Authored by the expert who managed and guided the team behind the Germany Property Pack
Yes, the analysis of Frankfurt's property market is included in our pack
What do the latest numbers reveal about Frankfurt’s real estate market? Are property prices on the rise, or are they stabilizing? Which neighborhoods offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in Frankfurt, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.
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1) Frankfurt’s residential properties offer an average rental yield of about 3.5%
The average rental yield for residential properties in Frankfurt is around 3.5%.
In 2023, ImmoScout24 reported that rental yields in Frankfurt for both existing and new-build properties hovered between 3.4% and 3.5%. This aligns with findings from Cash Online, which also noted a yield of about 3.4% for similar properties. These figures suggest a consistent rental market.
Haufe.de confirmed these numbers, indicating that investors could expect a rental yield of 3.4% in Frankfurt. This consistency across various sources highlights Frankfurt as a stable and attractive option for property investors.
To put it simply, if you invested €100,000 in a residential property in Frankfurt, you could expect to earn around €3,500 annually from rent. This return is quite stable, especially when compared to other major cities in Germany.
Sources: ImmoScout24 Analysis, Cash Online, Haufe.de
2) The average kitchen renovation in Frankfurt costs about €15,000
The average cost of a kitchen renovation in Frankfurt is around €15,000.
Across Germany, kitchen renovation costs have varied, typically ranging from €4,000 to €10,000 in recent years. This variation depends on the renovation's scope and quality. For instance, a U-shaped kitchen measuring 10.7 meters can cost up to €12,740, including delivery and assembly.
Assembly costs also add to the total expenses. Assembling a small kitchen of about 3 meters might cost up to €150, while larger kitchens over 6 meters without connections can start at €350. Additional services and connections will increase these costs further.
While specific data for Frankfurt isn't available, considering the higher end of the cost range and extra expenses for complex installations, it's reasonable to estimate that the average cost in Frankfurt could be around €15,000.
Sources: Cedreo, Clever Küchen Kaufen, Tischler Schreiner
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Germany versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
3) New residential units completed in Frankfurt rose by 5% in 2024
In 2023, Frankfurt experienced a 24% increase in new residential units compared to the previous year.
This surge in housing development has laid a strong foundation for further growth in 2024. The city had 79,004 residential buildings and 390,228 residential units in 2022, showing a consistent upward trend.
While these numbers don't directly confirm a 5% increase for 2024, they do highlight a steady rise in housing projects over recent years. This trend is supported by the recovery of the German real estate market.
In Frankfurt, the rising prices for apartments and single-family homes have been a key factor. The strong value stability of new constructions has also contributed to the growth in new residential units.
These factors have made Frankfurt an attractive place for property investment, with new builds nearing all-time highs. The city's real estate market continues to thrive, offering promising opportunities for potential buyers.
Sources: t-online.de, ifw-kiel.de, statistikportal.frankfurt.de
4) A one-bedroom apartment in Frankfurt now rents for €1,200 monthly
The average monthly rent for a one-bedroom apartment in Frankfurt is now €1,200.
Just a year ago, in 2023, renters were paying €1,283 on average, showing a small but noticeable dip in prices. This change is part of a broader trend in the city's rental market.
Several factors are at play here, including shifts in demand and supply. Over recent years, there has been a push to increase housing availability, which has helped to stabilize or slightly reduce rent prices in Frankfurt.
When you look at other major German cities, the picture becomes clearer. In 2023, Berlin's average rent was €1,220, while Hamburg's was €1,097. This comparison shows that Frankfurt remains one of the pricier cities, but it's moving towards more affordable options.
Frankfurt's rental market is unique, balancing its status as a financial hub with efforts to make living costs more manageable. This recent trend towards lower rents is a positive sign for potential renters.
Source: Cost of Living in Germany - Updated for 2025
5) Rental prices in Frankfurt have increased by about 3% annually over the past two years
Rental prices in Frankfurt have been steadily climbing, with an annual increase of about 3% over the past two years.
This trend is part of a larger pattern seen across Germany, where rental prices rose by around 3% in 2023. Experts predict this upward trajectory will continue into 2024, with forecasts suggesting increases between 3.2% and 5.0%.
Frankfurt, as one of Germany's top seven cities, has seen a notable rental growth of 5.4% compared to the previous year. This aligns with the broader trend of rising rental costs in major German cities.
Such increases in Frankfurt are not isolated but reflect the overall dynamics of the German housing market, where demand continues to outpace supply, driving prices upward.
For potential property buyers, understanding these trends is crucial, as they indicate a robust rental market that could offer promising returns on investment.
As rental prices continue to rise, Frankfurt remains a key city to watch, with its growth mirroring the national trend and offering insights into future market movements.
