Germany property trough worsens as foreign investors scale back
Germany property trough worsens as foreign investors scale back
8 comments
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Corporate real estate speculators are no longer interested in owning commercial office spaces. Does this mean RTO failed? And how is it not a win to get rid of corporate ownership so that real people can afford real estate again?
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So it seems this is mainly in reference to large commercial building rather than homes (excluding apartments).
Its interesting to read that german property owners don't like to reduce property prices in comparison to other countries when I thought others were pretty against lowering prices as well.
8 comments
Why is it bad that there are fewer big investors in real estate? Doesn’t it mean that prices should fall and housing should become more affordable?
Property prices are used here as a proxy for the health of the economy.
The author may or may not be concerned about the affordability of homes. But that's a different issue. This is just about absolute prices. And low prices mean low interest in Germany. As the article says, people are interested more in London or Paris.
This leads to fewer investments in the economy and Germany is at risk of falling behind.
Sorry, I still don’t get it. What does property prices have to do with the health of the economy?
Especially in times where work from home is going strong and massive office buildings are not needed?