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Germanys Construction Boom

by Brianna - December 22nd, 2019.
Filed under: News. Tagged as: .

Because there were so many new buildings no longer in Germany for almost a decade. Magdeburg, 20.11.2013. The cheap loans and the prospect of regular rental income are the cause. According to statistical Federal Office were from January until September 2013 approved the construction of 202.100 apartments. This corresponds to 13.5 percent and 24,000 apartments more than in the first nine months of 2012. Overall, there were not so many since 2004.

Thus, the sustained since 2010 positive development at the building permits in the residential construction continued. Given the low interest rates and attractive yield prospects due to rising rents and purchase prices it surprised hardly, that real estate is so in demand. The Federal Association of German housing and real estate companies (GdW) described the trend as “a positive sign for the housing market”. GdW President Axel Gedaschko said: “The upward trend in the new building is urgently needed, not further exacerbate the already existing housing shortage in growing urban regions in Germany.” The number of approved Apartments rose particularly in apartment buildings with 25.1 percent and two-family dwellings with 14.2 percent. The permits of single-family houses rose, however, only slightly by 1 percent. Experts fear, however, inhibit the rental price brake to the boom of new buildings.

“Investments in modernization and new construction will fall the anyway, hardly any new residential construction in the low-priced segment will come completely to a halt, the rent will in the future continue to rise in tighter supply.” The planned measures are a nationwide “investment prevention program”, fears also Gedaschko. People who want to invest in the profitable, real estate market, are properly advised of MCM investor Management AG. It offers also to the narrow valley”the possibility of this construction boom to benefit from. Professional advisors such as MCM investor Management AG can balance risks and opportunities thanks to its wide knowledge base and assist in the decision. Trends and recent developments also taken into account. The MCM investor Management AG can benefit their investors in an interesting shape from the Immobilienhype: participatory rights simplifies the access to the real estate market a wider crowd. So, the investor relationship is a win-win situation: benefiting the MCM investor Management AG, also their investors benefit. Finally, the MCM investor Management AG investment products make so successful the balance between safety, yield potential and high flexibility.

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