Plunging into Depths: Descending into a State of Decline or Collapse
The real estate market in Düsseldorf has taken a steep downturn, with a whopping 59% decrease in turnover compared to 2023. Looking at the numbers, only approximately 3,100 notarial real estate purchase contracts from 2023 could be evaluated - a record low, representing around 16% fewer transactions than the previous year.
The surveyor's office has now settled on the new land and real estate values for 2024. For the first time in 15 years, the average prices of undeveloped plots are on the decline. The individual residential building plots have dipped by an average of ten percent, while plots intended for income-generating properties, like multi-family homes and office buildings, have seen a substantial drop of around 20 percent.
The prime locations on Königsallee remain an exception, with land values for office and business property plots holding steady at their previous year's levels. The east side of Königsallee continues to be the most expensive area in Düsseldorf, with 55,000 euros per square meter of plot area.
Buyers of detached and semi-detached houses in medium to good locations, such as Benrath, can expect to pay between 1,050 and 1,800 euros per square meter.
Prices for developed plots have also taken a hit across the board. There's a decrease of about seven to nine percent for detached and semi-detached houses, bringing prices back to the level of 2020/2021. The average price for multi-family houses and office and business buildings has fallen by around 15 percent. In contrast, there were minimal price increases in this segment a year ago.
Apartment prices have also decreased, with variations depending on the year of construction. Around two percent decrease for new apartments, a 10% decrease for apartments built after 1949, and approximately a 6% decrease for apartments in so-called pre-war buildings.
In medium locations like Unterrath, the published real estate values for apartments built in 1980 are now 3,850 euros per square meter of living space. The highest values are for apartments in Oberkassel, at 10,000 euros.
"Our monthly evaluations for 2023 show a negative trend, but some segments show signs of stabilization by the end of the year. Whether market players will regain confidence and reach the bottom in the course of 2024 is yet to be seen," says Weindel.
Insights
- The German real estate market experienced significant growth, with apartment prices generally increasing across major cities, including Düsseldorf, where apartment prices rose by 1.3% in the first quarter of 2025 compared to the previous quarter.
- Düsseldorf, along with other major cities like Berlin and Hamburg, saw an influx of new residential developments.
- The Düsseldorf office market faced challenges, with a year-on-year decrease in take-up of about 35% by the first quarter of 2025, indicating weaker demand or economic uncertainty.
- The average price for houses in Germany was approximately €461,618, while apartments averaged €320,663.
- Prices varied significantly across cities, but Düsseldorf was not highlighted as having the most extreme prices compared to other major cities like Munich.
- The German residential real estate market is projected to grow from USD 372.77 billion in 2024 to USD 499.84 billion by 2029, suggesting a positive outlook for the market over the coming years.
- Growing interest in sustainable and modern architectural designs may continue to attract investors and buyers to the German real estate market, including Düsseldorf.
The average prices for undeveloped plots intended for income-generating properties, like multi-family homes and office buildings, have decreased by around 20 percent for the year 2024, compared to previous years (finance). Buyers of detached and semi-detached houses in medium to good locations may find prices declining again, with prices for developed plots experiencing a decrease of about seven to nine percent for the same year (finance).
