Berlin is the hottest property destination in Europe with lowest prices, even though prices have risen sharply during the past couple of years. There are more buyers than sellers and this makes Berlin a seller's market when it comes to property. For every single property that is put up for sale, there are dozens of buyers and in such a situation, sellers dictate terms. For investors this means having to agree to terms that may not be entirely suitable or having to pay higher than usual prices. Another idiosyncrasy of the Berlin market is that brokers manage sale and purchase of property at fixed brokerages payable on a transaction being completed. Yet another thing investors must know is that brokers do not usually search for properties but sell what is there in their portfolio. It is also a known fact that Berlin brokers do not share information and jealously guard their individual clients and their properties.

Investors from abroad looking for a suitable Berlin property for sale could be stumped by this condition. On the one hand there are local papers filled with advertisements about available properties. On the other hand, the investor simply cannot find a property to his liking or within his budget and finds himself in a quandary.

That is not the only thing an investor needs to consider. When he invests he is looking for suitable returns in the short term or in the long term. This may be in the form of rentals of property he invests in. He may look to gain a handsome return after ten years when he sells the property. These two depend largely on the type of Berlin property he purchases and its location. Charlottenburg, Kreuzberg, Friedrichshain, Mitte, Prenzlauer Berg, Neukolln and Schonenberg are locations with the highest prices investors pay per square metre for Berlin properties for sale. However, it is not cut and dried if investors go by past prices and expect to base future projections on such trends because, in the past three years, the middle and high segments have shown more growth with more demand and more properties on offer. Properties priced between Euro 2500 to 3000 per sqmhave doubled whereas those at the higher end, priced at Euro 3000 to 6500 have increased four times but offers have declined for cream property attracting higher prices of Euro 1000 per square metre. Overall, prices are on the rise but more rapid escalation is seen in properties in the peripheral locations such as Neukolln. It is considered smart to buy new properties under construction or already constructed with modern facilities such as lifts, underground parking and energy efficiency since buyers prefer these to the classical old accommodations that significantly lack in these amenities.

This is only one scenario of the many possible. A Berlin realtor can advise on the pros and cons of each location, age of buildings, size of estates and importantly, carry out due diligence as well as handle the entire transaction on behalf of foreign investors.

Read more: http://www.gateberlin.com/buy-property-berlin/