Germany Living Market Dynamics, Q1 2026

In Q1 2026, investment volumes reached €1.65 billion, down 29.7% year-on-year, whilst the number of deals increased to 57 (up 5.6% from Q1 2025), with the average transaction size falling to €29 million, reflecting increasing market fragmentation and a lack of larger portfolio deals.

Core transactions continued to dominate the market with 45.5% of total volumes, demonstrating continued investor preference for lower-risk assets amid uncertain market conditions.

Forward deals accounted for 36.8% of volume, whilst foreign investors significantly increased their presence with a net investment of €238 million, underlining growing international interest in the German residential market.