Prices for second homes in Germany in the IV quarter of 2010 were 1,5% higher compared to the same period of 2009. Experts say that the bubble in the real estate market of the country he has never been - and never will.
Compared to III quarter 2010 average price of second homes in Germany rose by 0,6%. The annual increase that was the largest of the IV quarter of 2008, according IBTimes with reference to the Mortgage Bankers Association VDP. According to the forecast of Managing Director of this organization Jens Tolkmitta, prices continue to rise - in the event of further economic recovery and receipt of favorable news from the labor market.
Before the global financial crisis, the price of real estate markets around the world rapidly increased. During the period from 2000 to 2007 they rose by 97% in Spain, by 84% in New Zealand, by 80% in the UK and 65% - in Australia. In Germany, for the same period, prices fell by 18%, then stabilized.
Edition of Sydney Morning Herald, referred to by the portal IBTimes, as the main reasons for the stability of the German market following calls. Constant amounts of land supply for building guarantee stable volumes of housing supply. This, in turn, not only keeps prices relatively low, but also prevents the speculative transactions.
German pragmatism manifested as follows: people are buying houses and apartments, only if you really want to live in them. Buyers take only what they can afford. Developers want to provide them with accommodation now and not wait for tomorrow. The local authorities know that if they want to help its citizens, the processes of obtaining building permits and the construction itself should work as well clockwork, the magazine writes.