According to data released Wednesday by the Statistical Federal 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 for residential property, reversing a sustained period of decline observed since the fourth quarter of 2022. The rate of increase had been 3.5 percent in the first quarter of 2025 and 1.9 percent in the fourth quarter of 2024. Prices for residential properties also saw a rise of 1.1 percent compared to the first quarter of 2025.
Apartment prices across all regions of Germany were higher than in the second quarter of 2024. Prices for single-family and two-family homes also increased in most regions.
Within Germany’s seven largest cities – Berlin, Hamburg, Munich, Cologne, Frankfurt am Main, Stuttgart and Düsseldorf – apartment prices increased by 2.4 percent year-on-year, a marginal 0.3 percent rise from the previous quarter. Independent large cities outside this top tier saw a more substantial increase of 5.0 percent compared to the same period last year, alongside a 1.3 percent increase from the preceding quarter. In sparsely populated rural districts, buyers of apartments paid 3.6 percent more than in the second quarter of 2024, accompanied by a 3.6 percent increase from the previous quarter.
The trend extended to single-family and two-family homes. Prices in sparsely populated rural districts grew by an average of 2.8 percent compared to the second quarter of 2024, a 1.3 percent rise from the prior quarter. Independent large cities outside the seven major urban centers saw a year-on-year increase of 3.9 percent, rising 1.6 percent from the previous quarter. Conversely, prices for single-family and two-family homes in Germany’s seven largest cities experienced a slight decline of 0.2 percent compared to the second quarter of 2024, showcasing a 0.2 percent increase from the preceding quarter.
