The supply of existing houses on the German island of Sylt has increased by 514 percent since the second quarter of 2022, according to the real estate portal Immoscout24.
For the past four years, the growth of house supply on Sylt has been significantly faster than in the rest of Germany. This increase is described by Immoscout24 as exceptional, even when compared to other high-priced residential locations such as Starnberg or Rottach-Egern.
Increase in existing house supply on Sylt since Q2 2022
Market shifts and pricing
Factors driving the development on Sylt include changing market conditions and stricter rules for holiday apartments on the island. Immoscout24 CEO Gesa Crockford stated that prospective buyers find significantly more selection on Sylt today than a few years ago.
Since the peak in the second quarter of 2022, asking prices for houses on Sylt have fallen by 12 percent. Crockford noted that after this correction, asking prices have stabilized at a high level, though she emphasized that there are no bargains on Sylt.
Asking prices for existing houses on Sylt are more than 12,000 euros per square meter.
Comparison with other German markets
While the nationwide increase in house supply in Germany is 110 percent, the supply growth in certain luxury areas has been higher. In Starnberg, the increase in house supply is 185 percent, while in Rottach-Egern it is 174 percent.
Price corrections have also varied by region. In addition to the 12 percent drop on Sylt, asking prices in Starnberg fell by 14 percent and in Rottach-Egern by 11 percent. According to Immoscout24, the price correction in Germany nationwide during the same period was 2 percent.
There are no bargains on Sylt.
