Residential property prices in Lüneburg and its environs will rise more strongly in 2020 than in 2019. This is the conclusion to be reached from the Grossmann & Berger Price Trend, which the property services provider has now released with its market survey of Lüneburg. Grossmann & Berger expects to see prices within city limits rise by an average of 6.7 % and by 7.3 % in the environs*. To put this in perspective: in 2019 prices within city limits rose by 4.4 % year on year and by 3.6 % in the environs. “Cheap loans, limited supply and ongoing high demand for properties will ensure that prices spiral upwards even more rapidly in the coming year,” remarks Andreas Gnielka,
head of department, residential properties stock/letting and capital investment at Grossmann & Berger.
City districts: 2020 will see prices rise most in Mittelfeld; Rotes Feld is most expensive district
The G&B Price Trend forecasts average price increases of 6.7 % against the prior year in the city of Lüneburg. Grossmann & Berger calculate that the cost of a single family house** will rise by 6.9 % to €3,100 per square metre of living space; apartment*** prices are expected to rise by 6.5 % to €2,960/m². Prices in the Mittelfeld district are set to rise most, as the area is becoming increasingly popular. Grossmann & Berger expects the cost of a single family home to rise by 8.9 % (to €2,700/m² of living space) and predicts an 8.6 % rise in the price of an apartment (to €2,660/m² of living space). Rotes Feld remains Lüneburg’s most expensive district. For a single family home here one can expect to pay €4,280/m² of living space (+ 7.8 %), for an apartment the asking price will be €4,240/m² (+7.6 %).
Environs: Biggest increases in 2020 expected in Ostheide; Adendorf most expensive community
More reasonable prices than in the city make the environs attractive. “However, we are noticing that high prices in the city areas are encouraging more buyers to look to the surrounding communities, which will push prices up further in the coming year,” predicts Regina Trope
, sales manager at the Grossmann & Berger shop in Lüneburg. G&B thus expects to see prices in the environs of Lüneburg rise by an average of 7.3 % in 2020. According to the figures in the G&B Price Trend, single family houses will cost €2,380/m² of living space in 2020, a year-on-year increase of 7.2 %. Apartments will cost 7.3 % more, rising to €2,350/m² of living space. The G&B Price Trend indicates that the cost of single family homes in Ostheide will rise most, growing by 7.9 % from a relatively low base to €1,780/m² of living space. Adendorf remains the most expensive community in the environs of Lüneburg. Here apartments are expected to sell for €3,050/m² of living space (+ 7.8 %); for a single family home the asking price will be € 3,120/m² (+7.6 %).
Residential areas with potential in and around Lüneburg
In the current market survey Grossmann & Berger has identified locations that are especially likely to develop well or in which new residential developments are planned. Apart from the central locations Altstadt/Innenstadt, these include Häcklingen, Ochtmissen and Schützenplatz plus the surrounding communities of Adendorf, Bardowick, Scharnebeck and Vögelsen. Reasons for this assessment include projected new builds and development sites such as “Hanseviertel East” in Schützenplatz, “Kirchweg West” in Adendorf and “Süderfeld III” in Vögelsen.
It is only to be expected that the excess of demand for residential properties in Lüneburg and the environs will result in higher prices. The lack of space on which to build new homes presents an enormous challenge. Almost all of the apartments in Ilmenaugarten - one of the biggest residential districts near Lüneburg centre - have now been sold or let. This neighbourhood is home to some 1,500 people. “Lüneburg city centre offers no future potential for residential developments on this scale. Therefore only smaller developments and infill projects will be feasible, like the one in Rotenbleicher Weg offering 71 homes or on Handwerkerplatz where about 58 units are planned,” says Trope
G&B Price Trend
: Assessment of the attainable selling prices for the following standard properties, well constructed and fitted out, in good residential neighbourhoods:
* Environs: Adendorf, Bardowick, Gellersen, Ilmenau, Ostheide and Scharnebeck
** Standard single family house: detached, with cellar, at least 130m² of living space, plot size typical for the location
*** Standard condominium: vacant, 3 rooms, around 80 m² living space, 1st upper floor, lift (elevator), fitted kitchen
The detailed survey may be downloaded from our Website