Real Estate Highlights November 2021
The latest construction price index figures have been released and show the highest year-over-year increase in over 50 years. That's why we're taking a closer look at the advantages of a new-build property and what you should look out for when buying.
We also present our current real estate highlights and hope you enjoy reading.
Your family Riedel
Market update NOVEMber 2021
Construction price index 2021
According to the Federal Statistical Office (Destatis), prices for new construction of conventionally manufactured residential buildings in Germany rose by 12.6% in August 2021 compared with August 2020. This is the highest year-on-year increase in construction prices since November 1970 (+13.1% compared with November 1969). The increase in construction prices was impacted not only by the base effect of the temporary reduction in VAT in the 2nd half of 2020 but also by the sharp rise in material prices. Without the VAT cut, the price increase would still have been 9.7% in purely arithmetical terms.
In May 2021, the previous reporting month for the statistics, prices had risen by 6.4% year-on-year. Compared with May 2021, construction prices increased by 3.5% in August 2021.
All price data refer to construction work on the building including value-added tax.
CURRENT HIGHLIGHTS
Munich - Nymphenburg / GernsoldPenthouse with roof terraces and house-in-house character
Living approx. 203 m² - 5 rooms- Munich - Altbogenhausensold
Rarity in "Montgelas Park": Noble high-end garden apartment with approx. 327 sqm
Living approx. 327 m² - 5 rooms
Buying real estate - what are the advantages of new construction?
When buying a property, you basically have the choice between an existing property or a newly built property. But what are the advantages of a new building and what do you have to consider? Based on the most important criteria such as flexibility, comfort and purchase price, we show you why the purchase of a new building is worthwhile.
Flexibility
Newly built properties offer a high degree of design freedom. Depending on which construction phase the project is in, you as the buyer can still influence the floor plan design, room layout and furnishings. Well thought-out room cuts with ample floor space and storage, open-plan living, dining and cooking, private retreat areas and bright bathrooms that combine aesthetics and functionality. This creates an individual home according to your personal wishes and ideas.
Comfort
New buildings feature state-of-the-art equipment to meet your needs. Smart home technology, intelligent lighting systems, living space ventilation systems with heat recovery or even charging stations in the building's own underground garage for electric cars offer plenty of living comfort. Such benefits are less common in existing properties, as they are associated with costly renovation.
Prices
As a rule, old buildings or second-hand properties are the cheaper option when it comes to buying a property. Even if the price per square meter is higher in the acquisition, however, new buildings are not to be considered a worse investment. The resale value of apartments in newer buildings is generally higher. Not to be neglected are the lower operating costs achieved in new-build apartments thanks to their high energy efficiency, and repair costs are also lower - viewed over the next twenty years.
New construction quality - made by RIEDEL
Many builders and project developers rely on RIEDEL for the design and sale of new-build properties. For the projects entrusted to us, we design intelligently cut floor plans together with the building owner and pay attention to an extremely high-quality and future-oriented equipment. You can find our offered new building projects in the best locations of Munich.
COMING SOON
New office in Grünwald
We will soon be opening our fifth office location. In addition to our offices in Nymphenburg, Schwabing, Bogenhausen and Gräfelfing, you will soon find us in Grünwald. We are looking forward to meeting you!