Even the rental cap and other housing policy interventions are evidently unable to diminish
investors’ interest in German residential property. The transaction volume in the first half of the year totalled almost €6bn, which represents an increase of more than 50% compared with the corresponding period last year (Tab. 1, Graph 1).
The high proportion of development acquisitions is noteworthy. Forward deals accounted for almost 30% of the overall transaction volume. There are two likely reasons for this: Firstly, the supply is increasing since the number of apartment buildings approved continues to rise and, secondly, the rental cap (Mietpreisbremse) does not apply to new-build apartments. Consequently, many investors are focusing particularly or even exclusively on this sector.
Source : Savills