Is real estate investment worthwhile in Essen?
- Essen is a city with 583,109 inhabitants in the state of Nordrhein-Westfalen.
- The median purchase price is €3,162 per square metre – high prices compared to the national average.
- Purchase prices have risen by 18.5% over the last five years.
- Compared to the national average, an average gross rental yield can be achieved here: between 4.2% and 4.5% (average 4.4%).
- The purchase-price factor is about 22 years.
- The low average age (44.6 years) makes the region a safe place to invest.
- The population has remained roughly stable since 2008.
- Unemployment at 9.5% is above the national average.
AI Location Report
Essen is positioned with an average price per square metre of 3.162 € and a price-to-yield factor of 22,9 in the German comparison. Rents (avg. 11,54 €/m²) reflect a good rental yield.
📊 Local Metrics & Investor Check
Strategy Classification: Cashflow City
Above-average rental yield, well suited for immediate cashflow.
Above-average rental yield, well suited for immediate cashflow.
Price-to-Rent Ratio
22,9 ×
Years of cold rent until amortization
Avg. gross rental yield
4,37 %
Range: 4,21 % – 4,50 %
Value appreciation (5 y.)
+18,52 %
≈ 3,70 % p.a.
📈 Current Market Overview & Price Ranges
| Metric | Average | Market Range (Min – Max) |
|---|---|---|
| Purchase Price | 3.162 €/m² | 2.946 € to 3.652 € |
| Rent (cold rent) | 11,54 €/m² | 10,34 € to 13,68 € |
| Yield (affordable apt.) | 4,21 % | Typical for smaller / cheaper apartments |
| Yield (expensive apt.) | 4,50 % | Premium locations, focus on value growth |
📉 Historical Market Dynamics
| Period | Purchase Prices | Rents |
|---|---|---|
| Last Year | -6,05 % | -3,19 % |
| Last 2 Years | -1,51 % | -0,43 % |
| Last 5 Years | +18,52 % | +20,33 % |
| Last 10 Years | +41,69 % | +36,41 % |
📅 Prices Over the Years
| Year | Purchase Price avg €/m² | Rent avg €/m² | Yield % |
|---|---|---|---|
| 2011 | 1.582 | 7,23 | 5,48 |
| 2012 | 1.645 | 7,25 | 5,29 |
| 2013 | 1.709 | 8,17 | 5,74 |
| 2014 | 1.745 | 8,42 | 5,79 |
| 2015 | 1.890 | 8,95 | 5,68 |
| 2016 | 2.232 | 8,46 | 4,55 |
| 2017 | 2.165 | 8,23 | 4,56 |
| 2018 | 2.365 | 8,52 | 4,32 |
| 2019 | 2.545 | 9,23 | 4,35 |
| 2020 | 2.874 | 9,28 | 3,88 |
| 2021 | 2.668 | 9,59 | 4,31 |
| 2022 | 2.810 | 10,30 | 4,40 |
| 2023 | 3.122 | 11,11 | 4,27 |
| 2024 | 3.210 | 11,59 | 4,33 |
| 2025 | 3.366 | 11,92 | 4,25 |
| 2026 | 3.162 | 11,54 | 4,38 |
🧮 Sample Investment Calculation
Interactive calculation for an apartment in Essen. Adjust values:
Acquisition Costs
Total Purchase Price –
Brokerage Fees (7 %) –
Property Transfer Tax (3.5 %) –
Total Investment –
Income & Yield
Rental Income (duration) –
Profit –
Yield p.a. –
🗺️ Roadmap for Beginners in Essen
Step 1: Check financing capacity
Clarify budget and equity. Use the financing check in the sidebar.
Step 2: Set up local property searches
Search property portals for listings in Essen and the surrounding area.
Step 3: Viewing & property inspection
Review owners' association minutes. Note structural defects and reserve funds.
Step 4: Purchase price negotiation
Price-to-yield factor 22,9 – use as a solid negotiation basis.
Step 5: Notary appointment & land registry
Factor in purchase costs (brokerage, transfer tax, notary).