Investment Properties in Lower Saxony: Cities, Figures and Rules 2026
Michael Pauker · 2026-10-13
You are considering buying a tenanted flat in Lower Saxony. Perhaps because the prices here are lower than in Hamburg or the south. Perhaps because you know Hanover, Oldenburg or Göttingen. The state average for an existing condominium in 2025 was around €2,130/m². That is less than half of what is paid in Munich.
However, a low price alone says little. Lower Saxony is a large state with great differences: In the Oldenburger Münsterland, hardly any flat was empty in 2022; in the Harz, almost every eleventh. This page shows the official figures, compares the most important cities and classifies the rules for landlords.
01Lower Saxony in figures
The most important state data in a table, each row with source and status.
| Key figure | Value | Source, Status |
|---|---|---|
| Inhabitants | 8,000,826 | Federal Statistical Office, Municipal Directory 31.12.2025 |
| Change from previous year | −3,663 | Municipal Directory 31.12.2024 and 2025, own calculation |
| Forecast 2040 | 7.77 million (−2.9% vs. 2024) | 16th coordinated population projection, variant 2 |
| Flats in residential buildings | 4,022,580 | Census, 15.05.2022 |
| Vacancy rate | 4.1% (172,711 flats) | Census, 15.05.2022 |
| Of which empty for 12 months or longer | 86,954 | Census, 15.05.2022 |
| Ø net cold rent | €6.56/m² (Fed. €7.28) | Census, 15.05.2022 |
| Homeownership rate | 51.1% | Census, 15.05.2022 |
| Unemployment rate | 6.1% (Fed. 6.4%) | Federal Employment Agency, September 2026 |
| Existing condominium | Ø €2,130/m² | Upper Committee of Valuation Experts, purchase cases 2025 |
| New condominium (first occupancy) | Ø around €4,150/m² | Upper Committee of Valuation Experts, purchase cases 2025 |
| Property transfer tax | 5.0% | State law, since 01.01.2014 |
| Rent control and conversion protection | 57 municipalities, until 31.12.2029 | State ordinances, Nds. GVBl. 2025 |
Lower Saxony is close to the national average in terms of vacancy and rent, with the rent slightly below. A good half of the flats are occupied by the owners themselves. The typical rental public is therefore primarily found in the cities, and exactly there the lowest vacancy rates are also located.
02Population: tight markets in the west, vacancy in the south
At the end of 2025, according to the Municipal Directory of the Federal Statistical Office, 8,000,826 people lived in Lower Saxony, 3,663 fewer than a year earlier. This is a small decrease. The 16th coordinated population projection of the federal and state governments expects around 7.77 million inhabitants in its medium variant by 2040, 2.9% fewer than in 2024. With high immigration, it would be only 0.8% fewer; with low immigration, 5.1%.
How different the situation in the state is, is shown by the vacancy rate. On the census reference date 15.05.2022, only 2.1% of flats in the Vechta district were empty, in the Grafschaft Bentheim 2.4% and in the Cloppenburg district also 2.4%. At the other end are the Goslar district with 8.8%, Holzminden with 7.9% and the city of Salzgitter with 7.1%. Half of all empty flats in the state had been empty for a year or longer.
The Federal Institute for Research on Building, Urban Affairs and Spatial Development (BBSR) confirms the pattern in its spatial planning forecast up to 2045. Goslar is one of only three West German districts in which all age groups are shrinking. Wolfsburg, on the other hand, is expected to grow by plus 5.7% despite a difficult situation, more than any other district of its type.
03The most important cities for capital investors in Lower Saxony
The table shows the eight largest cities in the state. Vacancy and rent originate uniformly from the 2022 census. The rent is the average of all existing tenancy agreements in May 2022, not a current offer price.
| City | Inhabitants 31.12.2025 | Vacancy Census 2022 | Ø Rent Census 2022 | Rent Control | City page |
|---|---|---|---|---|---|
| Hanover | 522,803 | 3.3% | €7.61/m² | yes | Investment Hanover |
| Brunswick | 252,811 | 3.6% | €7.27/m² | yes | Investment Brunswick |
| Oldenburg | 177,055 | 2.8% | €7.79/m² | yes | Investment Oldenburg |
| Osnabrück | 166,257 | 3.1% | €7.30/m² | yes | Investment Osnabrück |
| Göttingen | 130,521 | 3.8% | €8.38/m² | yes | Investment Göttingen |
| Wolfsburg | 129,813 | 5.6% | €7.21/m² | yes | – |
| Salzgitter | 104,433 | 7.1% | €5.60/m² | no | Investment Salzgitter |
| Hildesheim | 98,207 | 4.1% | €6.34/m² | yes | – |
Inhabitants: Municipal Directory of the Federal Statistical Office, 31.12.2025. Rent control according to Lower Saxony Tenant Protection Ordinance, as of 13.10.2026.
