The preference to live permanently or invest in a region known as a holiday destination manifests in significant seasonal dynamics on the German real estate market. A study by ImmoScout24 analysed the seasonal demand for rental and purchase offers in selected holiday regions of Germany.
The evaluation proves a clear correlation between travel time and interest in local real estate. Dr. Gesa Crockford, Managing Director of ImmoScout24, stated that holiday periods also function as real estate periods, as individuals who experience a region on holiday increasingly consider an investment or permanent settlement. This effect is seasonally pronounced, with a focus on the North and Baltic Seas in summer and southern German holiday regions in winter, whereby holiday resorts develop into potential residential and investment locations.
In the northern German coastal regions, including Sylt, Norderney and Cuxhaven on the North Sea, as well as Timmendorfer Strand, Binz and Zingst on the Baltic Sea, a significant increase in demand is evident in summer. Demand for rental properties in the summer months exceeds the average of the other three seasons by approximately 11 percent. Compared to autumn, which records the lowest demand, the difference is around 12 percent.
A comparable trend is also observed for purchase offers along the North and Baltic Sea coasts. Demand here in summer is approximately 11 percent above the combined average of spring, autumn and winter. The maximum seasonal difference between summer and winter, the season with the weakest demand for purchase properties on the coast, reaches around 15 percent.
In southern German holiday regions, such as the Bavarian Alps, Berchtesgadener Land and Chiemgau, this seasonal trend reverses. Here, demand for rental offers in winter surpasses summer levels by approximately 11 percent. For purchase properties, seasonality in these regions is even more pronounced. The difference between the autumn (weakest demand) and winter here is approximately 26 percent. Purchase demand in winter is around 9 percent higher than in summer.
A similar development is apparent in the central German holiday regions, which include the Harz mountains, the Thuringian Forest and the Ore Mountains. There, too, demand reaches its peak in winter. For rental offers, it exceeds summer levels by approximately 11 percent. For purchase offers, the difference between winter and summer amounts to a significant 26 percent.
