How are construction loan interest rates, property prices, and the affordability of home ownership *really* developing? In the 75th Berlin Real Estate Discussion, Achim Amann speaks with Oliver Rakau from Oxford Economics on the exact question that is currently occupying many buyers, sellers, and investors: Act now or wait and see?
Oliver Rakau, Deputy Head of the European team at Oxford Economics, explains why inflation alone is not enough to expect falling financing costs, why high government deficits may instead support long-term capital market interest rates, and why the housing market remains under pressure despite difficult financing conditions.
This conversation is particularly relevant for buyers, owners, and investors because it highlights a development that is already being felt in the daily lives of many market participants:
Housing remains scarce, new construction remains difficult, financing will not automatically get easier – and it is precisely from this that new shifts in the market arise.
What this video is about
The discussion highlights, among other things:
- Why falling inflation doesn't automatically lead to significantly cheaper mortgage rates
- Why states, capital markets, and property financing are more closely intertwined than many realise
- Warum die Bezahlbarkeit von Wohneigentum für viele Haushalte schwieriger wird
- Warum Knappheit auf dem Wohnungsmarkt die Preise stützen kann, auch wenn die Zahl der Transaktionen sinkt
- what this means for owner-occupiers, young families and property investors
- Why Germany has structural problems with housing construction that cannot be solved in the short term
Who this conversation is particularly interesting for
The video is particularly relevant for:
- Buyers who want to know if better financing terms are realistic
- Owners who want to correctly assess the market sentiment
- Investors who want to soberly assess opportunities and risks in the current environment
- Market participants who want to understand why scarcity, regulation, and financing must be considered together today
