Sotheby’s International Realty: Strong trend “back to Germany” in holiday real estate / living, working and vacationing are growing together

Sylt/Rügen, January 24, 2022 – According to the German partner of Sotheby’s International Realty, there is a strong trend in holiday properties under the motto “Back to Germany”. In addition, the topics of living, working and vacationing are growing together, which means that the asset classes are also merging.

"Due to the pandemic, people are increasingly working on vacation and in their vacation properties"

Kathrin Lange from Sotheby’s International Realty Ostsee, Binz/Rügen: “Due to the pandemic, people are increasingly working on vacation and in their vacation properties. One consequence of this is that we are seeing an increasing proportion of second home buyers. As a result, the demands of customers on the object of purchase are also increasing.”

Accordingly, properties with more space, high sustainability standards, good technical equipment, wellness offers and in natural locations are in demand, so that the holiday property can also be used as a home office. Vacationers who are familiar with a 5-star hotel expect the same from the property to be bought. According to Lange, property developers in particular should bear this in mind when planning new developments.

Julia Scharfe, from Sotheby’s International Realty Sylt/Schleswig-Holstein, describes another top trend: “Many customers who were in the Mediterranean region before the pandemic are being drawn back to their home regions. The decisive factor here is the easier accessibility in the event of possible travel restrictions and the freedom gained as a result to use your holiday property at any time. Real estate on the North Sea and Baltic Sea coasts will boom in Germany over the next few years.”

Accordingly, the Sotheby’s International Realty partners continue to record extremely high demand with a tight supply. Scharfe: “The supply of real estate on Sylt is currently very small, so that prospective buyers are also turning to the mainland with a coastal location.” Kathrin Lange on Rügen is also observing the development.

Almost exclusively new buildings are currently coming onto the market, such as two developments on Rügen: A new residential complex on a hillside in the Bauhaus style in the Baltic Sea resort of Binz with a view of the water and in Breege-Juliusruh at the marina and on Sylt the Lornsen in Westerland and the dune park in List . Existing properties such as the historic dam keeper’s house in Morsum on Sylt are rather a rarity.

While in 2020 and 2021 significant price increases of between 10 and 20 percent were registered for new buildings and existing buildings, as well as for houses and apartments, prices are now remaining at a high level. “We have reached a high plateau, so now is a good time for owners to sell, especially with regard to uncertainties such as political projects, volatile financial markets and the threat of inflation,” emphasized Lange and finally Sharpness.