Purchasing power ranking
Real estate prices in Berlin and Potsdam are among the highest
November 18, 2025 – 16:10Reading time: 2 minutes
Buying property is almost impossible for those on an average income in Berlin. This is also demonstrated by the current rankings – in only six cities are rates even more affordable.
More and more people live in rented apartments or houses. Buying property is too expensive for most people on average incomes. This can be seen from the affordability ranking of 106 independent cities carried out by the real estate portal “immowelt”.
Therefore, the capital is ranked 100th. Purchases are even more unaffordable in only six cities. In Berlin, the average gross salary per month is 3,982 euros – with an average price per square meter of 4,823 euros (as of 1 November 2025).
Potsdam is also among the bottom performers. According to the analysis, the average monthly salary (3,729 euros) is 0.7 times the average price per square meter of 5,225 euros. This places the city in second to last place.
The most unfavorable situation occurred in Munich. Despite an above average gross salary of 5,094 euros, the price per square meter of 8,224 euros far exceeds earnings.
According to research, Pirmasens in Rhineland-Pfalz offers the best property income-to-price ratio. The gross monthly salary of residents there is 3,559 euros – almost three times the price per square meter of existing apartments of 1,240 euros.
In 21 of the 106 townships, the price per square meter was above the median gross monthly salary. Apart from Berlin, Cologne and Frankfurt are also among the lowest performers.
The study is based on immowelt advertisements in 106 townships. This price refers to an existing apartment of 75 square meters, three rooms on the first floor and built in the 1990s. Salary data comes from the Federal Employment Agency (as of December 31, 2024).
