Register - if you don't have an account

Yes! Sign me up for Global Property Guide's fortnightly email newsletter.

Login - for registered users

Forgot Password?
Explore destinations
continent map couldn't be loaded Pacific Europe & Russia North America Latin America Asia Africa Middle East Caribbean


Financial Overview


Property Search

Global Statistics

Regional Statistics

May 31, 2016

Poor yields in Germany's big cities

Last Updated: May 31, 2016
BERLIN - Apartments COST (€) YIELD (p.a.) PRICE/SQ.M. (€)
90 sq. m. 367,110 1,082 3.54% 4,079 12.02
120 sq. m. 598,920 1,493 2.99% 4,991 12.44
FRANKFURT - Apartments
60 sq. m. 245,760 794 3.88% 4,096 13.24
120 sq. m. 544,680 1,678 3.70% 4,539 13.98
MUNICH - Apartments
60 sq. m. 383,760 1,112 3.48% 6,396 18.54
120 sq. m. 942,360 2,243 2.86% 7,853 18.69
Berlin: Charlottenburg, Friedrichshain, Grunewald, Karlhorst, Mitte, Prenzlauer Berg & Wilmersdorf
Frankfurt: Bockenheim, Bornheim, Nordend, Sachsenhausen & Westend
Munich: Au, Bogenhausen, Freimann, Haidhausen, Lehel, Maxvorstadt, Neuhausen-Nymphenburg & Schwabing
Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule

Prices of houses and apartments in Germany are rising.  Berlin is still much more affordable than Munich, but Germany´s capital city is now more expensive than its financial centre, Frankfurt.

  • Munich is Germany’s high-cost leader. To buy a 120 square metre (sq. m.) apartment in Munich costs around 940,000 euros
  • in Berlin a 120 sq. m. apartment costs around 600,000 euros
  • in Frankfurt, a 120 sq. m. apartment costs around 550,000 euros.

The purchase price of apartments in Munich´s prime residential districts is around 7,800 euros per sq. m., while in Berlin apartments cost around 4,900 euros per sq. m., and in Frankfurt around 4,500 euros per sq. m..

How much will you earn? Over the last two years, Frankfurt has moved into the lead in terms of rental return-on-investment.  Yields both in Munich and Berlin are a little lower than in Frankfurt.

  • In Munich a 120 sq. m. apartment can rent for around 2,250 euros a month, earning a yield of 2.9%.
  • in Berlin a 120 sq. m. apartment can rent for around 1,500 euros a month, earning a yield of 3.0%
  • in Frankfurt, a 120 sq. m. apartment can rent for around 1,700 euros a month, earning a yield of 3.7%.

These are not high yields.  All apartments included in the survey are located in the upscale residential neighbourhoods of Berlin, Frankfurt and Munich, and somewhat higher yields can be had on smaller apartments in poorer neighbourhoods.

Wherever you buy, you are unlikely to have much problem letting your apartment. Especially at the lower end there is an acute shortage of affordable apartments as the German boom continues, sucking in workers from all over Europe.

Round trip transaction costs are moderate to high in Germany. See our Germany transaction costs analysis and our Residential property transaction costs in Romania compared to other countries.


#1 HUDA | April 17, 2010

please i want an apartment 120-200.sqm with minimum 3 rooms maximum 15 minutes walking to the center or 10 minutes by underground 3-4 stops.thanks

Login or Register to submit a comment!

In order to promote open and spam-free conversations, Global Property Guide moderates commetns on all articles. You can expect that your comment will be published within 24 hours.

Baltics Real Estate Market Overview 2016 - Colliers InternationalPoland Residential Market Q2 2016 REASPoland Residential Market Q3 2016 REASPoland Residential Market Q4 2016 REAS
Compare Countries

Free Newsletter

Fortnightly updates from the global property arena directly to your inbox.

Email Address:

Connect to professional advice in Germany


Download free property reports from international research houses

Our Newsletter

Fortnightly updates from the global property arena directly to your inbox.

Manage subscriptions