In June 2022, individuals in Germany expected inflation of 7.5 % on average over the next 12 months, which represented a new record high since surveys commenced. 84 % of individuals anticipated that inflation rates will continue to rise, while 5 % anticipate a drop in interest rates over the next 12months. Averaging 5.4 % in June, the expected average rate of inflation over the next five years again increased only slightly.
In June 2022, individuals in Germany predicted an increase in real estate prices of 9.6 % on average over the next 12 months. With growth of just under 12 %, expectations were highest in eastern Germany and lowest in the group of most westerly federal states (North Rhine-Westphalia, Rhineland-Palatinate, Saarland), at around 9 %. The proportion of individuals anticipating real estate prices to decrease climbed to just under 9 %.
Individuals remained positive about the development of their household income, with expectations averaging €100 over the next 12 months. Income expectations of persons with household income of between €2,500 and €4,000 showed a particularly significant increase.
The Deutsche Bundesbank conducts regular surveys of households’ expectations for unemployment, economic growth, rent prices, real estate prices, and interest rates on savings and loans. These data are used to calculate index figures, from which corresponding trends can be easily derived.