In 2022, there was as little trading in residential portfolios and apartments as there had last been during the financial crisis of 2009 and 2010, the Federal Institute for Research on Building, Urban Affairs and Spatial Development (BBSR) recently reported. According to BBSR, only twelve portfolios with at least 800 rental apartments changed hands in 2022 and a total of only 38,400 residential units. This emerges from an evaluation of a corresponding database on apartment transactions.
In this context, BBSR points out that the two largest transactions already took place at the beginning of 2022 and that the other transactions also took place predominantly in the first half of the year. In addition, larger transactions also almost did not take place: Only once did a portfolio with more than 10,000 apartments change hands. No portfolio with more than 800 units was bought or sold by the public sector, i.e. by the federal government, the federal states, local authorities, social security funds and other public corporations, in 2022.
"The noticeable reluctance of market players is happening against the backdrop of the economic and political conditions on the German transaction market," says Jonathan Franke of BBSR. In addition to high inflation and the interest rate turnaround, the weakening economy is causing low sales activity, he said. "The war in Ukraine and the associated global uncertainties are also causing companies to adopt a wait-and-see approach," says Jonathan Franke. A significant number of large transactions is therefore also not to be expected this year.
Source: bbsr.bund.de
© Fotolia
