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Where are the best places to invest in Munich right now? Is Schwabing still the top pick, or are neighborhoods like Maxvorstadt, Haidhausen, and Sendling gaining ground? What makes these locations attractive to both local and foreign investors?
We’re often asked these questions because we work directly with notaries, real estate agents, and clients who invest across the city. Our firsthand experience in these markets gives us unique insights into where the real opportunities lie. To save everyone from asking privately, we’ve written this article to share our knowledge broadly.
Our goal is to highlight the hottest markets in Munich and explain why they’re worth your attention in 2025.
If you have suggestions or want us to dive deeper into a specific area, let us know. You shoot an email, we answer within 24 hours.
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1) Bogenhausen is attracting affluent buyers with its luxury apartments and strong appreciation potential
Bogenhausen is now a prime spot for luxury apartments, drawing in affluent buyers.
Since 2023, the area has seen a notable increase in property prices, with new build condominiums ranging from €3,756,300 to €5,788,700. This price range highlights the strong appreciation potential, making it a lucrative choice for those looking to invest in high-end real estate.
Real estate agencies like RIEDEL Immobilien are experiencing a boom, selling around 95% of the properties they manage in Bogenhausen. The demand is fueled by the district's unique charm, featuring leafy streets and grand villas that captivate wealthy buyers.
Bogenhausen's property appreciation rates are outpacing other Munich districts. This is largely due to the limited supply of luxury apartments and ongoing gentrification, positioning it as a top investment location. The area's appeal is further enhanced by its proximity to top schools and healthcare facilities, attracting affluent residents.
Insider knowledge suggests that the influx of wealthy individuals is transforming the neighborhood, adding to its allure. The combination of exclusivity and convenience makes Bogenhausen a standout choice for those seeking luxury living.
Sources: RIEDEL Immobilien, Neubaukompass, Expatica
2) Haidhausen is booming with its charming architecture and high demand for rentals and sales
Haidhausen is buzzing with activity, and real estate prices have skyrocketed in recent years.
In this charming neighborhood, existing condos average around EUR 11,400 per square meter, while new builds start at about EUR 17,000. This surge reflects a 100% increase in prices over the past two years, highlighting the strong demand.
Real estate agents are swamped with inquiries, and properties often sell without public listings, showing a robust transaction volume. The area is dotted with beautiful apartments, villas, and townhouses, making it a sought-after spot.
Rentals are just as hot, with low vacancy rates and short-term rentals like Airbnb boasting a 55% occupancy rate. Haidhausen's charm and central location make it a magnet for both residents and tourists.
Beyond the numbers, Haidhausen's appeal lies in its vibrant culture and recreational options. Its central location and cultural offerings make it a favorite for many, fueling the real estate boom.
Whether you're looking to buy or rent, Haidhausen's mix of charm and convenience is hard to resist. The neighborhood's unique architecture and lively atmosphere continue to draw interest.
Sources: Isar Estate, Mr. Lodge
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) Moosach is gaining popularity for its strong rental yields and closeness to the city center, attracting buy-to-let investors
Moosach is gaining traction among buy-to-let investors thanks to its strong rental yields and closeness to Munich's city center.
In the first half of 2023, rents in Moosach jumped by 6.8% year-over-year, reaching €20.52/m². This is a notable rise compared to other Munich districts, making it a hotspot for those seeking profitable investments.
While areas like Altstadt-Lehel and Milbertshofen-Am Hart experienced slightly higher rent hikes, Moosach's rental yields remain highly competitive. This keeps it on the radar for savvy investors.
Moosach's appeal is further boosted by its proximity to Munich's bustling city center. This prime location, coupled with a robust rental market, makes it a magnet for buy-to-let opportunities.
Real estate reports consistently highlight Moosach's strong market momentum, reinforcing its status as a desirable investment destination.
Investors are increasingly drawn to Moosach, recognizing its blend of location and rental potential as a winning combination.
Sources: BNP Paribas Real Estate, Von Poll Real Estate Blog
4) Milbertshofen-Am Hart is gaining interest for its affordable housing and growth potential
Milbertshofen-Am Hart is quickly becoming a hot spot in Munich for those looking to buy property.
One of the main draws is the increased investment in local infrastructure. For instance, the Trei Real Estate GmbH project is a standout, offering 88 units complete with a roof terrace. The area boasts excellent public transportation, making it easy to reach the university, city center, and airport.
Convenience is key here, with improved public transportation links making life easier. Imagine being able to walk to a bus stop or grocery store in under five minutes. This ease of access is a big plus for young professionals and families, especially with apartments close to universities and cultural hubs.
Families will find the area particularly appealing, as family-sized apartments are near parks and schools. This means plenty of space for kids to play and grow, adding to the neighborhood's charm.
