WHY BUY IN BERLIN?
Germany has been in recession mainly due to the massive costs associated with merging the old east with west following the demise of the Berlin wall in 1989. This could lead to the Berlin property market being the bargain of the decade. With the German economy in recovery and domestic property purchase becoming more popular (Germans have traditionally rented their apartments) the scene is set for increases in values from a rock bottom, almost bargain basement start! Property in this city is currently being snapped up by international investors - large and small alike.
Berlin is the centre of the enlarged European Union. A charming city with all the amenities one would expect from a major world capital. Berlin retains some very unique qualities that one can only appreciate by visiting. Berliners live a more relaxed pace of life than their counterparts in for example London, Paris or New York but at the same time still have all the amenities of these cities.
Berlin is the headquarters for 40 major international companies. Being close to the cheaper labour in the eastern European countries, Berlin is bound to benefit from the inward migration from these countries which will aid its economic strengthening.
Information technology companies are very strong in Berlin which is set to become the tech centre of Germany in coming years.
If you have never been to Germany - you may have a mis-conception of a drab place with a rather 'hard' sounding language. You will actually find outstanding quality and beautiful architecture and so many things to do in Berlin that one never really quite knows where to start. Berliners are extremely friendly and generally speak EXCELLENT ENGLISH.
Low Prices in comparison to other capital cities
Compare the average approximate price per square metre to buy a city centre apartment:
High yields in comparison with other capital cities
Average gross yields in London and Paris are now generally below 5%. Its hard to cover the interest let alone have decent cash flow. In Germany you can borrow at around 4 to 5% and earn above 6% and sometimes as high as 8%
Germany established stable country
Germany has a well developed economy. It has had a decade of poor performance due to the massive problems caused when the east joined the west however the tide is turning. Un-employment is dropping and the grass roots recovery is beginning. The world cup has brought a renewed national pride in Germany. Confidence is at the highest level for decades. A great time to buy.
More Berliners will start to purchase property
Only approximately 13 - 18% of Berliners own their own property. This is due to subsidised housing from the old east German government. However as rents rise, more people are opting to buy and prices look like they will rise accordingly. Also foreign investment companies are purchasing huge amounts of property.
A great place to visit and have a weekend bolt hole
Many people will not automatically consider Berlin as their perfect place to buy a weekend retreat. For some Berlin conjures up images only of the cold war and the oppression of the people before the fall of the Berlin Wall in 1989. The reality could not be further from the truth. It is a vibrant city with vibrant people of great beauty with some fantastic architecture both period and contemporary. Beautiful parklands, lakes, rivers and superb elegant shopping with vast food halls. It is fair to say that there is something for everyone in Berlin and you will want to return again and again!
Sailing, golf, music, art, shopping, approximately 6000 (yes 6000) restaurants, rock concerts, horse riding ... possibilities are endless. The city is quite flat and it is really fun on a warm day to hire a bike and just go! You will make new discoveries every day - maybe a new art market or an antiques market. Berlin is a city where all your senses are awake and you will leave with a taste for more.
Berlin has a wonderful infrastructure and you can get almost anywhere on the tube system which is both safe and clean.