"IVD study of the housing market: rising rents in the surrounding areas of large cities"

In one of Germany's larger cities, rental housing for average wage earners now prohibitive. Many people must, therefore, if you are looking for a new place to

"IVD study of the housing market: rising rents in the surrounding areas of large cities"

In one of Germany's larger cities, rental housing for average wage earners now prohibitive. Many people must, therefore, if you are looking for a new place to

Sophia
Sophia
30 October 2018 Tuesday 08:29
178 Reads

In one of Germany's larger cities, rental housing for average wage earners now prohibitive. Many people must, therefore, if you are looking for a new place to Stay, to leave the city and to the surrounding area pulling away – sometimes even more. Therefore, the Rent increase now also in smaller cities.

The current housing market statistics of the real estate Association IVD. As a result, the price goes back to the increase in new leases in cities with more than 50,000 inhabitants, or stagnant, depending on the standard of facilities. In smaller places with less than 50,000 inhabitants, there has been since the third quarter of 2017 leaps and bounds to the top.

As of the IVD was recorded in municipalities with a size between 20,000 and 50,000 inhabitants, a rent increase of an average of around seven percent based on property with an average residential value, and a year after in 1949. In municipalities with 10,000 to 20,000 inhabitants, there was even a price increase of ten percent. In the previous year, these values were still at 1.8 or 0.5 percent.

The jump in prices in the small towns of the whole of the rent statistics in Germany back to the top. So the Rent rose in the whole of Germany in the observed period up to the third quarter of 2017 to 3.6 percent. Many observers considered that a General cooling; also WORLD reported on it. However, the jump in prices in the province provides for a nationwide increase of 4.3 percent.

Noteworthy in the IVD-statistics of the difference between the apartments in the upscale Segment with good facilities and in good location. Here it seems to be in the larger cities, a clear saturation of the market. According to a Germany-wide Rental growth of 3.6 per cent in this Segment, there was now, according to the data, only a surcharge of 2.8 percent.

"In the cities can no longer afford a majority of the tenants in the upscale Segment and the way the average residential segment," said IVD President Jürgen Michael Schick, "or equal to small cities around the Metropolitan areas." In other words: Expensive apartments, there are more than enough. It affordable housing is missing. And likely even more in the surrounding communities soon.

IVD evaluates each year in 80 cities and provides a dedicated residential price statistics. The basis of new-letting rents, which are determined by the house administrations, experts and real estate brokers per survey.

More land

to identify Even apartments in the medium-priced Segment, in some cities, apparently, in the meantime, a price level that can no longer increase, because the tenant households can't afford more or simply want moving. Thus, the IVD in Cologne, Frankfurt am Main, Düsseldorf, Bremen and Dresden and recorded rents in the past twelve months, the stagnation of new contracts.

Significant mark-UPS there were, however, still in Berlin (plus five percent), Munich (5.8 per cent), Stuttgart (3.0) and Hannover (5,6). But also in Dortmund (3.76 per cent) and food (3.4 percent) is now significantly up. The absolute rent level is often very different.

Except in Dortmund, Essen, and Nuremberg would be the new construction for rent only rise slightly, as observed by the Association. And here, too, the reason was clear: There are many new buildings in the larger cities, however, these are often expensive – and, accordingly, hardly any additional price increases will prevail. "A project developer that offers today a new apartment in a bigger city, can't ask for much more rent than last year," says IVD-President together Send the location.

"These Figures show that we have, in fact, a lack of affordable housing," said Schick. "The policy is required. Be used to a significant acceleration of planning processes and multi-designation of building land.“

Send action, however, also a further category of building areas in the cities of need: land with Contaminated sites, so partially contaminated soils. Such surfaces there are in many cities in the vicinity of port facilities on former industrial land or brownfield land, which remained in the post-war period intact.

"land, The remediation of contaminated sites the suspects, of which there are an estimated 260,000 in the whole of the Federal territory – costs money. Here, we are calling on the Federal government, a funding programme set up, that is so adequate, that even flats can occur,“ says Schick. "For me, this is a core requirement."

Updated: 30.10.2018 08:29
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