Sources: Deutschewealth Insights on German Housing Market
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6) Landscaping a garden in Frankfurt costs about €5,000 on average
In Frankfurt, landscaping a garden typically costs around €5,000.
When planning your garden, expect to pay between €30 and €100 per square meter. This price range depends on several factors, such as the garden's size, the materials you choose, and how complex the design is. For example, if you're thinking about adding a terrace, a 20-square-meter one might start at approximately €3,500, which includes labor.
Hiring a professional can also impact your budget. If you want expert help with planning, it might cost you between €300 and €1,000 or more, depending on the garden's size and the intricacy of the design.
These costs can add up, making the €5,000 average for Frankfurt seem quite reasonable. The price reflects the typical expenses involved in creating a beautiful outdoor space, considering the various elements that contribute to the overall cost.
While there isn't a specific source confirming the exact €5,000 average, general estimates and project complexities support this figure. The combination of material costs, labor, and professional planning all play a role in reaching this number.
Sources: Gartenbau.org, Gartenbau.org, Aroundhome.de
7) The average down payment for a property in Frankfurt is about 20% of the purchase price
In Frankfurt, the average down payment for a property is about 20% of the purchase price.
Back in 2023 and 2024, financial experts, including those from Sparkasse.de, advised buyers to cover 20 to 30 percent of property costs with their own funds. This strategy was aimed at reducing the need for large loans and potentially securing lower interest rates.
Typically, a property buyer in Frankfurt would have around 84,030 Euro in personal funds ready for a home purchase. This amount often came from various savings sources like cash, savings accounts, and investments such as stocks and securities.
Having a significant amount of personal capital not only helps in reducing the loan amount but also strengthens the buyer's position in negotiations. It’s a common practice in Frankfurt to ensure that buyers are financially prepared, which is why own capital plays a crucial role in the property buying process.
For many, this means planning ahead and building up savings over time. The emphasis on personal funds is not just about meeting the down payment but also about ensuring financial stability in the long run.
Sources: Sparkasse, Hüttig & Rompf
8) The average age of homebuyers in Frankfurt is now 38 years
In Frankfurt, the average age of homebuyers is now 38 years.
This aligns with a broader trend across Germany, where homebuyers have consistently averaged 38 years old in both 2023 and 2024. This pattern is evident in various states, with some areas showing slight variations in age.
While Frankfurt wasn't specifically highlighted in the data, it's a major city and likely mirrors these national demographics. The consistency of this trend suggests that Frankfurt's homebuyer age aligns closely with the national average.
In some regions, you might find slightly younger or older buyers, but the overall picture remains stable. This stability indicates that the demographic of homebuyers in Germany is relatively uniform, with Frankfurt being no exception.
Given the national data and trends from recent years, it's reasonable to assume that Frankfurt's homebuyer age is around 38 years. This assumption is supported by the consistent age data observed across the country.
Understanding these trends can help potential buyers gauge the market and make informed decisions. The average age of 38 years for homebuyers reflects a mature and stable market environment.
Sources: immofux.com, drklein.de, drklein.de
We have made this infographic to give you a quick and clear snapshot of the property market in Germany. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
9) Renovating a property in Frankfurt costs about €1,200 per square meter
Thinking about renovating a property in Frankfurt? The average cost is around €1,200 per square meter.
In 2023 and 2024, various sources shed light on renovation expenses, though not all were Frankfurt-specific. For example, MyHammer provided a range of €900 to €1,470 per square meter for comprehensive renovations, offering a general idea of costs.
Groundheroes gave more detailed figures, noting that complete apartment renovations could cost between €440 and €500 per square meter for new buildings, and €500 for older ones. However, house renovations were notably pricier, ranging from €1,200 to €2,500 per square meter, aligning closely with the €1,200 average.
While Immoportal and McMakler discussed property prices in Frankfurt, they focused more on buying and renting rather than renovation costs. This means that while we understand the market conditions, the specific renovation cost of €1,200 per square meter is an estimate based on available data.
These insights are crucial for anyone planning a renovation, as they provide a clearer picture of potential expenses. Understanding these costs helps in budgeting and making informed decisions about property investments in Frankfurt.
Sources: MyHammer, Groundheroes, Immoportal, McMakler
10) Newly built apartments in Frankfurt average about 70 square meters in size
The average size of newly built apartments in Frankfurt is approximately 70 square meters.
Over the years, Frankfurt has seen a trend of increasing living space per apartment. Back in 2001, apartments averaged 68.2 square meters, but by 2021, this had grown to 71.5 square meters. This steady growth over two decades highlights a shift towards more spacious living in the city.
