Hot Property in Germany
This lens will profile David Stanley Redfern Ltd properties in Germany. These luxurious, elegant properties are perfect for holiday accomadation to show off to friends, and the price makes them equally as good investment opportunities. Anything you can't find out by clicking the embedded links you can ask me at media@davidstanleyredfern.com
Germany a stable and safe investment
While house prices in many industrialised countries have shot-up at staggering rates Germany's housing market has remained stagnant; an average detached house in Germany costs virtually the same as it did 10 years ago. Now investors, lured by remarkably low prices, are snapping up German real estate, especially in Berlin.
To understand why Germany's market has remained stagnant while others have climbed to dizzying heights, one has to go back to the 1990s. In June 1991, eight months after reunification, a law designed to revive the economy of former East Germany, called the Fördergebietsgesetz, came into force. It offered incredibly generous tax incentives to property investors: Anyone who renovated or built real estate in the former East or Berlin, could write off the entire cost of the investment from their taxable income over 10 years.
Many wealthy West Germans leapt at this once-in-a-life-time opportunity, pouring money into real estate, and buoyed by the generous tax breaks they helped create a real estate bubble. Effectively, the tax incentives were so generous that people over-invested; in the rush to take advantage of this incredible tax break, many investors forget to ask themselves whether there really was demand for the property they were building and renovating, or not.
When the tax incentives expired in 1998 it was clear investors had built over and above market demand. And as the housing market bubble burst, investor exuberance turned to gloom. So while other Western countries experienced their own bubbles (and bursts) in the last few years, Germany has remained immunized against the euphoria over house price rises that gripped many Western industrialised countries.
Admittedly, Germany also struggled with periods of sluggish economic growth in the last decade - actually going into recession in 2001 - and has seen record unemployment. And as the German economy has recovered in the last few years, so too has the country's housing market. Since 2004 the price of buy-to-let flats in big cities has especially increased.
Yet because the international housing market boom bypassed Germany, property has become relatively cheap - a fact that hasn't gone unnoticed by large-scale property investors. The German market now looks like a dream opportunity for investors. Prices are low compared to many other European countries, and home ownership is one of the lowest in the industrialised world.
The incredibly low home-ownership rate of 43 percent -12 percent in Berlin - presents a unique opportunity: Rents, which have been kept artificially low by large public housing companies that once owned large swathes of housing, are likely to rise as state governments are forcing these companies to sell property in order to offload some of the states' debts. And as rents rise, more people will want to buy their own homes. On top of that, too few new homes are being built to meet future demand.
There is going to be a shortage of housing, and this shortage will mean rents will have to rise. As they do so it becomes more economical for people to invest in housing, and so Germany will see rising prices as well as rising rents.
This isn't going to happen overnight however, and is likely to take 3-5 years to follow through, but those looking at a safe, stable and strong investment before the boom in Berlin should contact David Stanley Redfern Ltd.
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey: media@davidstanleyredfern.com
To understand why Germany's market has remained stagnant while others have climbed to dizzying heights, one has to go back to the 1990s. In June 1991, eight months after reunification, a law designed to revive the economy of former East Germany, called the Fördergebietsgesetz, came into force. It offered incredibly generous tax incentives to property investors: Anyone who renovated or built real estate in the former East or Berlin, could write off the entire cost of the investment from their taxable income over 10 years.
Many wealthy West Germans leapt at this once-in-a-life-time opportunity, pouring money into real estate, and buoyed by the generous tax breaks they helped create a real estate bubble. Effectively, the tax incentives were so generous that people over-invested; in the rush to take advantage of this incredible tax break, many investors forget to ask themselves whether there really was demand for the property they were building and renovating, or not.
When the tax incentives expired in 1998 it was clear investors had built over and above market demand. And as the housing market bubble burst, investor exuberance turned to gloom. So while other Western countries experienced their own bubbles (and bursts) in the last few years, Germany has remained immunized against the euphoria over house price rises that gripped many Western industrialised countries.
Admittedly, Germany also struggled with periods of sluggish economic growth in the last decade - actually going into recession in 2001 - and has seen record unemployment. And as the German economy has recovered in the last few years, so too has the country's housing market. Since 2004 the price of buy-to-let flats in big cities has especially increased.
Yet because the international housing market boom bypassed Germany, property has become relatively cheap - a fact that hasn't gone unnoticed by large-scale property investors. The German market now looks like a dream opportunity for investors. Prices are low compared to many other European countries, and home ownership is one of the lowest in the industrialised world.
The incredibly low home-ownership rate of 43 percent -12 percent in Berlin - presents a unique opportunity: Rents, which have been kept artificially low by large public housing companies that once owned large swathes of housing, are likely to rise as state governments are forcing these companies to sell property in order to offload some of the states' debts. And as rents rise, more people will want to buy their own homes. On top of that, too few new homes are being built to meet future demand.
There is going to be a shortage of housing, and this shortage will mean rents will have to rise. As they do so it becomes more economical for people to invest in housing, and so Germany will see rising prices as well as rising rents.
This isn't going to happen overnight however, and is likely to take 3-5 years to follow through, but those looking at a safe, stable and strong investment before the boom in Berlin should contact David Stanley Redfern Ltd.
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey: media@davidstanleyredfern.com
Germany, Berlin: A unique property, a unique opportunity
The overseas property specialists, David Stanley Redfern Ltd, have a unique opportunity in the German capital, Berlin.
