The top 7 cities for the real estate industry define the locations in Germany that are most attractive for investors. The seven most important cities are listed in alphabetical order:
These 7 real estate locations, which all belong to the so-called A locations, account for around 70% of the transaction volume for real estate in Germany. The underlying key figures are regularly recorded by various brokerage houses and published in market reports.
In addition to the top 7 cities mentioned, there are other so-called B cities and regional regional centers in Germany that are given special attention for real estate investments or renting space.
In their analyzes and market reports, analysts evaluate the following data for letting, among other things, and provide forecasts: space inventory, space take-up, space take-up on a 10-year average, space take-up by size, vacancy rate, vacancy rate, prime rent, average rent and sectors with the highest turnover.
In the area of investment in commercial real estate, there are further key figures in market reports such as transaction volume, transaction volume on a 10-year average, proportion of foreign investors, largest group of buyers, largest group of sellers, most important property type, prime yields for the various property types (such as office, retail or logistics). Both Frankfurt and Munich have generated great interest among international investors in recent years.
The reasons for the great demand for real estate also come from investments from abroad. Frankfurt is only a few kilometers west of the geographic center of the European Union in the middle of the Rhine-Main Area. In addition to the excellent location and connections, the incomprehensible economic boom in the last few decades is one of the reasons for the city’s growth.