Homeownership for Danes and Italians most affordable
The dream of owning a home is barely achievable for many Germans. As a Deloitte study shows, even more needs to be paid for one's own four walls in Austria. Particularly accessible are properties for Danes and Italians.
In comparison to Europe, Germany is an expensive place for apartment buyers. On average, a new apartment costs 4,700 euros per square meter, according to a study by the consulting firm Deloitte. Only Austria is more expensive, while it is cheaper in 21 other countries.
In terms of average income, a 70-square-meter apartment is the cheapest in Denmark: At a selling price of just under 3,000 euros per square meter, Danes have to pay only 4.7 annual salaries for it.
According to Deloitte, properties are also very affordable in Italy, with around five annual salaries needed for purchase. The selling price for such a new apartment in Italy fell by 11 percent to around 2,100 euros per square meter last year. Even in Rome, seven annual salaries are enough to buy.
If you look only at absolute prices, new apartments are also cheap in Greece (around 1,500 euros per square meter), Croatia, Slovenia (2,600), or Spain (2,800), as well as in Romania (1,500), Poland (2,200), and Hungary (2,600). However, when it comes to whether locals can afford to buy an apartment, the picture looks different: In France, an average of ten annual salaries are required, and in the Czech Republic, it's even 13.
Renters pay 34 euros per square meter in London
Paris is by far the most expensive of the 68 cities in Europe studied, with 14,900 euros per square meter - followed by Munich with 10,900 euros. The average price in Paris is thus four times the French average. In Munich, the premium over the German average is 232 percent.
However, according to Deloitte, London is the most expensive city for renters, at almost 34 euros per square meter, followed by Dublin, Paris, and Barcelona (30 euros). Munich is in the upper middle range, at almost 21 euros per square meter.
In comparison, rents for new apartments are relatively cheap in Turin: Landlords charge an average of only 7.30 euros per square meter there. Less than 9 euros are charged for new rentals in some Greek, Romanian, Bulgarian, Hungarian, and Czech cities. However, new rental apartments in the Bulgarian cities of Sofia, Varna, and Burgas became between 67 and 126 percent more expensive last year.
The Commission, in its study, found that Germany is one of the most expensive places for apartment buyers in Europe. The Commission also reported that London is the most expensive city for renters, according to their data.