The Landhaus Carrée, in Zehlendorf, comes with a 10-year rental guarantee (providing additional income security); a 10-year modernisation guarantee (covering all aspects of modernisation work undertaken to keep property standards up to date); a 10-year maintenance guarantee (protects against ongoing maintenance costs for a ten year period); and 10-year rent/apartment management (tenant support, rent administration and operating cost accounting all undertaken free of charge).
However, it is unlikely to take 10 years for the property to appreciate: The German market is one characterised by extremely low home-ownership - 43 percent nationwide and 12 percent in Berlin. The majority rent, especially in Berlin, which has helped to keep property prices amongst the lowest in the Westernised world. Yet these rents, which have been kept artificially low by large public housing companies that once owned large swathes of housing, are beginning to rise as state governments force their sale in order to offload some of the states debts. As rents rise, and interest rates stay relatively low, mortgages and home ownership become more attractive causing house prices to rise. On top of this, not enough homes are being built to meet future demand, causing rents to rise further and further fuelling the ownership market. Over the next 3-5 years, Germany, and especially Berlin is likely to see both rising rental rents and rising prices.
This presents a unique opportunity as Berlin prices are at the same level as they were in London, Dublin and Paris 18 years ago. There is no other European city where you can buy high quality apartments in the city centre for less than £2,359 per square metre.
David Stanley Redfern Ltd's Landhaus property is in Berlin's wealthiest district and contains some of the most natural settings in Berlin, including parts of the Grunewald forest and the Schlachtensee and Krumme Lanke lakes. Direct access to city centre can be made via road; the S-Bahn; the U-Bahn; and the U3 line.
The apartment complex itself was built in 1928 in the Carrée style in keeping with the old country houses. The living spaces are bright and airy providing a high standard of living in innovative architecture, with one of the largest inner courtyards and a private park. All apartments have been modernised and certified by the German underwriters 'TUV' who carry out all repairs and modernisation, awarding the coveted TUV stamp of approval. Prices range from £117,000 to £188,000 for a 2-3 bedroom apartments.
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey: media@davidstanleyredfern.com
The Landhaus Carrée, in Zehlendorf, comes with a 10-year rental guarantee (providing additional income security); a 10-year modernisation guarantee (covering all aspects of modernisation work undertaken to keep property standards up to date); a 10-year maintenance guarantee (protects against ongoing maintenance costs for a ten year period); and 10-year rent/apartment management (tenant support, rent administration and operating cost accounting all undertaken free of charge).
However, it is unlikely to take 10 years for the property to appreciate: The German market is one characterised by extremely low home-ownership - 43 percent nationwide and 12 percent in Berlin. The majority rent, especially in Berlin, which has helped to keep property prices amongst the lowest in the Westernised world. Yet these rents, which have been kept artificially low by large public housing companies that once owned large swathes of housing, are beginning to rise as state governments force their sale in order to offload some of the states debts. As rents rise, and interest rates stay relatively low, mortgages and home ownership become more attractive causing house prices to rise. On top of this, not enough homes are being built to meet future demand, causing rents to rise further and further fuelling the ownership market. Over the next 3-5 years, Germany, and especially Berlin is likely to see both rising rental rents and rising prices.
This presents a unique opportunity as Berlin prices are at the same level as they were in London, Dublin and Paris 18 years ago. There is no other European city where you can buy high quality apartments in the city centre for less than £2,359 per square metre.
David Stanley Redfern Ltd's Landhaus property is in Berlin's wealthiest district and contains some of the most natural settings in Berlin, including parts of the Grunewald forest and the Schlachtensee and Krumme Lanke lakes. Direct access to city centre can be made via road; the S-Bahn; the U-Bahn; and the U3 line.
The apartment complex itself was built in 1928 in the Carrée style in keeping with the old country houses. The living spaces are bright and airy providing a high standard of living in innovative architecture, with one of the largest inner courtyards and a private park. All apartments have been modernised and certified by the German underwriters 'TUV' who carry out all repairs and modernisation, awarding the coveted TUV stamp of approval. Prices range from £117,000 to £188,000 for a 2-3 bedroom apartments.
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey: media@davidstanleyredfern.com
Berlin Property: The Boom is Coming
The Berlin property market has become one of the most depressed in Europe, high unemployment, shrinking population and economic growth have cause continual erosion of prices. NuWire Investor recommends Berlin for property investment however, on the grounds that there is good money to be made from residential rentals, with only 45% of the population owning their own homes, (15% in Berlin).
NuWire said that the trend towards renting instead of buying makes it hard to make money from re-selling your investment property, as you are likely to be selling to other investors, but if the market and the population turns toward buying their homes, then Berlin property owners could start to make some serious gains.
Liam Bailey Head of international research for David Stanley Redfern Ltd gave us his thoughts on the potential for such a change in Berlin property:
"Rental rates in Berlin have been rising in almost all districts for the past year, as rental becomes more expensive, and closer to monthly mortgage rates, then people will realise it is more cost effective to buy their property. When that happens property prices in Berlin will start to be driven up. On top of rising rents, the government has just approved a subsidy program, allowing people to use their government subsidised pensions to buy property. When the bill is passed, it will provide another potential trigger to create a seller's market in Berlin."
David Stanley Redfern Ltd, recently opened a Berlin office as part of their Western European Division, and their German sourcers, are currently focussing on Berlin, building on what is already an impressive Berlin range, and ensuring DSR are on board with the best developments and units coming onto the Berlin market.
