At the latest when owners want to sell their house, one question becomes important: How much is my property actually worth? So far, this question has often been answered by an expert. A new database, the German Real Estate Index, or GREIX for short, aims to change that.
The index is intended to give private individuals a free insight into the price development of 18 cities so far. “The regional real estate price database makes an important contribution to the transparency of real estate prices in Germany’s largest cities,” said Construction Minister Klara Geywitz (SPD), who presented the project on Monday. This can help to determine the value of your own property or to compare prices when buying.
Information from the so-called expert committees from the past 60 years was fed into the database. According to the developers at the University of Bonn, long-term trends can be identified from this. Real estate prices continued to rise before German reunification, then plummeted until a new real estate boom began in 2010. Adjusted for inflation, they have collapsed by up to 20 percent since mid-2022.
In the first quarter of 2023 alone, the purchase prices for houses, apartments or land in Berlin fell by six percent compared to the peak in 2022, in Frankfurt the minus was twelve and in Hamburg nine percent.
The new instrument was developed by the excellence cluster ECONtribute at the University of Bonn.
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