On the real estate market the prices develop partly paradoxically, as a data analysis of the real estate offers in Germany points out.
According to an evaluation by a bank, new mid-priced condominiums cost up to 3.800 euros per square meter more. In some regions, however, old buildings are more expensive.
Postbank, a branch of Deutsche Bank AG, together with Hamburgisches Weltwirtschaftsinstitut gGmbH (HWWI), has evaluated the real estate offers in 401 independent cities and districts and published the results in its so-called "Wohnatlas 2020". According to the study, new buildings (built between 2017 and 2019) are significantly more expensive than existing apartments, particularly in parts of Saxony and North Rhine-Westphalia and in the Munich region. By far the greatest price differences are to be found in the district of Miesbach.
There a condominium in the middle price segment costs used 5.600 euros per square meter and as a new building just under 9.400 euros. With an area of 70 square meters the price difference without additional expenses amounts thus to more than 263.000 euros. According to the bank, the premium in the upper price segment is even a good 452.000 euros.
New buildings are missing in many regions
"In many regions the desired situations are long since built up. Who wants to live here, will hardly find a newly built property. In that case, the well-kept old building wins the race," the bank has found. This obviously affects the prices, because "in the districts Leer and Nordfriesland existing buildings are on average even more expensive than new buildings".
In the range of the high-priced real estates in eight districts for the comfortable old building higher prices would be due than for the new building object: Aurich, Wittmund, empty, Rostock, Vechta, Schweinfurt, Cloppenburg and Freising.
Relatively small price differences between new and used real estates would exist in many rural areas.
Purchase recommendations
On the question of whether a newer or an older property is the better choice, a Postbank expert stresses: "Smaller price premiums for new buildings should at least be considered by buyers. This is because the advantages can save money: modern building technology, higher energy efficiency and warranty claims in the event of defects. Who decides for a new building, remains as a rule some years spared from repairs."
This would be opposed by risks. If only construction plans and drawings were available before the purchase, it would be more difficult to assess the feeling of space than with an old building that can be inspected. Another challenge mentioned is that every building project costs time and nerves and is far more complex than buying a used property.
In order to avoid possible surprises in the case of old buildings due to hidden defects, it is recommended that experts or surveyors be consulted.
House financing by life insurance
By the way, the insurance industry offers not only solutions such as the building and household insurance to protect the belongings such as your own property and household goods as needed. In addition, a life insurance policy can also be used to secure a mortgage loan in the event that the main earner registered as the insured person dies before the loan has been repaid. This protects the surviving dependents, as the house would be paid off after the death of the main payer through such a coverage.
And also the house financing itself is possible via life insurance. Last year alone, the volume of real estate loans paid out by life insurers increased by almost six percent year-on-year to more than 8.9 billion euros, according to the German Insurance Association e.V. (GDV).
According to GDV, one advantage of real estate financing via life insurance is that "while most banks primarily offer loans with a term of up to 15 years, insurers also easily grant loans with a fixed interest rate of 20 or even 30 years."This is an important plus for cost-effective planning, especially in times of low mortgage rates.