The plan is to expand from Berlin into other hot markets in Germany. And the full German property range will be on davidstanleyredfern.de
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey at media@davidstanleyredfern.com
NuWire said that the trend towards renting instead of buying makes it hard to make money from re-selling your investment property, as you are likely to be selling to other investors, but if the market and the population turns toward buying their homes, then Berlin property owners could start to make some serious gains.
Liam Bailey Head of international research for David Stanley Redfern Ltd gave us his thoughts on the potential for such a change in Berlin property:
"Rental rates in Berlin have been rising in almost all districts for the past year, as rental becomes more expensive, and closer to monthly mortgage rates, then people will realise it is more cost effective to buy their property. When that happens property prices in Berlin will start to be driven up. On top of rising rents, the government has just approved a subsidy program, allowing people to use their government subsidised pensions to buy property. When the bill is passed, it will provide another potential trigger to create a seller's market in Berlin."
David Stanley Redfern Ltd, recently opened a Berlin office as part of their Western European Division, and their German sourcers, are currently focussing on Berlin, building on what is already an impressive Berlin range, and ensuring DSR are on board with the best developments and units coming onto the Berlin market.
The plan is to expand from Berlin into other hot markets in Germany. And the full German property range will be on davidstanleyredfern.de
Find out more about German property.
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey at media@davidstanleyredfern.com
Property Berlin: You're Chance to Play with the Big Boys
A little while back money week ran a story on how all the big financial institutions like Meryl Lynch, have been buying German apartments in bulk -- tens of thousands at a time. They have been given this opportunity by Germany's privatised industries selling of their property stocks to reduce costs. And they have taken the opportunity because Germany has the most depressed property market of all industrialised, "western" countries.
Liam Bailey, Head of International Research for David Stanley Redfern Ltd, gave his thoughts on what this means for the German property market:
"These major players buying thousands of apartments throughout Berlin and Germany are likely to use their considerable financial clout to create somewhat of a seller's market, and/or to increase incentives for people to buy. Most notably raising rents, and increasing the availability of finance packages, as well as the percentage thereof."
Janet Gieram, a Berliner and head of DSR's new Western European Division, said that their plans are already beginning to take effect, with "prices and rental rates finally seeing some real growth, the latter triggering an upsurge in people willing to buy their property as oppose to just renting."
Berlin then, currently presents one of the best investment opportunities on the global market, because property there is more affordable than any other established market. Put simply, you can buy into the safety of an established market, with the price and potential of an emerging market property.
David Stanley Redfern Ltd's new Western European division, consisting of a fully staffed office, and a team of sourcers, gives them the ability to maintain what has become one of the liveliest portfolios of German properties of any other worldwide agent operating in the market. Currently DSR are focusing on Berlin property, but plan to offer property throughout Germany as decent opportunities become available.
David Stanley Redfern Ltd even have 3 bulk investment opportunities, where tens of apartments are being sold as a package. This gives serious investors the chance to play with the big boys like Meryl, Lynch, and fully capitalise as the latter's efforts to generate return on their investments continue to bring about growth in the market.
DSR's bulk Berlin investment opportunities include: a development of 1 commercial unit and 8 apartments in Kreuzberg, and a development of 2 commercial units and 6 apartments in Pankow.
Find out more about German property.
Liam Bailey, Head of International Research for David Stanley Redfern Ltd, gave his thoughts on what this means for the German property market:
"These major players buying thousands of apartments throughout Berlin and Germany are likely to use their considerable financial clout to create somewhat of a seller's market, and/or to increase incentives for people to buy. Most notably raising rents, and increasing the availability of finance packages, as well as the percentage thereof."
Janet Gieram, a Berliner and head of DSR's new Western European Division, said that their plans are already beginning to take effect, with "prices and rental rates finally seeing some real growth, the latter triggering an upsurge in people willing to buy their property as oppose to just renting."
Berlin then, currently presents one of the best investment opportunities on the global market, because property there is more affordable than any other established market. Put simply, you can buy into the safety of an established market, with the price and potential of an emerging market property.
David Stanley Redfern Ltd's new Western European division, consisting of a fully staffed office, and a team of sourcers, gives them the ability to maintain what has become one of the liveliest portfolios of German properties of any other worldwide agent operating in the market. Currently DSR are focusing on Berlin property, but plan to offer property throughout Germany as decent opportunities become available.
David Stanley Redfern Ltd even have 3 bulk investment opportunities, where tens of apartments are being sold as a package. This gives serious investors the chance to play with the big boys like Meryl, Lynch, and fully capitalise as the latter's efforts to generate return on their investments continue to bring about growth in the market.
DSR's bulk Berlin investment opportunities include: a development of 1 commercial unit and 8 apartments in Kreuzberg, and a development of 2 commercial units and 6 apartments in Pankow.
Find out more about German property.
Berlin Property a Safe Harbour in Financial Storm
With the recent economic woes keeping many people awake at night, where can investors find a low-risk overseas investment property? In the midst of the financial storm, Berlin is a safe harbour. David Stanley Redfern Limited, the overseas investment property specialists, are now helping investors take advantage of these favourable conditions in the Berlin housing market.
