housing situations however in opinion of most observers and experts in all probability on a long-term basis also.straight families with children estimate the proximity to the green Brandenburger surrounding countryside usually given there together with the numerous trip and leisure possibilities. The same applies to financially better-off pensioners and retirees with a taste for Berlin, for whom properties in somewhat more expensive districts and locations outside such as Grünau, Müggelheim, Rahnsdorf, Friedrichshagen, Mahlsdorf and Karlshorst (all in the Treptow-Köpenick district) in the east or in Lichterfelde (Steglitz-Zehlendorf), Kladow and Gatow (both Spandau), Konradshöhe, Tegel, Hermsdorf, Lübars (all Reinickendorf) in the west. But even a little more "mittenmang" can be made with a little luck and patience still relatively favorable bargains in the search for a rental or condominium even without commission for an estate agent. While the finding of a beautifully cut, well-located and, above all, affordable apartment, for example, in Mitte with a view of the TV tower on Alexanderplatz, in Prenzlauer Berg around Wasserturmplatz, in Friedrichshain to the right and left of Warschauer Strasse, in Neukölln around Reuterplatz and in the whole "cultural area" of Kreuzberg is now almost the equivalent of winning the lottery, you can still find one or two gems in Berlin's real estate world away from the tourist beaten track, even relatively centrally.


Living in Wedding, Renovated in Spandau, Working in Adlershof, Commission-free in Pankow

For years, Wedding, for example, which is located north of Mitte and belongs to this district, has been considered "the next big thing," not only in terms of real estate, but so far both rental and purchase prices have remained within tolerable to manageable limits. Neighborhoods such as the "African," "Belgian," and "English" quarters, the Anton, Brussels, and Leopoldkiez districts, and the Sparrplatz neighborhood also offer students affordable, if mostly rather sparsely furnished, apartments. In the two districts of Haselhorst and Siemensstadt in the Spandau district, prospective tenants can also still find quite affordable apartments, primarily in old buildings from the 1960s to 1980s, and the situation is similar in Lankwitz, Mariendorf and Marienfelde (all Tempelhof-Schöneberg). Further east, the districts of Plänterwald and Baumschulenweg, as well as Nieder- and Oberschöneweide in Treptow-Köpenick, also still tend to be inexpensive, although they will probably be affected by increases in the future in view of large local construction and development projects. On the other hand, the district of Adlershof further to the southeast, where the new "City for Science, Business and Media" (WISTA) was built by 2007 with many university departments and cooperating new companies, is particularly recommended for new Berliners with careers in the natural sciences.

Facts Berlin real estate market:

  • Berlin's real estate prices are rising, but are still low in comparison with the rest of Germany and Europe.
  • International demand for apartments in Berlin continues unabated.
  • The districts within the S-Bahn ring have seen the highest increases in sales and new rentals (in terms of both price and demand).
  • With the exception of some very good locations, prices are falling toward the city limits.
  • Berlin has the highest brokerage fees in Germany.
  • Old new buildings built between 1960 and 1980 are still reasonably priced.
  • New buildings already completed and planned (Adlershof, Tempelhofer Feld) continue to increase Berlin's attractiveness.
Current house prices in Berlin (January 2014)

Source: immowelt.de

Commission-free rental apartments in Berlin cost between €6 and €25

Depending on the district and type of apartment, rental prices vary between €6 for old buildings and up to €25 for new buildings, and the trend is upward.


Current rental prices for apartments in Berlin per m² (January 2014)
Source: immowelt.de

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