Introduction
The Europace House Price Index (EPX) is a significant indicator of the development of real estate prices in Germany. In May 2025, a clear upward movement in property prices can be observed, particularly for existing single-family and two-family homes, which have risen by 0.63%. These trends are of particular interest to private investors and savers, as they can influence their investment decisions in the real estate sector.
Current Market Development
- Total Index: In April 2025, the total index of the EPX recorded sideways movement with a slight increase of 0.01% to 217.43 points. This stability indicates stable real estate prices.
- Condos: The index value for condos decreased marginally by 0.01% in April to 216.23 points, yet with an annual increase of 4.48%.
- Existing Single-family and Two-family Homes: Prices rose in April by 0.21% to an index value of 198.03 points, with an increase of 2.73% year-on-year.
- New Constructions: A slight decline of 0.13% was noted in April, with an index value for new single-family and two-family homes of 238.03 points.
Importance for Investors and Savers
The depicted price development has significant implications for investment decisions. Investors and savers are encouraged to closely monitor the market situation to make strategic purchasing decisions. The price surge of existing homes could be motivated by heightened buying interest, influenced by market and interest rate developments.
Forecasts and Trends
According to experts like Stefan Münter from Europace, buyers should no longer hope for falling prices, as the real estate market is reviving. Key drivers for this include interest rate developments and the relative attractiveness of the purchase market compared to the rental housing market.