In contrast to other prosperous German cities, low rent and abundant supply of space are drawing companies to Berlin. At the same time urban regeneration efforts have led many neighbourhoods in the former East Berlin to become increasingly fashionable. Jam-packed with cafes, boutiques and a thriving art scene, Mitte, Prenzlauer Berg, Kreuzberg, and Friedrichshain are now among Berlin's most sought after addresses for young professionals. With over 80 percent of Berlin residents renting, demand for these areas is likely to remain strong, particularly for the lower priced segment of the market.
At the same time, changes in the law have allowed landlords in the city to increase rents up to 20 percent in a three year period. Publicly owned housing stock is increasingly being bought by prominent private investors, including Goldman Sach's and Morgan Stanley's property funds, which is beginning to drive prices up. Savvy investors who get into the market while prices are still low can expect a healthy return on their investment.
To help investors take advantage of the favourable market conditions, David Stanley Redfern is offering a one-bedroom property in trendy Friedrichshain. Built in 1910 and refurbished in 2002, the building boasts historic charm combined with all the modern conveniences. Facing a courtyard, with laminate floors, spacious rooms and modern bathroom fixtures, the 57 square meter apartment is not only attractive but also a sound investment.
Already tenanted with scheduled yearly rent increases, David Stanley Redfern projects a healthy rental yield between 4.2% and 5.8% and expected capital appreciation of 10% as the neighbourhood continues to gentrify.
Find out more about David Stanley Redfern Ltd property in Berlin
In contrast to other prosperous German cities, low rent and abundant supply of space are drawing companies to Berlin. At the same time urban regeneration efforts have led many neighbourhoods in the former East Berlin to become increasingly fashionable. Jam-packed with cafes, boutiques and a thriving art scene, Mitte, Prenzlauer Berg, Kreuzberg, and Friedrichshain are now among Berlin's most sought after addresses for young professionals. With over 80 percent of Berlin residents renting, demand for these areas is likely to remain strong, particularly for the lower priced segment of the market.
At the same time, changes in the law have allowed landlords in the city to increase rents up to 20 percent in a three year period. Publicly owned housing stock is increasingly being bought by prominent private investors, including Goldman Sach's and Morgan Stanley's property funds, which is beginning to drive prices up. Savvy investors who get into the market while prices are still low can expect a healthy return on their investment.
To help investors take advantage of the favourable market conditions, David Stanley Redfern is offering a one-bedroom property in trendy Friedrichshain. Built in 1910 and refurbished in 2002, the building boasts historic charm combined with all the modern conveniences. Facing a courtyard, with laminate floors, spacious rooms and modern bathroom fixtures, the 57 square meter apartment is not only attractive but also a sound investment.
Already tenanted with scheduled yearly rent increases, David Stanley Redfern projects a healthy rental yield between 4.2% and 5.8% and expected capital appreciation of 10% as the neighbourhood continues to gentrify.
Find out more about David Stanley Redfern Ltd property in Berlin
Unprecedented Growth Makes Berlin Hot for Property Investment
The reports are true; Berlin is currently one of the safest countries in the world to make a property investment, but a new report also hints at it being one of the best, writes David Stanley Redfern's Liam Bailey.
According to a major study into the Berlin housing market in the first quarter of 2008, rental rates are growing in every district in the city. It is 50/50; in 6 of the 12 districts rental rate growth is accelerating, and in the other 6 it is slowing, but in none are rents bottoming out or falling.
In the same report last year, rental rate growth was accelerating in only three districts, Spandau, Charlottenburg-Wilmersdorf, and Treptow-Köpenick, in all the rest rents were either bottoming out or falling.
In Spandau, which displayed the fastest growing rental rates in last year's report, rental rate growth has begun to slow according to the recent report, but in the other two districts that saw accelerating rental rate growth last year -- Charlottenburg-Wilmersdorf and Treptow-Köpenick -- rental rate growth is still accelerating.
Mitte and Neukölln, two districts that saw falling rental rates this time last year, along with Pankow and Steglitz-Zehlendorf, that both saw rental rates bottoming out last year, have joined Charlottenburg-Wilmersdorf and Treptow-Köpenick in the rental rate accelerating bracket in this year's report.
The fact that 5 of the 6 districts now seeing rental rate growth slowing, were in the rental rates bottoming out, or rental rates falling brackets in the report this time last year, means that they must have seen accelerated growth at some time over the past year. This shows that Berlin rental rates have been on an upward trend for the past year.
Germany's government is strict about rental rate rises in Berlin. It has to be, to avoid people being priced onto the streets because of the large portion of Berlin's population forced to live in rented accommodation, because they haven't been able to buy their own home. Landlords are only allowed to raise rental rates when the economy and wages are growing, and even then by no more than 20% in three years. Berlin rental growth is so strong now because the economy is at one of its strongest points.
The extremely large proportion of Berlin residents either forced or choosing to live in rented accommodation (82%) gives Berlin one of the strongest residential rental markets in the world, but government control means residential tenancies barely achieve more than a five percent yield.
The current unprecedented level of economic growth, and the fact that it is largely fuelled by growth in the export sector, which should see Germany survive a rocky global economy better than most, has brought reports that the government may soon be able to bring new legislation relaxing the strict laws governing rental rises.
For the first time there is hope of achieving higher yields in Berlin, which should really be the case from the solid all year round rental that is so easily achievable. But even without a government relaxation, the growth in Berlin rental rates without government help, the aforementioned stability of Germany's economy and the high likelihood of it best weathering the global economic storm, is turning Berlin into one of the world's most popular destinations for a property investment.
