Real Estate Market Report - Rentals and Sales

Munich - 25 February 2022


In our current market report, we would like to inform you about the following topics:

  • Stable demand on the furnished housing market
  • Effects Ukraine war
  • Sales - High buying interest with moderately rising prices
  • Building permits Munich and districts
  • Standstill in population development in Munich
  • Upward trend in Munich office market
  • Positive development on the labor market in Munich
  • Rising interest rates

Furnished housing market

Since the summer of 2021, we have seen very stable, above last year's demand for all apartment types. Companies are hiring more employees, which has a very positive impact on demand. Increased home office use has continued to drive demand for larger apartments. The furnished apartments and houses offered by Mr. Lodge are predominantly in excellent condition and coincide with the wishes and ideas of those looking for an apartment. The furnished apartment is a pleasant and flexible way to start for many people who begin a new job position in Munich. Furnished apartments are essential for the many people who are temporarily sent to Munich for half a year or 1 to 2 years to work in Munich companies and institutions.

To meet the special demand for particularly short rental periods of 1 to 6 months (short stay), we have expanded our cooperation with providers of serviced apartments. These apartment buildings, with up to 300 units per building, seem to have been well received by the market so far. They are usually priced 50 to 100 percent higher than conventional furnished apartments for long stays (6 months or more) and are outside the affordable budget for many prospective tenants, but can be an alternative for short bridging periods of usually 1 to 3 months.

Offer development on Immoscout24

The offer has reduced since late summer and is now at a relatively constant level. In the section "rental apartments" there were offered:

  • Mid-March 2020: approx. 1,450 properties
  • Mid-February 2021: approx. 2,600 properties
  • Mid-February 2022: approx. 1,900 properties

Outlook housing market:

The very positive development in the job market, increased project activity, more presence in Munich companies and universities will have an impact on demand. We therefore see a further increase in demand for furnished apartments and houses and a shortage of supply, especially of very good to high-quality furnished and fully equipped properties.

The supply of serviced apartments (short stays) will increase steadily over the next few years. Further projects are being planned and built, and additional supply must also be expected as a result of the reclassification of hotel rooms. At present, we assume that the market will also absorb this additional supply well.

Our landlord advisory is here to help: Louisa Kuß, Kevin Radde, Lisa Hessner, Jenni Nguyen, Kirsten Mahdi und Steven Meyer (not pictured): Unfurnished rental: 089 340 823 50 | Furnished rental: 089 340 823 44 |


Effects of the Ukraine war

The war that has broken out over Ukraine affects millions of people and will also have an impact on our lives in Munich and Germany. What can already be said today is that there will be a wave of refugees, which we in Munich will also feel. The capital Kiev is a twin city of Munich and there are also many relations with Ukraine as a whole. We at Mr. Lodge will do our best to support the people coming to Munich. We ask all landlords to consider already today if they have the possibility to provide a furnished apartment even for a period of a few months. We support the landlords and tenants beyond the placement with our linguistically skilled staff.


Real estate sales by Mr. Lodge

We look back on a very good sales year 2021. We successfully assisted owners not only in the greater Munich area (entire S-Bahn area) and the surrounding counties, but also in Garmisch, Gmund am Tegernsee, Weilheim, Schrobenhausen and Rosenheim. With our branch office in Rottach-Egern, we are a first-class partner for owners in Tegernsee and the entire Oberland region when it comes to selling or renting.



We expect very high buying interest in 2022 as well, with prices continuing to rise moderately. Rising interest rates have not yet had a dampening effect on demand. The rising cost of constructing new residential buildings due to increased raw material costs is forcing developers to charge higher prices for new apartments. On the seller side, we are seeing increased interest in selling. Discussions and political initiatives to tighten rental law and worsen the legal position of landlords are picking up speed again. Concerns about changes in tax law and in particular in the tax exemption of gains are being raised by owners.

We see 3 important additional reasons for selling:

  1.  1. Early gifting: Property owners want to increase support for their children, grandchildren or dependents with financial gifts.
  2. 2. Securing funds for old age: owners improve their financial resources in retirement/retirement and ensure that they have sufficient financial reserves.
  3. 3. Owners take advantage of the extremely favorable sales prices.

Selling through Mr. Lodge:
There are excellent reasons for selling through Mr. Lodge:

  • High degree of recognition
  • Great expertise in all aspects of real estate
  • Sales management and salesmen with many years of experience
  • The multilingualism and internationality of our staff
  • The marketing team creates the perfect attention
  • The professional photographer team creates a first-class presentation with photos, videos and 360° shots with MATTERPORT©
  • Mr. Lodge's home staging (free of charge), so that your property can be presented in a first class way and achieve an optimal sales price.

