CBRE launches Time-on-Market Index for German housing

CBRE has launched a new analytical tool to measure demand conditions in the German housing market. The Time-on-Market Index tracks how long apartments remain listed on property portals, filling what the firm describes as a critical gap in market analysis.

The index's initial findings reveal exceptional demand pressure. Rental apartments currently remain on the market for an average of 30 days, five days fewer than a year ago. Owner-occupied apartments are being absorbed even faster, with marketing times falling from 92 days to 65 days over the same period.

The ToM Index analyses quarterly data from approximately 1.4 million rental and 260,000 owner-occupied apartment listings between 30 and 130 square metres. CBRE sources this data from Value AG, creating sub-indices that enable granular regional comparisons and tracking of specific apartment sizes and qualities.

"This is a reflection of what has become a chronic shortage of supply, combined with a massive excess of demand that is so great that an apartment only remains on the market for as long as the unavoidable administrative process takes," explains Jirka Stachen, Senior Director and Head of Research Consulting Continental Europe at CBRE.

District-level analysis reveals significant geographic differences. Münster and Bonn record the shortest rental marketing periods at 24 days, whilst Dortmund and Wuppertal register the longest at 38 and 37 days respectively.

For owner-occupied properties, marketing times have returned to pre-pandemic levels. Michael Schlatterer, Managing Director Residential Valuation Germany at CBRE, attributes the acceleration to stabilising financing conditions for private investors following the 2024 interest rate peak.

Investment market strengthens

The German multi-family housing market recorded €6bn in transactions during the first nine months of 2025, exceeding the previous year's level by 25%. Forward deals have nearly doubled compared to 2024, now accounting for 35% of total volume.

Foreign investor interest has increased markedly, representing 34% of transactions. Municipal housing associations are supporting property development through forward funding arrangements. CBRE expects full-year transaction volumes to reach approximately €8bn.

The index provides project developers with insights into demand for specific apartment types and expected marketing durations. Investors gain clarity on market liquidity and vacancy-period risks for cash-flow modelling. Cities and municipalities can use the data to inform urban planning decisions.

CBRE positions the ToM Index as a faster-responding indicator than traditional vacancy rates, which are published annually with time lags. The quarterly monitoring allows market participants to identify shifts in supply-demand balance more rapidly.