RESIDENTIAL IS ASSET CLASS WITH HIGHEST INVESTMENT VOLUME
-
In the fourth quarter of 2025, the German residential investment market continued its market recovery from the first half of the year with slightly increased momentum. In total, around €8.9 billion was invested in larger residential portfolios of 30 residential units or more in 2025. This was just short of the previous year's result (by 4%). Residential is thus the asset class with the highest investment volume in the German real estate market. The solid result for this market phase and the improved sentiment are reflected in the increased contribution of large-volume portfolios, including those from the value-add segment, as well as forward deals. In particular, the renewed demand for nationwide portfolios is driving the market recovery and shows that investors are increasingly realizing investment opportunities even outside the A-cities.
-
The registered investment volume increased again in the final quarter compared to the two previous quarters. This is also visible in an increased transaction frequency, which can be seen as a positive indicator for the market. Despite the continuing weakness of the economy and existing geopolitical risks, the German residential investment market is well supported by the good prospects on the occupier side and the improved availability of capital. This is reflected in an extensive deal pipeline that will have a significant impact on market dynamics in the coming months.