Posts Tagged 'Berlin Real Estate'

Apartment price developments

source: VDP and Reuters

Berlin, sweet Berlin

Still looking for a good reason for buying a flat in Berlin? read today’s Telegraph article…

Real estate prices across Europe

And today’s most popular article in the Financial Times is…

“House prices slide hits recovery hopes”.

Play around with the interactive charts, plotting against each other the price developments across different EU countries. A live audio comment is also available on the website, commenting specifically the quite different trends among UK, Germany, Austria… quarterly data since 2000 or annual data since 1970.

At first sight, it seems that at end 2007 the German market (existing homes) was at its most depressed level ever since 2000, and with Austria and Norway it was one of the few to remain flattish-slightly up while the crisis unfolded. Fingers crossed. Touch wood.
Continue reading ‘Real estate prices across Europe’

a view from Qatar

An article from Qatar…According to several studies, the German housing market still provides positive cash-flow development and increase in rents and prices. Despite the financial crisis, the residential real estate markets in the major cities of Germany are performing very well, and international investors are looking forward to increasing their investments in the market this year”.

High demand for properties in Germany
Web posted at: 7/6/2009 0:18:23
Source ::: The P
eninsula

Doha: The first real estate investment meeting of Engel & Völkers held at the Sheraton Doha in Doha, last Monday. The conference focused on prime residential buildings in Germany and was set up to introduce local individuals and investment companies to the German housing market. Continue reading ‘a view from Qatar’

worm, chrysalis and butterfly…

cimg0197

This is the butterfly…a bedroom full of light, the bed facing an enormous double window overlooking the chestnut trees, new oak floor and travertino paint for the walls.

cimg0127…the necessary chrysalis…

cimg0023

And this was the ugly worm we bought…poor thing it was ugly but with lots of potential! This is the same room as above, here as a post-war kitchen.

Before the war each floor of this Altbau had just 2 enormous buergerlich flats, with chambres de bonne and the like. Each flat was then divided in 3 flats. Our worm – pardon, our Flat – didn’t have any bedroom, just a big living room with a bow-window, a kitchen and bath both with windows, and a roomy dark corridor for a total of 54sqm.

We torn the wall down (even if we never liked Reagan, we did as he said 😀 ) and transformed the neighbouring bath and kitchen into a nice bedroom with a superb double window.

So now The Flat has a double bedroom and, thanks to our architect, the living room goes back to its pre-war destination. (Er…what about kitchen and bathroom then?!)

Is Berlin property still worth investing on?

cimg0310

The source of the following article is a real estate agency, still you may want to check a couple of figures…

“Berlin property is still worth investing in. Despite the downturn in the global economy, Berlin property is still worth investing in, according to property experts. Due to the many years of economic isolation for the city, the value of Berlin property remains relatively low in comparison to other European centres and has space to grow.

Berlin property offers a good deal for investors who wish to add a long term and stable investment property to their portfolio. The cost of rents are climbing steadily across the city, statistics reveal a recent rise of 6%, while property values have dropped.

At the same time, the pool of investors showing an interest in property has declined. Rents are increasing, and will continue to increase, because of demand outstripping supply. There are various reasons for this. Demand for good accommodation rising • An increase in the number of people moving into the city. Records show that in the first 6 months of 2008, around 8,500 people moved to Berlin. Multinationals such as Sony have chosen to locate their European headquarters in Berlin.

• A decrease in unemployment rates means that there is an increase in people willing to spend money on space. In the 1990s, the unemployment rate was nearly 20%. By 2008, this rate had decreased to 12.4%. Despite a spike in unemployment during 2009 due to the economic downturn, unemployment figures are not expected to return to previous highs. Decline in rental stock

• As in any city, it is expected that a certain number of properties will fall into such serious disrepair that they will be deemed uninhabitable by authorities. The general rule of thumb is 1% of the housing stock. Berlin will lose around 6,000 homes a year.

• However, property development in Berlin has been slow. In 2007 only 3,718 new homes were built. By September 2008, the number of housing permits issued to builders was lower than the 2007 total.

• A number of properties have been bought by foreign buyers for business or holiday homes, thus taking them out of the rental pool.

• With a tougher economic climate, it has become more difficult for builders to access funds that would sustain a large development project.

These three factors together have increased the attractiveness of Berlin property, so much so that the Chairman of the managing board of the GSW has said “anyone with the financial means to do so should buy now”. Experts advice and consultancy services for investors who are considering purchasing investment property in Berlin”.

Source: Katrin-Maja Maehl – Berlin Investment Property

inflation: if it’s not behind you…it’s ahead

-gle

109339958 Today in the office I had a nice discussion about the risks of the come-back of double-digit inflation down the road in a couple of years or so, something that we kids of the 70s recall when shopping with our mums at the supermarket.

To me back then it seemed NORMAL that prices of pasta Barilla and Nutella would change every week or so, I did try to desperately memorize the prices but it wasn’t worth the effort. We had then mini-assegni, funny wannabe banknotes-in-lieu-of-coins, something I hear is back in fashion in the US these days. Early 90s, freshly graduated, my first image of London was one of building societies changing daily the interest rates on the window-displays, and I clearly remember that it was in the double-digits (and starting with a “2”).

The discussion ended with “it was all the fault of the Versailles Treaty, it paved the way for disaster for poor Weimar young and sexy Republik…then things went sour”.

Or, as in Tom Tykwer’s “The International”, big debts are big crow bars….

Even if I do not particularly like the new Herald Tribune web edition layout, I do looove the fact that now when using the SEARCH function you can dig deep and directly in the PDFedded archives of the New York Times… there are very interesting articles for useful meditation…which remind me of hedge funds buying single-handedly entire blocks in East Berlin from the helicopter only a few quarters ago, or individual investors buying flats on the basis of the Expose’ and looking up the property only on Google Earth, and not by stepping in the Kiez and walking up the Treppe of the Vorderhaus.

There were neither copters, nor Google Earth back in 1922, indeed turbolent times and postdemocracies are back in Europe…and Angela may be quite right in fearing the comeback of those zeroes by the kilo.


Enter your email address to keep track of what's going on at AflatinBerlin - check your Inbox (and Junk mailbox too) to activate the subscription!

Join 10 other followers

Archives

Blog Stats

  • 37,694 hits