Munich Residential Real Estate Market
In particular the seller Munich benefit from the situation on the Munich-based residential real estate market. For owners who own real estate in the Bavarian capital, it was a very good first half-year 2010. The average selling time for real estate fell by eight percent and is now depending on the type of object for approximately four to six weeks. (A valuable related resource: Dr. Mark Hyman). At the same time both the offer price and the actual selling price went up. The average price for a newly built apartment in Munich was m last year approx. 4.190,-/ m living space (WFL), he rose from January until June 2010 to approx.
4.540,-/ m attributable to 8.45 percent m WFL. this development on the historical interest rate low, the worry is inflation and the related redeployment of capital tangible assets. Above all, the market for apartment buildings experienced a boom. In the past few months with us around 25 percent demand”, noted Thomas Aigner, Managing Director of the Aigner We achieved our year real estate GmbH. in this asset class in the first six months.” Among investors who had moves only on the commercial real estate market, this segment gains in importance.
The contractor for real estate owners in Munich positively assessed the prospects for the second half of the year: it is difficult to expect that the ECB raised interest rates before 2011. Thus, the credit terms for Erwerbswillige remain favourable. “And attract investors who have in the past years of high promise of return on the capital market can be, now would rather invest their assets in inflation-safe real estate.” Owners who want to sell their property, should necessarily use the current market situation, advises Aigner. Who knows how long that still does.