Hamburg’s Outskirts Face Rising Price Levels

In the coming year, property prices are expected to rise stronger in the south of the Hanseatic city than in the inner city. However, these objects should remain affordable.

Rising prices and sinking supply increase demand in the outskirts of the Hanseatic city. Image: Pexels.com

According to a prognosis of price increases for existing properties, property prices in Hamburg’s district Wilhelmsburg will rise strongly in the year 2019 – even stronger than in the city centre. Prices for both flats and houses are expected to lie 16 percent or almost 14 percent higher respectively, predicts the broker company Grossmann & Berger. Just like in Wilhelmsburg, places in close proximity to the river Elbe should have a “strong growth potential”, according to the experts.

Compared to the average prices of the city however, these properties will stay affordable. Average prices for flats in Wilhelmsburg are going to lie at 2,400 euro/m² while the ones for houses lie at 2,500 euro/m². On the other hand, the common price trend of the city lies at 3,900 euro/m² for flats and 4,600 euro/m² for houses. Nevertheless, this price development in the outskirts only reflects a shift in demand in favour of the surrounding communities.

Short supply in the city centre paired with high price levels led to an increased investment in places like Bergedorf, Buchholz, Buxtehude, Geesthacht, Norderstedt, Quickborn, Rahlstedt and Pinneberg – according to the report the “rising stars” of Hamburg and its outskirts. Key points of the decision weren’t only price development and price level, but also rail bound transport links, development of demand, locational quality, as well as development prospects.

This page is also available in: deDeutsch