Greek capital transfers for the purchase of property abroad, particularly Germany, have acquired a steady pace in recent months.
“We are doing business with people interested in properties that are taxed less and yield higher returns than those at home,” says ImmoConsult’s Konstantin Vollbach. He notes, however, that most prospecting investors find it hard to sell a property they own in Greece in order to buy one abroad because of lack of interest and low prices. (more)
German medium-sized companies, whose business confidence rose to a 20-year high, will create 180,000 new jobs by the end of the year, business information service Creditreform said today, citing a survey.
Creditreform’s spring business sentiment measure for German medium-sized companies rose to 55.4, the highest since reunification in 1990, from 49.2 a year ago, the company said today at a briefing in Berlin. A measure of hiring intentions remained “expansive” even as it fell to 17.2 from 20.4. (more)
Germany’s residential real estate sector is booming as investors reap high returns after decades of stagnant prices, with values rocketing in many of it key cities.
However, the German government has decided to step in and impose strict measures to prevent the property bubble from bursting says market analysts IPD (Investment Property Databank).
The DIX German Property Index for 2011 stood at 5.5 percent, the highest return of this millennium and higher than the total return forecast of 4.8 percent for the year, IPD told OPP. And residential property proved to be the highest achieving sector for total returns, coming in at 7.8 percent in 2011 with an income return of 5.3 percent and positive capital growth for the first time in years. (more)
Unemployment in Germany is now at its lowest since 1990.
Today a mere 6.7% of the population are jobless – a record low for the unified country (ie since 1990).
Those in work are pretty confident in their futures too. How do we know? They’re spending money.
The exporting powerhouse that has developed in Germany on the back of euro weakness is still doing well of course. But as the FT points out this morning, what has really grabbed the attention of the economists is the fact that private consumer spending rose 1.5% last year, and looks set to do something similar this year. (more)