**Liam Bailey is head of international research for David Stanley Redfern Ltd and is frequently quoted by national and international magazines and newspapers.
According to a major study into the Berlin housing market in the first quarter of 2008, rental rates are growing in every district in the city. It is 50/50; in 6 of the 12 districts rental rate growth is accelerating, and in the other 6 it is slowing, but in none are rents bottoming out or falling.
In the same report last year, rental rate growth was accelerating in only three districts, Spandau, Charlottenburg-Wilmersdorf, and Treptow-Köpenick, in all the rest rents were either bottoming out or falling.
In Spandau, which displayed the fastest growing rental rates in last year's report, rental rate growth has begun to slow according to the recent report, but in the other two districts that saw accelerating rental rate growth last year -- Charlottenburg-Wilmersdorf and Treptow-Köpenick -- rental rate growth is still accelerating.
Mitte and Neukölln, two districts that saw falling rental rates this time last year, along with Pankow and Steglitz-Zehlendorf, that both saw rental rates bottoming out last year, have joined Charlottenburg-Wilmersdorf and Treptow-Köpenick in the rental rate accelerating bracket in this year's report.
The fact that 5 of the 6 districts now seeing rental rate growth slowing, were in the rental rates bottoming out, or rental rates falling brackets in the report this time last year, means that they must have seen accelerated growth at some time over the past year. This shows that Berlin rental rates have been on an upward trend for the past year.
Germany's government is strict about rental rate rises in Berlin. It has to be, to avoid people being priced onto the streets because of the large portion of Berlin's population forced to live in rented accommodation, because they haven't been able to buy their own home. Landlords are only allowed to raise rental rates when the economy and wages are growing, and even then by no more than 20% in three years. Berlin rental growth is so strong now because the economy is at one of its strongest points.
The extremely large proportion of Berlin residents either forced or choosing to live in rented accommodation (82%) gives Berlin one of the strongest residential rental markets in the world, but government control means residential tenancies barely achieve more than a five percent yield.
The current unprecedented level of economic growth, and the fact that it is largely fuelled by growth in the export sector, which should see Germany survive a rocky global economy better than most, has brought reports that the government may soon be able to bring new legislation relaxing the strict laws governing rental rises.
For the first time there is hope of achieving higher yields in Berlin, which should really be the case from the solid all year round rental that is so easily achievable. But even without a government relaxation, the growth in Berlin rental rates without government help, the aforementioned stability of Germany's economy and the high likelihood of it best weathering the global economic storm, is turning Berlin into one of the world's most popular destinations for a property investment.
**Liam Bailey is head of international research for David Stanley Redfern Ltd and is frequently quoted by national and international magazines and newspapers.
David Stanley Redfern Expands German Operation
Germany was the biggest climber in A Place in the Sun's annual top-20 chart of the top investment destinations, which is based on a survey of visitors to their road-shows. Germany climbed to number 19 on the chart up by a whopping ten places from 29 last year, the only two other countries on the chart that climbed anywhere near as much were Canada and the U.S.A, climbing 7 and 6 places respectively.
It is a fact most people eyeing an investment in Germany are talking about an apartment in Berlin, because of Berlin's strong demand for rental accommodation, giving the potential for extremely high and reliable net yields. David Stanley Redfern Ltd have an excellent portfolio of Berlin apartments.
However Germany as a whole has an incredibly strong economy, fortified by its level of exports. And other places are beginning to show signs of economic growth. This is a part of the reason for David Stanley Redfern's opening a German office in Mitte Berlin. Partly to expedite transactions in Berlin and facilitation of inspection trips, but also as a base of operations for a team of sourcers, who are currently scouring Germany to find and make available to our clients the freshest and best investment opportunities in Germany.
Alongside the new office will be a new website especially for Germany. When the site is first launched it will carry DSR's full Berlin portfolio, as well as an information section on each Berlin district, strengths, weaknesses and any pertinent information on the buying process in each district.
As DSR take on properties in other regions, each will get their own space in the information section, containing all the above as well as what attracted us to take on property there. So, the information section will be a growing force, constantly evolving as facts on the ground change, and constantly growing into one of the most complete sources of information about property investment in Germany on the net.
It is a fact most people eyeing an investment in Germany are talking about an apartment in Berlin, because of Berlin's strong demand for rental accommodation, giving the potential for extremely high and reliable net yields. David Stanley Redfern Ltd have an excellent portfolio of Berlin apartments.
However Germany as a whole has an incredibly strong economy, fortified by its level of exports. And other places are beginning to show signs of economic growth. This is a part of the reason for David Stanley Redfern's opening a German office in Mitte Berlin. Partly to expedite transactions in Berlin and facilitation of inspection trips, but also as a base of operations for a team of sourcers, who are currently scouring Germany to find and make available to our clients the freshest and best investment opportunities in Germany.
Alongside the new office will be a new website especially for Germany. When the site is first launched it will carry DSR's full Berlin portfolio, as well as an information section on each Berlin district, strengths, weaknesses and any pertinent information on the buying process in each district.
As DSR take on properties in other regions, each will get their own space in the information section, containing all the above as well as what attracted us to take on property there. So, the information section will be a growing force, constantly evolving as facts on the ground change, and constantly growing into one of the most complete sources of information about property investment in Germany on the net.
