Buying a house in Lower Saxony: Here are the best bargains!

Buying a house in Lower Saxony: Here are the best bargains!

Anyone who wants to buy a home in Lower Saxony or Bremen can be happy: According to a current study by the German Economic Institute (IW) and the construction finance provider Interhyp, prices here are very affordable. A comprehensive study that examines around 400 districts and cities in Germany shows that Lower Saxony and Bremen offer the best conditions for buying a house. Affordability is only higher in the federal states of Saarland, Saxony-Anhalt and Thuringia. Particularly noteworthy is the district of Holzminden, which has the cheapest real estate prices nationwide, followed by the city of Salzgitter, which is considered the most affordable large city.

The study determined the affordability index, which evaluates the relationship between the monthly loan payment and the net income of a model household. More and more people are looking for affordable housing in medium-sized cities and rural regions, while they are confronted with the high hurdles that affect metropolitan regions.

Affordability index in detail

The analysis goes one step further: the affordability index for residential property in Germany, published by the OECD, shows that the differences are large. For the first quarter of 2025, the index base is 2015 = 100. Compared to large cities such as Hamburg and Berlin, where the index is 90 and 87 points respectively, the Holzminden district scores a remarkable 174 points. These are some of the best values ​​for potential buyers. Statista brings transparency to the topic.

But not everything is rosy: While buying a house is so cheap in Lower Saxony and Bremen, things are completely different in other regions. In such popular areas as Munich and Hamburg, purchasing a home requires significant financial resources. Many households in Germany still want to own their own home and are therefore looking not only in big cities, but also in rural areas, where comparatively attractive prices can often be found.

The situation in Lower Saxony

A look at the price situation in Lower Saxony shows that the Harburg and Lüneburg districts, where the proportion of net income required to buy a house is the highest, stand out. Prices in Oldenburg, Hanover and Osnabrück are also above average, which makes the search for a home there more challenging.

In the first quarter of 2025, the number of building permits fell, which could further complicate the situation. Despite this, according to estimates from other analysts such as Interhyp, there are numerous uninhabited apartments in Lower Saxony that are often in need of renovation. This could potentially be a good opportunity for buyers if you have an eye for the potential.

To find the best deals, it is recommended to expand the search radius beyond your own preferred regions. The rural areas of northern Germany not only offer affordable real estate, but also a high quality of life. If you have a good knack for buying real estate, you may be able to find your dream home here - and at an affordable price.

Nevertheless, it remains to be seen how the real estate market will develop and whether the already reduced building permits will have an impact on future availability. Demand remains high and hope for an affordable property should not be given up.