The current interest rate uncertainty is making potential real estate buyers and developers hesitate. Many are waiting before entering into financial commitments. This reflects the concern that further interest rate hikes could drive up the cost of financing. This is the result of a study by the company "Civey".
Despite the reluctance to invest due to the interest rate trend, real estate is still considered an attractive investment option. Three quarters of respondents see real estate as a worthwhile investment that represents a stable value even in uncertain times. Three quarters of property owners considered their property to be profitable.
According to the Association of German Pfandbrief Banks, prices for residential real estate are only down slightly year-on-year at -4.3% compared to the first quarter of 2023. In contrast, the situation on the commercial real estate market remains tense. Prices for these fell by 9.6% compared to the previous year.
© immonewsfeed