David Stanley Redfern Opens Berlin Office
So full of enthusiasm about the underestimated established Berlin property market, David Stanley Redfern Ltd have opened a new office in Mitte Berlin, and employed the necessary staff to run the office. Berlin property is one of DSR's best sellers, and the new office is to make it easier to source new developments and partners, as well as making it easier to arrange inspection trips. The office officially opens March 12 2008.
David Stanley Redfern Ltd are widely revered as investment specialists, from top level down their staff are regarded as experts in the field of overseas property investment. According to David Stanley Redfern's Head of International Research Liam Bailey, the whole team feels very strongly about the strength of Berlin:
"We are all booming and brimming with excitement about the new emerging markets, and there is little doubt that if you're in the market to turn a quick profit, hoping to nip in and out of overseas property investment in a few years with a sizeable back-pocket bulge then the emerging markets are probably your best bet. But if you're in it for the long haul, want to put something past for your retirement and/or your kids future, and have been scared by recent economic events like pension funds losing money, then a property investment in an established market is perhaps your best bet, and Berlin is one of the best among them -- the best for some people."
Liam refers to people who are looking for a solid rental income as well as capital appreciation. "For long term investors who want to start making money right away, and continue earning a stable rental income, as well as being safe in the knowledge that their property's value will grow sustainably, Berlin is the best place for them to buy in. The demand for rented accommodation far outweighs the supply, giving Berlin the strongest residential rental market in Europe."
There are many opportunities in Berlin to buy tenanted apartments; these instant-earners provide an excellent opportunity to approach a bank for buy-to-let finance. Buy-to-let finance is usually based on the bank's estimate of the property's rental yield, which often means only a low percentage of the value can be raised this way, often no more than 60% Loan to Value. If you have a tenant and a contract in place, the fixed rental yield may allow you to seek a higher percentage of buy-to-let finance.
The new Berlin office will excellently complement David Stanley Redfern's industry leading range of Berlin property and financial services, most notably DSR's deal with a major German bank allowing them to offer 70%LTV mortgages on their Berlin properties, and independent financial advice with a certified mortgage planner. The new level of involvement in Berlin's property market is already paying dividends, DSR's ability to offer 70% LTV mortgages in Berlin already makes them one of the strongest in the industry, but on one of their developments, Wilhelmshavener Strasse, DSR are now able to offer 75% LTV mortgages on one and two bedroom apartments -- a first for Berlin from David Stanley Redfern Ltd.
David Stanley Redfern Ltd are widely revered as investment specialists, from top level down their staff are regarded as experts in the field of overseas property investment. According to David Stanley Redfern's Head of International Research Liam Bailey, the whole team feels very strongly about the strength of Berlin:
"We are all booming and brimming with excitement about the new emerging markets, and there is little doubt that if you're in the market to turn a quick profit, hoping to nip in and out of overseas property investment in a few years with a sizeable back-pocket bulge then the emerging markets are probably your best bet. But if you're in it for the long haul, want to put something past for your retirement and/or your kids future, and have been scared by recent economic events like pension funds losing money, then a property investment in an established market is perhaps your best bet, and Berlin is one of the best among them -- the best for some people."
Liam refers to people who are looking for a solid rental income as well as capital appreciation. "For long term investors who want to start making money right away, and continue earning a stable rental income, as well as being safe in the knowledge that their property's value will grow sustainably, Berlin is the best place for them to buy in. The demand for rented accommodation far outweighs the supply, giving Berlin the strongest residential rental market in Europe."
There are many opportunities in Berlin to buy tenanted apartments; these instant-earners provide an excellent opportunity to approach a bank for buy-to-let finance. Buy-to-let finance is usually based on the bank's estimate of the property's rental yield, which often means only a low percentage of the value can be raised this way, often no more than 60% Loan to Value. If you have a tenant and a contract in place, the fixed rental yield may allow you to seek a higher percentage of buy-to-let finance.
The new Berlin office will excellently complement David Stanley Redfern's industry leading range of Berlin property and financial services, most notably DSR's deal with a major German bank allowing them to offer 70%LTV mortgages on their Berlin properties, and independent financial advice with a certified mortgage planner. The new level of involvement in Berlin's property market is already paying dividends, DSR's ability to offer 70% LTV mortgages in Berlin already makes them one of the strongest in the industry, but on one of their developments, Wilhelmshavener Strasse, DSR are now able to offer 75% LTV mortgages on one and two bedroom apartments -- a first for Berlin from David Stanley Redfern Ltd.
New German Investment Property: Something for Everyone
While the words: hot new emerging property market should really come after or during a drum roll, the benefits of opting to make your overseas property purchase in one of the world's few truly established property markets like Germany should not be overlooked. To make this easier David Stanley Redfern have recently added 14 new Berlin investment opportunities to their unrivalled overseas property port-folio. And what shouldn't be forgotten is David Stanley Redfern's ability to offer 70% loan to value mortgages on all Berlin apartments, because of their deal with a major German bank.Potential investors with an eye on an apartment in Berlin will now without a shadow of a doubt be able to find exactly what they are looking for in a German property with David Stanley Redfern. We have everything, from studios to four bedroom apartments, some tenanted, some empty, and all in the most sought after areas of Germany's vibrant capital city.
