German Real Estate Grows In The Price!

Even in the face of a serious economic and financial crisis that has protected almost all the countries of the European Union, the German economy continues not only to maintain the achieved indicators, but also to increase industrial production. The cornerstone of this, not only visible, but real prosperity, especially noticeable against the backdrop of the difficulties experienced by France and, especially, Italy and Spain, is strong domestic demand. Citizens have money and they are eager to spend this money.

Therefore, one should not be much surprised at the fact that real estate in Germany is steadily growing in price. So confident that its growth is four-fold (8 against, on average, 2%) ahead of the average European inflation and therefore placing money in local real estate today is considered by many, as an exceptionally profitable investment. While banks at the EU level are provided with credit money at exceptionally low rates (about 1%) - and German banks are quoted today as extremely reliable and do not meet with a hitch in obtaining such loans - there is nothing else, in general, expect. However, there are already expressed - so far with caution - the opinion that such a rapidly growing and so much relying on the borrowed money market of apartments, houses, villas and other mansions can suddenly turn out to be a "bubble". It is similar to the fact that for so many years it has blown up and then resounded loudly in the USA in the fall of 2008. Becoming, we will remind, that match that set fire to the wick of the modern world economic crisis.

In favor of this theory, which still looks reasonably enough, is the impressive rise in prices per square meter literally across the country, with the exception of quite provincial places on the territory of the former GDR and the accompanying expansion of the mortgage market. As the skeptics say, the economy of Germany is stable and even growing, but who knows what will happen next amid continued stagnation and even regress in the partner countries: will it affect the fall in export earnings? Along with domestic demand, which is one of those two "whales" on which the rainbow state of the national economy rests.

However, to draw analogies between the New and Old World, at the moment still not worth it. If only because the style and methods of managing economic processes in Germany are substantial and even completely different from transatlantic ones. How, by the way, the current processes in public life vary greatly. For example, the Germans - a native beer nation - have recently drank less beer, more and more switching to mineral water effervescent soft drinks and increasing the number of vegetables and greenery in the diet. Traditional national predisposition to meat and fatty foods is still preserved, but such a reorganization of the nation's mentality takes time. In addition, the above facts allow us to hope that in this area in the foreseeable future everything will be fine. Americans, in spite of massive advertising campaigns in support of a healthy lifestyle, still, as if nothing had happened, lean on hamburgers, french fries and other fast food, preferring such food to anyone else. As for the breweries, in 2012 there was a national record: never before in the country there were so many productions!