The median purchase price for condominiums in Berlin decreased in 2023, but some high-end properties still fetched significant sums.
Record apartment sale in Prenzlauer Berg
In 2023, the highest price paid for a single condominium in Berlin was €8.7 million. According to the Committee of Valuation Experts, this equates to approximately €16,000 per square meter for a 540-square-meter apartment in Prenzlauer Berg. However, this was not an all-time high. In 2015, a luxury apartment by the Spree River sold for €29,600 per square meter. Additional details about this apartment were not disclosed.
A villa plot in Nikolassee surpassed the apartment sale, with buyers and sellers agreeing on a price of around €9.8 million, marking the highest value for developed property sales in 2023.
Decline in overall real estate prices and transactions
These figures come from the annual report of the Committee of Valuation Experts, which evaluates all notarized real estate and land sales in Berlin. The report shows a general decline in prices for apartments and houses in the capital, along with a significant decrease in the number of completed transactions. The median purchase price per square meter for a condominium in 2023 was about €5.3 million, a 6% drop from 2022.
“The sales volume and price trends in the Berlin real estate market in 2023 were largely influenced by increased construction costs and high financing costs,” the Committee of Valuation Experts reported. High interest rates made buying real estate and new construction more expensive, resulting in fewer transactions. The committee recorded about 17,600 property or land purchases in 2023, a 19% decline from the previous year.
“Overall, 2023 saw considerable hesitation in the Berlin real estate market. Buyers hoped for price reductions, while sellers still anticipated the high prices of previous years,” Thomas Sandner, Chairman of the Committee of Valuation Experts, stated in the report’s foreword. The total sales volume dropped by 29%. Notably, there was a sharp decrease in the conversion of rental apartments into condominiums, down 74% to 4,487.
Source of information: News agency dpa
