According to Daniel Ritter, CEO of Von Poll Immobilien/Von Poll Real Estate, Germany has a lot to offer real estate investors, including a strong economy, low unemployment, an excellent infrastructure and a “reliable and functioning political and legal system.” In the following interview, Ritter shares what makes his firm successful, strategies that mirror those of America’s most successful brokers: technology, training and professionalism.
Real Estate magazine: Please tell us about your firm.
Daniel Ritter: Von Poll Immobilien (operating abroad as Von Poll Real Estate) was established in 2000 in Frankfurt am Main in Germany. Presently, we are comprised of more than 250 offices and a total of more than 1,000 sales agents. We mainly serve Germany, but in recent years have expanded into Austria, Switzerland, Spain, Croatia, the Netherlands, Luxembourg, and Portugal.
RE: Please describe your current housing market.
DR: The German housing market is a strong seller’s market, especially in popular cities of all sizes with an appealing infrastructure. The average home price that we sell is around 400,000 Euro. On average, a home will be on the market for two to three months.
RE: What have been some of the most significant changes in your market in recent years?
DR: The seller’s market has become stronger. The market has become quite dynamic over the past seven to eight years, and attractive towns and cities have become very popular. In many areas, the demand is higher than the supply. Prices have, therefore, gone up. In Frankfurt, condominiums cost 70 percent more than 10 years ago, and in Berlin, they’re 95 percent more. In smaller cities, increases are often more moderate. The low interest rate policy by the European Central Bank (ECB) in recent years has had an influence, too. The situation leads people to look for the best way to invest their money without it losing value—real estate is presently the favored solution.
RE: What are the various types of properties available in your market, and which is most popular?
DR: There is a whole mix of property types: detached and duplex houses, terraced houses, villas, country homes, holiday homes, condominiums. Families in the countryside would probably prefer a detached house with a garden, while cosmopolitan city dwellers might prefer a condominium in an apartment block.
RE: How prevalent is new construction/development currently in your market?
DR: There is a lot of new construction going on. The majority of these projects are based on private investment and being built for a clientele with a stable economic background. Brokerage of such new homes is a part of our business. Traditionally, our focus lies on portfolio property. New construction is much needed in another market segment: the lack of affordable municipal housing for people with very little income.
RE: Please tell us about the buyers you work with.
DR: Buyers have mostly been local in the past, but there is an increasing share of international buyers. In holiday areas along the North German coasts and in the Alpine region, buyers come from all over Germany, some also from neighboring European countries. Interest from …read more
From:: Real Estate News