The Catella Group has examined the housing markets in 19 European countries:
– The lowest yield of all European residential markets can be found in Stockholm with 1.50%, followed by Zurich with 2.20%. The highest yield can be found in Krakow with 7.44%, followed by Warsaw with 6.15%. The average European yield is at 3.97%.
– The lowest average rent is in Vilnius with 8.75 €/sqm, closely followed by Riga with 9.25 €/sqm. The most expensive rental flats by far are found in London with average prices of 40.78 €/sqm. Behind that, the continental city of Bern follows with 34.10 €/sqm. The average price of the 54 presented rental prices in Europe is at 15.21 €/sqm.
– The city of Vilnius has the lowest purchase prices for owner-occupied flats with an average of 1,470 €/sqm. The second lowest city is Wroclaw with 1,520 €/sqm. The most expensive prices per square meter for owner-occupied flats are also paid in London with 16,935 €/sqm. Zurich is in second place with 1,007 €/sqm and therefore ahead of Paris, where the average price is 10,030 €/sqm.
“The demand pressure in the European commercial residential markets will sustain. In 31 of 59 cities, a slight decline of yields is expected by the end of the year, while increasing yields aren’t expected in any European city”, explains Dr. Thomas Beyerle, Head of Group Research at Catella.
The results are also available as a map; Here you will also find detailed information on the German top 7 locations.
Further information can be found in their press release.