The fact that Düsseldorf is one of the most expensive cities in Germany is known throughout the country. But how does this status affect its citizens? This analysis looks at the housing market and considers owner-occupied properties.
The city’s high price can be recognised by a number of indicators. One of them is the price of a taxi ride. Düsseldorf is the most expensive city when it comes to getting from one place to another by taxi. The basic price for the journey itself is one euro more expensive than in the neighbouring city and metropolis of Cologne. In addition, Düsseldorf ranks first in terms of cost per kilometre in a German-wide comparison. Another infamous record, even in an international comparison, nowhere is it more expensive to drive than in Düsseldorf. Even in cosmopolitan cities such as Paris and London, drivers pay less for a taxi ride. Düsseldorf is expensive in all areas of life, but how extreme is the housing market in the state capital?
Analysis of the data on the supply of flats for rent and properties for sale confirms the price entry of Düsseldorf as a place to live. In recent years, prices for rental units have risen from €9.58 per square metre to €10.83/m² in 2017. This development seems even more drastic when looking at the long-term trend. In 2009, the average rental price was €7.57/m², more than three euros less than today. It can be seen that the rental price increases by about one euro per square metre every three years and there is no end in sight to this trend. While two- and three-room flats are still slightly below average, large flats in particular are very expensive. For a four-room flat, Düsseldorf residents pay an average of €1,360 in rent. If an additional room is added or the number of rooms is further increased, an average of 2,629 euros per month must be spent on the basic rent alone. It is also interesting to look at the availability of living space, which has taken a dramatic turn in recent years. The availability of flats of all sizes has decreased in recent years. Düsseldorf residents are moving less frequently and holding on to existing homes for longer. This is also due to the increased popularity of AirBnB.
Anyone looking to buy an existing property within the city of Düsseldorf will have to dig deep into their pockets. More than €3,000 per square metre is due. On the other hand, this means that a flat or house of 100 square metres costs more than 300,000 euros. What does not seem particularly much at first glance, however, is a snapshot. With this, the renovation factor must also be taken into account. Especially some parts of the old buildings in the city have not been renovated and this costs a lot.
Anyone who wants to live in Düsseldorf and own a flat, however, had better look now, because there is no end to the price increases on the real estate market. Over the last ten years the purchase price per square metre has risen by at least EUR 1,700. While in 2008 it was still around € 2,000/m² that a prospective buyer had to pay, the average in 2017 was around € 3,700/m². The increase was again particularly large for flats over 100 square metres. These were only available in 2016 if the designated owners “put nearly €1 million on the bench”. Young families coming to Düsseldorf in search of residential property must either make a huge investment, find an unrenovated opportunity or head for the neighbouring countryside.
So if you’re tempted to move to another city, or perhaps country, Düsseldorf is a very developing city. If you have money saved up or have family or friends in the city, move to Düsseldorf, look for a good job and make your home in this German city.