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 last year.
This marks the third consecutive quarter of year-over-year price increases for residential properties, following a period of consistent declines since the fourth quarter of 2022. In the first quarter of 2025, the year-on-year increase stood at 3.5 percent, while the fourth quarter of 2024 registered a rise of 1.9 percent. Prices for residential properties rose by 1.1 percent when compared to the first quarter of 2025.
Condominium prices in all regions of Germany were, on average, higher in the second quarter of 2025 than in the corresponding period of the previous year. Prices for single-family and two-family homes also experienced increases in most regions.
In Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt am Main, Stuttgart and Düsseldorf – condominium prices increased by 2.4 percent compared to the second quarter of 2024, representing a 0.3 percent increase from the previous quarter. In independent large cities outside of these seven major metropolises, residential property prices rose by an average of 5.0 percent year-on-year, an increase of 1.3 percent from the prior quarter. In sparsely populated rural districts, buyers paid 3.6 percent more for condominiums compared to the second quarter of 2024, alongside a 3.6 percent increase quarter-on-quarter.
Similar price appreciation was observed in single-family and two-family homes across most regions. Sparsely populated rural districts saw an average price increase of 2.8 percent year-on-year (+1.3 percent quarter-on-quarter). Independent large cities outside the top seven cities registered a year-on-year increase of 3.9 percent (+1.6 percent quarter-on-quarter). Prices for single-family and two-family homes in Germany’s seven largest cities, however, decreased slightly, falling by 0.2 percent compared to the second quarter of 2024 (+0.2 percent quarter-on-quarter).
