The German premium property markets in the seven largest metropolitan areas recorded a significant expansion of supply in the first quarter of 2026. This applies to both the exclusive condominium segment and that of premium houses. An analysis of properties advertised on ImmoScout24, conducted by DAHLER, examined the most expensive 10 per cent of listings in the top 7 cities to provide a detailed picture of developments in the premium segment.
In the premium segment of the condominium market, the number of listings increased by 17 per cent in the first quarter of 2026 compared to the same quarter last year. Berlin led this increase with a rise of 19.8 per cent, followed by Munich with 18.4 per cent and Hamburg with 18.3 per cent. Frankfurt am Main showed the smallest increase at 4.9 per cent. Prices for premium apartments, however, tended to decline. The median asking price per square metre in the first quarter of 2026 was 9,874 EUR per square metre, which is 3 per cent below the previous year's level. Munich continued to have the highest median asking prices at 14,329 EUR per square metre, but also recorded the sharpest decline, with a drop of 8.9 per cent compared to the first quarter of 2025. Stuttgart differentiated itself with a price increase of 10 per cent to 7,950 EUR per square metre.
Demand for premium apartments showed regional differences. Düsseldorf registered the highest percentage increase in buyer enquiries at 42 per cent compared to the same quarter last year. In Stuttgart, however, the number of enquiries fell by 3 per cent.
Developments in the premium house segment
Supply also expanded in the premium segment of the housing markets. An increase of 11.7 per cent in advertised premium houses was observed in the top 7 metropolitan areas in the first quarter of 2026 compared to the same period last year. Frankfurt am Main recorded the strongest increase here, at a total of 31.3 per cent. Unlike condominiums, asking prices for premium houses developed slightly positively. The median asking price per square metre reached 10,676 EUR in the reporting quarter, thus standing 0.9 per cent above the previous year's level. Berlin showed the most significant price increase in this segment, with a rise of 11.8 per cent to 9,732 EUR per square metre.
Demand for premium houses presented a mixed picture. Düsseldorf and Frankfurt am Main recorded increases in buyer enquiries of 14 per cent and 12 per cent respectively. In other cities, such as Berlin, the number of enquiries fell significantly by 22 per cent.
Market assessment and outlook
Björn Dahler, Managing Director of DAHLER, stated that the German premium property market started 2026 with a significantly higher supply. Particularly for premium apartments, the greater choice is accompanied by declining price dynamics. Demand development is differentiated; while markets such as Düsseldorf, Frankfurt and Hamburg show more buying interest in the apartment segment, prospective buyers in Munich and Stuttgart are more restrained. This illustrates that general statements about demand in the premium segment are currently losing their validity. Buyers are acting more selectively and scrutinising offers more carefully, with financing, location quality and long-term value retention being decisive criteria.
At the same time, no general weakness in the premium segment is discernible. For houses, prices developed slightly positively in the median, and individual locations continued to record significant price impulses. Dahler added that demand does not follow a uniform pattern, as some markets showed growth while others acted more cautiously. The current market phase is characterised by an approximation between buyers and sellers. High-quality properties in very good locations remained in demand, but at price levels that needed to be more thoroughly validated by the market than in previous years.
According to Björn Dahler, the key interest rate hike implemented by the European Central Bank will lead to even more selective decision-making among buyers in the German premium property market. Buyers will pay even closer attention to criteria such as location, property quality, energy efficiency, price and long-term value retention. Those buying today are doing so more consciously than in the low-interest years. The premium segment remains comparatively resilient, as many buyers have high equity ratios and do not primarily have to base their purchasing decision on the financing burden.
