Berlin property is a good and all-prize investment for those, who never go for bold investment unless they have been carefully weighed beforehand. The property prices in the most stable EU country hadn’t suffered from any economy ups and downs for the last few years. Overseas investors are playing a big role in these German’s price hike and this market has become even more attractive to them after the real estate bubbles in Spain and the US.
Berlin property investment is interesting mainly because of as interest rates that are not high there. The average rent there is about 4-6%. Apartments may be rented out for students, expats or as vacation option. The Berliners themselves also rent rather than own their homes.
Despite the capital status of one of the EU frontrunners, buying property in Berlin is not expensive. The property for sale in Berlin costs €2,000-3,000 per sq. m., and closer to the center an apartment may be purchased for €4,000-5,000 per sq.m. Experts predict that this level will be rising, as when the demand increases, so do prices. Unlike many big cities, the Berlin’s center is a good place for family accommodation, with its good transport, shops and schools. The most of the historic buildings are located in the former East Berlin. Charlottenburg and Wilmersdorf are stately and wealthy areas. Trendy shops, clubs, hotels and restaurants may be found out in the Kurfurstendamm. Students, artists and hipsters like new neighbourhoods such as Friedrichshain.
The budget of €100,000 is enough to find a decent offer of real estate for sale in Berlin. For that price one may purchase a two-room apartment of 55 sq. m. on a classic building in a good condition with original pine floorboards, high ceilings and recently renovated kitchen. A duplex two-bedroom apartment of 82 sq. m. in a renovated old building in the central city part is offered for sale for €279,000. It has two entrances, 3 meter windows, a terrace facing a courtyard and a good location. The prices for houses start at about €330,000. A detached family house of 136 sq. m. with terrace, utility room and spacious garden is for sale in a Karl Host district for €336,000.
There still are some available land spots in Berlin that are actively developed and constructed with modern residential complexes. Primary market there is not less attractive than a secondary one. The reconstructed old building costs more and sometimes may not provide a comfortable parking or elevator. But it’s more a matter of taste. Sometimes style and art are more important than high-tech innovations.