German real estate price growth slows in Q4 2025

At the close of 2025, the German real estate market experienced a deceleration in price growth, according to the latest GREIX sales price index.

Germany

The index, which monitors 24 cities and regions (data available at greix.de), reveals a slight dip in apartment prices and a modest rise in single-family house values. Despite this, the volume of transactions continued to climb across all market segments.
Apartment prices decreased by 0.3% quarter-over quarter, or 0.6% when adjusted for inflation. Single-family house prices saw a moderate increase of 0.8%, or 0.4% inflation-adjusted. Multi-family houses recorded a substantial 4.0% price increase (3.7% inflation-adjusted), though these figures are less conclusive due to fewer transactions.
Apartment prices rose by 1.5% year-over-year, marking the sixth consecutive quarter above the previous year's level. Single-family house prices increased by 1.6%. However, both apartment and single-family house gains were below the 2.2% overall inflation rate, meaning real (inflation-adjusted) prices slightly fell in these segments. Multi-family houses showed a strong 4.8% increase (2.6% inflation-adjusted).
Following a significant downturn in 2023, market activity rebounded in 2024 and continued to grow in 2025, albeit at a slower pace. Compared to the previous year, sales transactions increased by 4.1% for apartments, 1.9% for single-family houses, and 8.9% for multi-family houses.
Leipzig saw a sharp price increase of 2.9% quarter-over-quarter; Stuttgart also experienced a notable rise of 1.4%, while Frankfurt am Main recorded a moderate 0.6% price increase.
In contrast, Berlin's prices fell by 1.5%, while data for Dresden, Hamburg, and Munich for Q4 2025 is still pending.
GREIX is a collaborative effort by local property valuation committees and the Kiel Institute for the World Economy. 
Jonas Zdrzalek, project leader of GREIX at the Kiel Institute for the World Economy, stated: “Price dynamics are losing momentum. Growth is flattening, meaning prices are still rising, but less strongly. At the same time, market activity is increasing, but at a slower pace. Regional differences remain pronounced in the fourth quarter of 2025. While some cities continue to catch up, other markets are stagnating or even recording declines toward the end of the year.”