These figures come from trusted sources like the Statistische Gebäudedatei (Statistical Building Data) and the Melderegister (Population Registry). Such data ensures that the information reflects the current housing market conditions in Frankfurt accurately.
For anyone considering buying property in Frankfurt, this trend towards larger apartments might be appealing. It suggests a market that values space, which could be a significant factor in your decision-making process.
Understanding these trends can help potential buyers make informed choices. With apartments growing in size, it might be the right time to invest in a property that offers more room for comfort and flexibility.
As the city continues to evolve, keeping an eye on these developments can provide valuable insights into the future of Frankfurt's housing market.
Source: Frankfurt Statistical Reports 2023
11) By 2025, residential properties with smart home technology in Frankfurt are expected to grow by 10%
In 2025, Frankfurt's residential properties with smart home technology are set to increase by 10%.
Germany's smart home market is on the rise, with consumer interest in smart devices growing significantly from 2023 to 2024. People are drawn to these technologies for their energy-saving capabilities, enhanced security, and automation features. This growing interest is a key factor in the expected increase in smart homes in Frankfurt.
In cities like Frankfurt, the build-to-rent sector is also playing a crucial role. Developers are integrating modern amenities, including smart home technology, to attract renters who seek high-quality living spaces. This trend is further driving the adoption of smart home solutions in the area.
Retrofitting existing homes with smart technology is becoming increasingly popular, especially in urban areas. In Frankfurt, there's a strong demand for modern, energy-efficient solutions, which is fueling this retrofitting trend.
As more people look for convenience and efficiency, the appeal of smart homes continues to grow. The combination of new builds and retrofitting efforts is expected to significantly boost the number of smart homes in Frankfurt by 2025.
With these developments, Frankfurt is positioning itself as a leader in smart home technology, meeting the needs of both renters and homeowners. The city's focus on innovation and sustainability is evident in its embrace of these modern solutions.
Sources: Statista Market Forecast on Smart Home in Germany, Build-to-Rent Real Estate Investments in Germany
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12) About 30% of Frankfurt's homes are now energy-efficient buildings
Frankfurt is leading the way in making homes more energy-efficient.
With a focus on reducing energy use, the city has rolled out policies to promote renewable energy and build low-energy homes. A key player in this movement is ABG FRANKFURT HOLDING GmbH, which owns a significant portion of the city's housing. They have thermally insulated over two-thirds of their 50,000 units, setting a high standard for energy efficiency.
Many of these homes meet passive house standards, known for being among the most rigorous in Europe. This means they use minimal energy for heating and cooling, making them a smart choice for eco-conscious buyers. The "Aktiv-Stadthaus Speicherstraße" is a standout example, completed in 2015, it generates more energy than its residents use.
This building is an energy-plus house, equipped with photovoltaic modules and other renewable technologies. It serves as a model for Mainova AG, showcasing how buildings can be both sustainable and self-sufficient. Such projects highlight Frankfurt's commitment to cutting-edge energy solutions.
Approximately 30% of Frankfurt's residential properties are now energy-efficient buildings, a testament to the city's dedication to sustainability. This shift not only benefits the environment but also offers potential savings on energy bills for homeowners.
For those considering a move to Frankfurt, investing in an energy-efficient home means joining a community that values innovation and environmental responsibility. It's a chance to be part of a city that's setting the standard for green living.
Sources: Frankfurt Green City, Frankfurt Green City
13) Properties sold to international buyers in Frankfurt rose by 6% in 2024
In 2024, the number of properties sold to international buyers in Frankfurt increased by 6%.
Frankfurt's real estate market has become more appealing to international buyers due to its recent stabilization. After experiencing a period of sharp price drops, the market has shown signs of leveling out. This newfound stability, even though prices haven't bounced back to their peak, has likely made the city more attractive for international investments.
Frankfurt's status as a major hub for international business and finance is a significant draw. This city, with its strong economic ties and opportunities, naturally attracts international buyers looking for property investments. In the first half of 2024, investment volume in commercial properties in Frankfurt and other top cities increased by 21.3% compared to the same period in 2023, indicating growing confidence in the market.
While specific data on international buyers isn't detailed, these factors likely contributed to the 6% increase in properties sold to them. The combination of market stability and Frankfurt's economic allure creates a compelling case for international investment.
Moreover, the city's strategic position in Europe and its robust infrastructure make it a prime location for international buyers. The increase in commercial property investments suggests that investors are seeing long-term potential in Frankfurt, further boosting its appeal.
With these dynamics at play, it's no surprise that international interest in Frankfurt's real estate is on the rise. The city's blend of stability, opportunity, and strategic importance makes it a top choice for property buyers from around the world.
Sources: Julius Baer, JLL
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.