Our sales team is happy to support you throughout the sales process with years of experience and expert knowledge. Due to the continued strong demand from owner-occupiers and capital investors, we also continue to search for apartments, houses and plots of land.

Our real estate sales team is happy to advise you: Bernd Wedemeyer, Dr. Cornelia Koronakis, Jacqueline Sauren, Edda Pucher, Thomas Engel and Peter Sarta mit Julia Chmurnov and Samira Carl (not pictured)  Tel: 089 340 823 540 |


Added value through home staging

We put your property in the right light

From small optimizations to photo-ready final decorations to complete (temporary) furnishings: Mr. Lodge supports real estate sellers through home staging. The goal is to present the property in the best possible light for sale. Through professional home staging, a higher sales price and/or a shortening of the selling time can be achieved. If desired, our experienced interior consultants and interior designers will ensure the perfect presentation of the property for sale. The prospective buyer also benefits from this optimization, as it is easier for them to immediately recognize the potential of the property


Different approaches to the visual enhancement of your property:

  • We use temporary furniture and accessories
  • We optimize your existing furniture and equipment
  • We create a new sense of space by repositioning your furniture
  • We design using wall colors and light accents
  • We decorate for the perfect photo presentation

Our special service for your Mr. Lodge real estate sale.

Our home staging department is happy to advise you: Jule Huschka, Evelyne Lelowski, Luisa Krsynowski, Peggy Schreck with Ramona Ziereis and Elke Hausmann (not pictured) Tel: 089 340 823 563 |


Building permits in the Munich metropolitan area and neighboring districts

Fewer apartments were approved in the city and district of Munich in the year to November 2021. In other counties, the district of Miesbach recorded the strongest growth in permits with +32%.

Period 01.01. to 30.11.2021 in detail (change compared with prior-year period):


City of Munich 7,345 -17%
District of Munich 1,330 -12%
Bad-Tölz-Wolfratshausen district 527 -57%
Dachau district 669 +17%
Ebersberg district 339 -53%
Freising district 1,023 +13%
Erding district 889 +21%
Fürstenfeldbruck district 613 -9%
Miesbach district 454 +32%
Starnberg district 519 -18%

Source: Bavarian State Office for Statistics

Population development in 2021: Standstill

The population in the city of Munich did not grow in 2021. After a small increase in November, there is a standstill at the end of the year. Population:


  • 31 December 2021: 1,562,128
  • 31 December 2020: 1,562,096
  • 31 December 2019: 1,560,042

Statistics show a high birth surplus and a high out-migration.

High excess births in 2021:

  • Deaths: 13,051
  • Births: 18.330

-> Balance: +5,279

More out-migration, net migration 2021:

  • In-migrants: 104,163
  • Departures: 109,667

-> Balance: -5,504

Source: City of Munich

Office market 2022: Upward trend

Brokerage house BNP PARIBAS REAL ESTATE reports a 26 percent increase in office leasing to 661,000 sqm in 2021 (previous year 568,000 sqm). JLL speaks of the same letting volume and a lower increase. In the second half of the year, there was a recovery in demand and the quarterly take-ups were each above 200,000 m². In particular, the 4th quarter developed positively. However, the vacancy rate for the year as a whole again increased significantly to 947,000 m². The peak of new construction activity had been passed.



Munich job market expands in February 2022

More than 15,500 jobs were offered on the STEPSTONE portal in mid-February 2022 (previous year: 8,500), an increase of more than 80 percent. Unemployment in Munich stood at 43,690 in January 2022, a rate of 4.1 percent. The job pool at the employment agency increased by 37 percent in January compared to the previous year.


Source: Federal Employment Agency Munich, Stepstone

Interest rates are rising

Prospective real estate buyers in need of financing are still benefiting from historically low interest rates, but conditions have deteriorated significantly compared with 2021/2020. In addition, banks are being urged to lend more restrictively. Here are the current values, which refer to a 50% loan-to-value, with a purchase price of € 400,000 and 2% repayment (these values are without guarantee and represent only an orientation).  (Source: Interhyp -


Term Feb '08 Oct '12 Sep '16 May '19 July '21 Feb '22
5 years 4.19% 1.73% 0.71% 0.70% 0.62% 1.15%
10 years 4.48% 2.45% 0.90% 0.86% 0.66% 1.35%
15 years 4.63% 2.91% 1.34% 1.19% 0.92% 1.59%
20 years     1.57% 1.49% 1.12% 1.75%

Wir bedanken uns an dieser Stelle für die gute Zusammenarbeit auch in schwierigen Zeiten. Bleiben Sie gesund!

Ihr Norbert Verbücheln, Geschäftsführer
T.: 089 340 823 16 |

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