Buying in Germany

• I've heard that property prices have hardly gone up in Germany in years due to high unemployment, sluggish economy and a culture of renting? But could be due fro an upturn soon. Anybody invested there? Which are the cities to target?
  Thanks
  Ronald

  06 Jun 2007, 01:29 Ronald

Replies

• Yes

  Property prices have been fairly stagnant for several years in Germany.
  
  Where you choose will obviously depend on you - the cheapest properties tend to be in the East or in areas away from major cities. But those areas will also command low rents (if you're planning to let your property) and a low resale value.
  
  If you're hoping to cash in on a potential upswing in property prices, just bear in mind two things. If you rent out your property, you may find it hard to get the tenants to move when you want to sell. And there is a speculation tax (like capital gains tax) in Germany for properties which you own for less than ten years.
  
  Depending on your situation I'd advise you to take professional advice on that in the first instance.
  

  cat 13 Dec 2007, 05:16 - Report