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Ralph Brügelmann / Tim Clamor / Michael Voigtländer IW-Trends No. 2 25. June 2013 Depreciation Terms for Rental Housing
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Depreciation Terms for Rental Housing
Ralph Brügelmann / Tim Clamor / Michael Voigtländer IW-Trends No. 2 25. June 2013

Depreciation Terms for Rental Housing

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German Economic Institute German Economic Institute

In the past the official depreciation rates for rented flats in Germany have largely been changed in line with economic, fiscal or housing policy objectives. The actual decline in the property’s value was of secondary concern. Taxation is only neutral when tax write-offs correspond to economic depreciation. In Germany, loss of economic value is considerably higher than the present depreciation rate permitted for tax purposes. New building and refurbishments are thus at a disadvantage compared with alternative investments, the consequences of which are a reduction in building activity and higher rents.

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Depreciation Terms for Rental Housing
Ralph Brügelmann / Tim Clamor / Michael Voigtländer IW-Trends No. 2 25. June 2013

Depreciation Terms for Rental Housing

Download PDF

German Economic Institute German Economic Institute

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An Analysis of the Current Risk Levels in Residential Real Estate Financing in Germany
Michael Voigtländer / Jonas Zdrzalek IW-Trends No. 1 14. April 2022

An Analysis of the Current Risk Levels in Residential Real Estate Financing in Germany

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Christian Oberst / Michael Voigtländer IW-Trends No. 4 17. December 2021

A Hedonic Rental Price Index for Retail Properties in Germany

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