Real estate investment in Germany

Germany does not limit the sale of properties to foreigners: one can buy and sell housing and commercial real estate or rent it out.

Statistics confirm the liquidity of investments: residential real estate prices grow by an average of 1,9% every quarter. Five years ago, an apartment of 100 m² cost an average of €397,000, and today it is sold for €577,000.

€5,770

Average price per 1 m²

1,9%

Average price growth per quarter

5,5—16%

Associated costs, of the property value

How the residential property price index is growing in Germany

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Cost of a 3-bedroom apartment in Germany

€6 million

Penthouse in the centre of Munich

€3 million

Apartment in the centre of Munich

€500,000

Apartment in Berlin

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Individual selection of investment properties

  • Discuss your tasks and goals

  • Choose between properties from reliable developers

  • Get fully prepared and verified documents for a purchase

Elena Kozyreva
Elena Kozyreva

Managing Director for Real Estate projects

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Germany residence permit or citizenship by real estate investment

Obtaining a Germany residence permit or citizenship is not connected with purchasing real estate or investing.

Owners of real estate in Germany get Schengen multi-visas and can stay in Germany for up to 90 days in half a year.

Discover real estate market trends in 41 European countries

Practical Guide

Discover real estate market trends in 41 European countries

Taxes and associated costs

40+ guides on European countries

Learn the prices for purchasing and renting a property in each country, the market dynamics and taxes on buying and selling real estate.

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Real estate investment in Luxembourg

Foreigners can freely buy, sell and rent out real estate in Luxembourg.

€10,050

Average price per 1 m²

2.6%

Average price growth per quarter

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Real estate investment in Latvia

Foreigners can freely buy, sell and rent out real estate in Latvia. The sale of land to foreigners is limited: to buy a plot with a...

1360 €

Average price per 1 m²

250 000 €

Real estate investment for residency

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Real estate investment in Iceland

Foreigners can buy, lease and sell properties without restrictions in Iceland. The sale of land to foreigners is prohibited. The land on...

€4,405

Average price per 1 m²

2,5%

Average price growth per quarter

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Real estate investment in Estonia

Foreigners can freely buy and sell apartments in Estonia. Buying land with a house is not allowed in all areas. A legal entity can buy a...

€2,734

Average price per 1 m²

2,4%

Average price growth per quarter

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Real estate investment in Cyprus

The Republic of Cyprus restricts selling properties to foreigners: a non-EU citizen can buy no more than two properties and need a...

€1,725

Average price per 1 m² of housing in Cyprus

€300,000

Minimum investment amount to get permanent residence

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Real estate investment in Bosnia and Herzegovina

The sale of real estate to foreigners is not restricted in Bosnia and Herzegovina: one can buy, lease and sell housing and commercial...

€1,177

Average price per 1 m²

1,5%

Average price growth per quarter

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A guide about investing in real estate was prepared by our expert

Frequently asked questions

  • Can foreigners buy real estate in Germany?

    Yes. There are no restrictions for foreigners who want to buy, sell, or rent real estate in Germany.

  • Is real estate cheap in Germany?

    There are ways to find relatively affordable real estate in Germany. However, German real estate can’t be considered cheap. The average housing cost in Germany is €5,770 per 1 m².

    Real estate at affordable prices can be bought in small towns. For example, in Dresden, 1 m² of housing costs around €2,900 and, in Dortmund — €2,000.

    Relatively inexpensive housing can be found in different parts of Germany: in the east in Leipzig, a 30 m² one-bedroom apartment prices start from €35,000, and in the west in Oberhausen — from €40,000.

  • Is Germany good for real estate?

    Yes. German real estate is a liquid asset: residential property prices grow by an average of 1,9% every quarter. Residential and commercial properties can be rented out and resold for profit.

  • Will German house prices fall?

    On the contrary, German house prices increase by 5—10% each year. In the past 5 years, German real estate prices have grown 5 times.

  • Is there property tax in Germany?

    Property owners in Germany pay an annual tax of 1% to 2,8% of the cadastral value. The tax rate depends on the municipality.

    Income from renting out real estate is included in the income tax base. The income tax rate is progressive from 0% up to 45%.

    Real estate sellers who have owned a property for less than ten years, pay capital gains tax of 0—45%.