Germany Living Market Dynamics, Q4 2025

Investment volumes reached €8.89 billion in 2025 with Q4 delivering €2.46 billion, the year's strongest quarter. Transaction activity gained momentum with 259 deals (+7% annually) and 75 transactions in Q4 (+15% quarterly growth), demonstrating healthy market engagement.

Core transactions expanded to 53.9% of the total volume in 2025 from 21.0% in 2024, while forward transactions doubled their market share to 20.0%, with 52% incorporating subsidised housing components, and municipal housing companies overrepresented on the buyer side.

Portfolio transactions captured 40.4% of the annual volume, with a strategic shift toward smaller, more targeted portfolios as large transactions over €100 million declined from 64% to 36% of total volumes.