The local government is also playing a role in making Milbertshofen-Am Hart attractive by focusing on urban development and affordable housing programs. Municipal housing companies like GEWOFAG and GWG are actively building affordable rental housing, which is a big draw for budget-conscious buyers.
With the city council aiming to construct 8,500 residential units annually, a significant portion of which will be subsidized, affordable housing is a major focus. This makes the area a great option for those seeking budget-friendly living without sacrificing quality.
Sources: La Fabrique de la Cité, Housing Target, Trei Real Estate Annual Report 2022
5) Pasing is gaining attention for its urban development projects and improved transport links, driving up property prices
Pasing is catching eyes with its ongoing urban development projects and improved transport links, pushing property prices up.
Back in 2000, Pasing had a population of 21,357, but by 2019, it had grown to 27,557. This jump shows a clear demand for housing, as more people are drawn to the area.
Munich is working on a big urban development project in the Central Railway Area, which includes Pasing. The plan is to build 7,500 new flats and 15,000 new workplaces, all surrounded by green spaces. This is part of Munich's push for sustainable growth, and it's expected to bring in a lot of investment.
There's also been a major change with the railways between Hauptbahnhof and Pasing. By moving them, a large area has opened up for new development. This is part of Munich's strategy to improve transport links, making Pasing more accessible and appealing to both residents and investors.
These changes are making Pasing a hot spot for property buyers. The combination of new housing, job opportunities, and better transport is a big draw.
Sources: una.city, City Population, DZ HYP Report
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6) Trudering-Riem is gaining interest with new residential developments and competitive pricing compared to central Munich
Trudering-Riem is becoming a hot spot for those looking to buy property outside central Munich.
With new residential projects popping up, this area is catching the eye of many potential homeowners. One standout is the Freiham district, which is being developed with a focus on sustainability and inclusivity, featuring Germany’s largest contiguous timber housing estate. This kind of development is not just about buildings; it's about creating a community that values the environment and diversity.
When it comes to cost, Trudering-Riem offers a more affordable option compared to the pricey central Munich. While the heart of the city sees record-high property prices, this suburb remains a budget-friendly choice. This affordability is a big draw for those wanting a better quality of life without breaking the bank.
Infrastructure improvements are also a big plus. Munich is pouring resources into enhancing public transport and green spaces in Trudering-Riem, making it even more appealing. These upgrades mean residents can enjoy the perks of suburban life with easy access to the city.
Real estate trends show that suburban growth is on the rise in Munich, and Trudering-Riem is leading the charge. With its competitive pricing and new developments, it's a prime spot for those looking to enter the market.
For anyone considering a move, Trudering-Riem offers a compelling mix of affordability, community, and convenience. It's a place where you can find a home that suits your budget and lifestyle, all while staying connected to the vibrant city life of Munich.
Sources: Work Report 2021-2022 by the City of Munich, Real Estate Prices Munich 2024 by Mr. Lodge GmbH
7) Giesing is gaining attention for its blend of traditional and modern homes with rising property values
Giesing is quickly becoming a sought-after neighborhood in Munich.
Munich's property market has been on an upward trend for years, and even with a slight dip in 2023, areas like Giesing are seeing property values rise. This makes it a hot spot for real estate investors. The charm of Giesing lies in its blend of old-world charm and modern living, offering something for everyone.
Munich's housing demand is high, and with limited space in the city center, Giesing's mix of traditional and modern homes is drawing attention. People are flocking to neighborhoods like Giesing, where they can find a balance of history and contemporary living.
Across Munich, there's a buzz of residential development and renovation. While specific projects in Giesing aren't highlighted, the city's push to revitalize and enhance urban areas suggests similar efforts in Giesing. This ongoing development is likely making Giesing even more attractive to potential buyers.
Giesing's appeal is also boosted by its community vibe and accessibility. With a mix of local shops, cafes, and green spaces, the neighborhood offers a lifestyle that many find appealing. It's a place where you can enjoy the best of both worlds—city life and a sense of community.
For those considering a move or investment, Giesing presents a promising opportunity. The neighborhood's rising property values and unique housing options make it a compelling choice for anyone looking to settle in Munich.
Sources: JLL Germany, Mr. Lodge, Azury News
8) Laim is gaining interest for its blend of traditional and modern homes and excellent transport links
Laim is catching the eye of homebuyers with its blend of traditional and modern housing styles.
In 2023, while other parts of Munich saw property prices drop, Laim's prices held steady or even rose slightly. This shows that the area is a hot spot for buyers, thanks to its diverse housing options and excellent transport connections.
Laim is a commuter's dream, with the Laim station offering multiple S-Bahn lines for easy access to the city. This makes it a top choice for those who rely on public transport.
Being close to major hubs like Munich Central Station adds to Laim's appeal. Future transport projects, like proposed tram lines, are set to make Laim even more attractive.
