The German economy has experienced an unprecedented boom over the past 10 years. Coupled with low interest rates and cheap loans, GDP growth has boosted the real estate market and prompted many investors to put their money into German property, but increasing political regulation is changing the German real estate market.
Esfandiar Khorrami, a lawyer and partner at law and tax consulting firm Bottermann Khorrami, outlines how German politics is now once again exerting a stronger regulatory influence on the German real estate market.
From land transfer tax reform to rent brakes and rent caps, market activity in Germany is becoming increasingly influenced by the state — at the expense of investors. According to Khorrami, the political influence on what is actually a healthy market knows hardly any limits.
This is especially true
