House prices in German towns and cities rose by 7% in 2021, which was a somewhat brisker rate of growth than in 2020.

According to the Bundesbank’s Monthly Report, the rise in financing costs and high inflation had a strong impact on the German housing market. Prices for residential real estate continued to rise up until the middle of 2022, but in the second half of the year fell quite significantly for the first time in a long time. By contrast, price pressures came from the massive increase in construction prices and the slow pace of the expansion of housing supply. Residential real estate in Germany continued to be overvalued on an annual average overall.

Bundesbank President Jens Weidmann has spoken out in favour of eliminating the red tape involved in setting up a business. At a speech in Düsseldorf, Mr Weidmann pointed out that “reforms to make it easier for start-ups to enter the market would also enhance competition and spur innovative power.”

Prof. Dr. Axel A. Weber, Präsident der Deutschen Bundesbank, Rede beim Neujahrsempfang der Hauptverwaltung Düsseldorf

House prices in German towns and cities rose by 6¼ per cent on the year in 2020. Growth was consequently just as strong as in 2019. 

Rudolf Böhmler, Mitglied des Vorstands der Deutschen Bundesbank, Rede auf dem Neujahrsempfang der Bundesbank-Hauptverwaltung

Der Betrieb der neuen Filiale der Deutschen Bundesbank in Dortmund nimmt weiter an Fahrt auf. Sie übernimmt künftig die Bargeldversorgung in der gesamten Rhein-Ruhr-Region.

The new Bundesbank branch in Dortmund is taking over the cash supply for the entire Rhine-Ruhr region. It is the Bundesbank’s largest and most modern branch. In future, around 200 members of staff employed there will supply 12 million people with banknotes and coins. The new branch will replace the five existing branches in the region.