For those who love the charm of older homes but want the perks of new builds, Laim offers the best of both worlds. It's a place where tradition meets modern convenience.
With its stable property market and strong transport links, Laim is a smart choice for anyone looking to buy in Munich.
Sources: Fischer Immobilien Munich, Wikipedia, JLL Germany
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) Neuhausen-Nymphenburg is gaining popularity for its family-friendly vibe and steady property value growth
Neuhausen-Nymphenburg is a top pick for families because of its family-friendly vibe and rising property values.
With over 10,000 kids under 15 and more than 2,000 kindergarten spots, the area is bustling with families, making it a supportive community for those with children.
Education is a big deal here, with 21 schools offering diverse learning options, which boosts the district's reputation as a family-friendly spot.
Safety is crucial, and Neuhausen-Nymphenburg shines with its low crime rates, benefiting from Munich's overall high safety index, making it a secure choice for families.
Recent infrastructure upgrades, like the new Westtangente tram line, have improved public transport and accessibility, making the area even more appealing to families and investors.
Sources: The Munich Times, Housing Anywhere, Railway News
10) Schwabing-West is thriving with its vibrant cultural scene and high rental demand from young professionals
Schwabing-West is a hot spot for young professionals thanks to its lively cultural scene and high rental demand.
With a steady increase in residents, especially young professionals, Schwabing-West is seeing a rise in property prices. This influx is driven by the area's cultural amenities and vibrant lifestyle, making it a magnet for those seeking a dynamic living environment.
The demand for rentals is strong, as evidenced by real estate reports showing solid rental yields. Young professionals are particularly drawn to the neighborhood's cultural offerings, which include a variety of events and venues that keep the area buzzing with activity.
In 2019, the age group 18-64 years made up 48,537 residents, highlighting the significant presence of young adults. This demographic fuels the area's cultural vibrancy, with an increasing number of events and venues enhancing its appeal.
Media often portrays Schwabing-West as a trendy neighborhood, with articles and reviews emphasizing its cultural scene, nightlife, and amenities. Social media platforms like Instagram and Facebook frequently feature posts about the area's events and attractions, further boosting its reputation.
Schwabing-West's cultural scene is a major draw, with social media trends showcasing its vibrancy. The neighborhood's nightlife and cultural attractions are regularly highlighted, making it a desirable place to live for those seeking an energetic lifestyle.
Sources: City Population, Fiylo, Expatica
11) Sendling is attracting first-time buyers and investors with its affordable property prices compared to central Munich
Sendling is catching the eye of first-time buyers and investors because of its affordable property prices compared to central Munich.
In 2023, Munich's mid-level residential areas had an average price of €2,050 per square meter, while good areas were around €2,300. The best spots hit €4,650 on average, making central Munich quite pricey.
Sendling, however, offers a more budget-friendly option. By Q2 2024, Munich's average price for a condo was between €7,600 and €8,000 per square meter. In districts like Trudering, Aubing, and Pasing, which include Sendling, prices were lower, ranging from €6,500 to €7,500.
This price gap makes Sendling appealing for those looking to buy property without breaking the bank. The trend shows that more people are eyeing affordable neighborhoods like Sendling, moving away from the expensive central areas.
While specific transaction numbers for Sendling aren't available, the consistent demand and lower prices hint at a rise in property deals. Buyers are clearly on the hunt for more affordable options outside the city center.
Sources: Fischer Immobilien München, Mr. Lodge
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12) Untergiesing-Harlaching is gaining attention for its green spaces and rising property values
Untergiesing-Harlaching is catching eyes for its expanding green spaces.
Imagine living in a place where nature is just a step away. Thanks to a major project by ECKPFEILER, the district is getting a makeover with 60,000 m² of new green space, including a big public park. This is a dream come true for families and nature lovers who crave outdoor activities and fresh air.
Now, let's talk about property prices. While some areas saw a dip in early 2023, Untergiesing-Harlaching is holding its ground. Unlike Bogenhausen and Ramersdorf-Perlach, which faced price drops, this district's property market is showing stability. This makes it a hot spot for those looking to invest wisely.
People living here are pretty happy, too. A 2023 survey showed high satisfaction levels with the area's living conditions. Residents appreciate the security and cleanliness, which adds to the district's charm and draws more folks to consider moving in.
With ongoing urban development, Untergiesing-Harlaching is becoming even more appealing. The combination of green spaces and a stable property market is a magnet for potential buyers. It's no wonder that interest in the area is on the rise.
So, if you're thinking about buying property, this district offers a unique blend of nature and urban living. The rising demand for housing here is a testament to its growing popularity.
Sources: VON POLL IMMOBILIEN, ECKPFEILER, Studierendenwerk München Oberbayern
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.