The shrewdest investors will know that Germany's property boomlet fizzled out as quickly it began, but Berlin was a strong property market before the mini-boom and remains strong after it. In Berlin the demand for quality housing far outweighs the supply, so it is an excellent city for residential rental, and David Stanley Redfern's tenanted apartments give a very rarely found chance to earn an immediate income. Plus, with contracts and prices in place, you can approach banks with a buy to-let finance request without having to worry about what they will estimate as the property's potential rental income. The un-tenanted apartments can fetch yields of between 6 and 8%.
In fact the best of the new bunch comes with a 6% guaranteed yield for the first three years: 1-5 room apartments in Tempelhof Berlin, prices starting from £37,000, all apartments have been modernized and fully refurbished, as well as having fitted kitchens and central heating.
Number two in this roundup of DSR's hottest Berlin investment properties is the Hubertusaleefinal development -- a DSR exclusive. While there is no guaranteed rental yield, this property is at number two because it is at such a low price for its prime location, at the heart of vibrant West Berlin. The Kurfuerstendamm starts just thirty metres from the development, its exclusive shops, restaurants bars and theatres can be seen from the front windows of the apartments. From the back windows you can see Grunewald and the embassies, consulates, exclusive villas, beautiful forests and lakes of the wealthiest area in Berlin. Studios starting from just £44,000 in such an area gives plenty of scope for strong yields and impressive potential for capital appreciation.
And number three because it is slightly more expensive but again, in an even more exclusive and prime location are the studio-3 bedroom apartments in Mitte. Mitte is another area filled with embassies and global corporations, and this complex has been fully modernized and refurbished, and is in a nice quiet part of the district -- with a large park and wooded area right next to the development. Prices start at £65000 for a studio, which in an area like Mitte still leaves room for at least a 6% yield, maybe more from new executives coming to work in the multinationals nearby.
Find out more about David Stanley Redfern's investment property in Mitte and throughout the best areas of Berlin at: http://www.davidstanleyredfern.com/investment-property/germany/
About David Stanley Redfern
David Stanley Redfern Ltd is one of the U.K.'s leading overseas property investment specialists. The reasons for this are an incomparable range of international properties spanning 40 destinations worldwide, and unrivalled customer care, which lasts long after the purchase has been completed. Experienced, professional staff and membership to the overseas property market's regulatory body: the Association for International Property Professionals, as well as their stringent due diligence procedures gives buyers the confidence that any purchase with David Stanley Redfern is a safe one.
Media enquiries should be directed to Liam Bailey: media@davidstanleyredfern.com.
Exclusive Berlin Apartments Create Strong Investment Opportunities
David Stanley Redfern Ltd have done it again! Their unrelenting worldwide search for quality investment property has once again paid off for the longstanding overseas property investment specialists. Adding to their portfolio of prestigious properties, they are currently showcasing their exclusive Hubertusalee development and its accommodating 1 bedroom apartments.
Limited availability of such highly sought after apartments perhaps, is understandable, not just because of their location but also because of their affordability. For just %u20AC61,990 a property in the German capital city of Berlin can belong to any investor out there who, not only knows a good thing when they see it, but are assertive and fast acting too. Perfect for career minded individuals, independence-seeking couples or business motivated investors looking to let the apartment to either of the aforementioned ideal candidates, the Hubertusalleefinal could be the overseas investment opportunity of a lifetime, despite their surely limited availability of course.
Situated in the widely revered and resplendent Grunewald region of Charlottenburg-Wilmersdorf borough, these apartments enjoy exceptionally high rental yields as well as the close proximity and convenience of the popular theatres and restaurants, shops, bars and cafés. With the inherently beautiful forests, lakes and the Havel River to complete the setting of the stunning surroundings that are clearly visible from any balcony, the high demand for accommodation in this serene area of Berlin will certainly come as no surprise.
It's also no secret that any Berlin resident fully appreciates the easy access to the rest of Germany either, effortlessly utilising the U-Bahn and S-Bahn to reach any nationwide destination and with the Tegel airport only 20 minutes away well, the world and its endless international destinations are practically a short walk away too. Okay, so we know the location is ideal, let's look at what you actually get for your money.
Aside from the exclusive villas, embassies and consulates that are abundant in the area, the environmentally friendly, refurbished Hubertusalleefinal is also widely familiar to Berliners and is recognised by some as a modern, structurally sound and well maintained landmark.
Particularly true of Berlin is the fact that city apartments are proved to be the most appealing properties on the German market place and so if this sounds right for you, why not contact David Stanley Redfern Ltd today for a query quashing and obligation-free chat. With so many specifications and services available, it's only on your best interests to investigate the full extent of what's on offer, right?
Limited availability of such highly sought after apartments perhaps, is understandable, not just because of their location but also because of their affordability. For just %u20AC61,990 a property in the German capital city of Berlin can belong to any investor out there who, not only knows a good thing when they see it, but are assertive and fast acting too. Perfect for career minded individuals, independence-seeking couples or business motivated investors looking to let the apartment to either of the aforementioned ideal candidates, the Hubertusalleefinal could be the overseas investment opportunity of a lifetime, despite their surely limited availability of course.
Situated in the widely revered and resplendent Grunewald region of Charlottenburg-Wilmersdorf borough, these apartments enjoy exceptionally high rental yields as well as the close proximity and convenience of the popular theatres and restaurants, shops, bars and cafés. With the inherently beautiful forests, lakes and the Havel River to complete the setting of the stunning surroundings that are clearly visible from any balcony, the high demand for accommodation in this serene area of Berlin will certainly come as no surprise.
