I have apartment in Berlin, trouble is the Germans are buying in Eastern Europe and we are buying in Germany, is this saying something?? Rayk150 no. 3
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The consensus in Germany from what I have seen is that this country is not a place to invest in for people who are looking for mid-term capital gains, excepting certain niche markets such as Munich. This perception comes from the fact that for many years now prices have been pretty stable here whereas markets nearby (France, UK, Spain) have generally outperformed the German market. This in large part explains why Germans looking for capital appreciation are looking to Eastern Europe. The countries mentioned above have already had their speculative runs so it makes sense to not stray too far afield - all the while aiming for markets which are still trying to catch up with West European standards - and prices.
Their remains the possibility that those looking east may be ignoring the opportunities right under their noses, following the idea that the country's real estate market now has some catching up to do. Their are excellent arguments to support this idea. But the behavior of the Germans on their home turf should perhaps not be ignored completely.