It's also no secret that any Berlin resident fully appreciates the easy access to the rest of Germany either, effortlessly utilising the U-Bahn and S-Bahn to reach any nationwide destination and with the Tegel airport only 20 minutes away well, the world and its endless international destinations are practically a short walk away too. Okay, so we know the location is ideal, let's look at what you actually get for your money.
Aside from the exclusive villas, embassies and consulates that are abundant in the area, the environmentally friendly, refurbished Hubertusalleefinal is also widely familiar to Berliners and is recognised by some as a modern, structurally sound and well maintained landmark.
Particularly true of Berlin is the fact that city apartments are proved to be the most appealing properties on the German market place and so if this sounds right for you, why not contact David Stanley Redfern Ltd today for a query quashing and obligation-free chat. With so many specifications and services available, it's only on your best interests to investigate the full extent of what's on offer, right?
David Stanley Redfern Unveils Fresh German Portfolio
Award winning overseas property investment specialists David Stanley Redfern Ltd have unveiled their latest high class portfolio of properties in the German market place. Their astonishing array of vastly varying investment opportunities start with more humble 24,950 euros 1 bedroom studio apartments to grandeur 86,000 EURO 2 bedroom apartments, all in Berlin, giving any potential investor easy access to the whole of Germany from its vibrant capital city.Given the massive scope within their exclusive range, a closer look at a mid range property might serve as a guide to what David Stanley Redfern Ltd have on offer. With this in mind, let's look at their 81,800 euro 1-2 bedroom Haselhorst 4 apartments.
These are state managed and so include a 10 year government guaranteed rental income of 6 eiros per sq. m. (4%). With promised financial return already part of the package, alleviating some of the stress that can sometimes arise when securing a tenant, the allure is surely all the more attractive to potential investors.
These sixties built apartments are located in the calm ambience of Spandau, Berlin, amidst its foliage friendly environment of tree lined streets and gardens. The development underwent a thorough refurbishment and saw its completion in 2005.
With their newly renovated exteriors hinting at the sharp finish of their fully modernised interiors, they simply shine with their new found stylish elegance. Finished with typical lockable basement storage and secure parking for each resident, these attractive apartments at the heart of the city are ideal for home-birds or commuters, families or professionals, practically anyone.
As for Spandau itself, it's situated at the meeting point of two rivers (Havel and Spree) and notably hosts Berlin's oldest structure, the modern day museum that is the 16th century Spandau citadel and its original 12th century tower.
Spandau is also the site of the now demolished Spandau prison, whose last and only prisoner (after the Nuremberg trials) was one Rudolf Hess who passed in 1987. Fans of the late comedian Bernard Manning will be surprised to learn of his service as a guard here. Spandau certainly holds its place in historical Germany, just as it does in its future.
Contact David Stanley Redfern Ltd today, for full information on any of their new and exclusive investment opportunities, Germany based or otherwise. And remember, time may be of the essence, so don't delay with your enquiry.
About David Stanley Redfern Ltd
David Stanley Redfern Ltd is an overseas property specialist, working directly with developers in more than forty countries. Most properties are exclusive to David Stanley Redfern Ltd, giving an unparalleled selection of resale and new builds. David Stanley Redfern Ltd is AIPP accredited.
Please direct all media queries, requests for press information and editorial details, to media@davidstanleyredfern.com.
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Click this link and send with subject line intact to be added to our news mailing list. German Property: Buy with the Best!
David Stanley Redfern Ltd are overseas property investment specialists with years of experience and a great reputation that reflects their long serving endeavours in their restless search for the very best of investment opportunities. Currently available from 31,850 euros, Berlin's 'City Oasis' development is being proudly showcased as one of the highlights to be discovered on today's market.The family orientated building hosts a centrally situated, expanse and serene, nuance featuring green. It's perfect for taking time out and finding that ever elusive relaxing spot amidst the hustle and bustle you might come to expect in a Berlin based borough such as Marzahn, the multi village amalgamating location of this development.
Undergoing a complete renovation in the late 90s, this mid 80s construction looks every bit as fresh and modern today as it might have done upon its original completion. Each and every one of its facades and double glazed windows, entrances and hallways saw a complete and thorough refurbishment that invigorated the building and its respective surroundings, increasing the buildings and its surroundings attractive profile even further.
The 1-4 bedroom modernized apartments that are on offer, fill the development in its entirety and leave no room for any unsightly or undeveloped properties, so you can rest assured that your clean safe environment is as important and complete on the inside as it is on the out. The convenient allocation of secure storage facilities, to be found in the buildings basement, solves any unforeseen space issues that might be raised, however unlikely it seems.
Abundant with smart and regularly maintained recreational spots for the young, this Northeast Berlin based development provides an ideal climate for practically anyone to enjoy and appreciate, particularly of course, those with children. It is a rarity these days to find such an idyllic city situated haven and so this will surely attract the attention it so rightly deserves.
The inclusion of its very own supermarket seems too good to be true, but believe it or not, a supermarket is on site, offering convenience and unsurpassable shopping ease. Communal parking facilities are also a gratifying feature, providing residents with ample parking space that's perfect upon returning from a day out in the city or day long excursion when all you want to do is get home and unwind, without having to face the common everyday obstacle of finding a space.
Find out more about this great opportunity, about its varying benefits and specifications and about, well, just about anything you could possibly want to know regarding the development! Contact David Stanley Redfern Ltd now for more information.
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