For Hanover, the Upper Committee of Valuation Experts quotes around €3,000/m² for existing and €6,710/m² for newly built condominiums (2025). Hanover and the Lüneburg district are thus the most expensive existing markets on the mainland. On the East Frisian Islands, prices on Norderney are far above this at around €10,000/m²; in the Helmstedt district, even new flats cost under €3,000/m².
Oldenburg, Osnabrück and Hanover form the group with the lowest vacancy rate. Göttingen has the highest rent, supported by the university. Wolfsburg and Salzgitter depend heavily on the automotive industry and had above-average numbers of empty flats in 2022. Salzgitter is the only one of the eight cities without rent control. This allows freer rents for new lettings, but also shows that the state does not see a tight market there.
04Rules for landlords in Lower Saxony
In November 2025, Lower Saxony extended its rules for tight housing markets until the end of 2029. They apply in 57 municipalities, including Hanover, Brunswick, Göttingen, Hildesheim, Oldenburg, Osnabrück, Wolfsburg and Lüneburg, as well as islands like Norderney, Borkum and Juist.
| Rule | What applies in Lower Saxony | Status |
|---|---|---|
| Rent control | In 57 municipalities: new rent at most local comparative rent plus 10%, exceptions include for new builds | until 31.12.2029 |
| Capping limit | In 57 municipalities 15% in three years, otherwise 20% | until 31.12.2029 |
| Conversion protection (§ 250 BauGB) | Conversion into ownership in houses with more than five units subject to approval, in the same 57 municipalities | until 31.12.2029 |
| Blocking period for termination after conversion | 5 years no personal use after conversion | until 31.12.2031 |
| Property transfer tax | 5.0% | since 01.01.2014 |
There is no state subsidy for the purchase of an individual tenanted existing flat. Housing promotion via NBank is aimed at developers and owners who create or modernise rental flats and enter into rent and occupancy commitments for this purpose.
05Ancillary purchase costs in Lower Saxony
The property transfer tax in Lower Saxony is 5.0%, unchanged since 2014. This is in the middle range: Bavaria charges 3.5%, North Rhine-Westphalia and Schleswig-Holstein 6.5%. Details are on the page Property Transfer Tax in Lower Saxony.
| Amount | |
|---|---|
| Property transfer tax 5.0% | €12,500 |
| Notary and land register (around 1.5%, estimated) | €3,750 |
| Estate agent 3.57% buyer's share (if involved) | €8,925 |
| Ancillary purchase costs with agent | €25,175 |
| without agent | €16,250 |
For an existing 60-m² flat at the state average of €2,130/m², the purchase price would be around €128,000, the ancillary costs without an agent well over €8,000. You usually pay this sum from your own capital. What the notary and land register cost in detail is explained in the guide Notary Costs for Real Estate Purchase; the Ancillary Purchase Costs Calculator calculates your case.
06Opportunities and risks of an investment in Lower Saxony
The labour market is slightly better than the national average. In September 2026, the unemployment rate was 6.1%, nationwide 6.4%. However, part of the employment depends on a few large employers, especially in the automotive industry around Wolfsburg, Salzgitter, Brunswick and Emden. If a sector comes under pressure, this affects the rental demand in entire cities.
The forecast is the second point. Nationwide, according to the BBSR, cities and centrally located districts in particular are expected to grow by 2045, while rural and peripheral districts are expected to lose. In Lower Saxony, this particularly affects the south with the Harz and Weserbergland, as well as parts of the coast: in Cuxhaven, the number of 20- to 66-year-olds is expected to drop by 6.5% by 2045.
| What speaks for Lower Saxony | What speaks against it |
|---|---|
| Moderate purchase prices, Ø €2,130/m² existing | Forecast −2.9% inhabitants by 2040 |
| Oldenburg, Osnabrück, Hanover with low vacancy | Goslar 8.8%, Holzminden 7.9%, Salzgitter 7.1% vacancy |
| Unemployment rate 6.1%, below national average | Dependence on the automotive industry in several cities |
| Property transfer tax 5.0%, middle range | Census rent €6.56/m², below national average |
| Rules extended until 2029, predictable | Rent control and conversion protection in 57 municipalities |
Added to this are the risks of every tenanted flat. A higher interest rate for follow-up financing increases your burden. Special assessments for roof, heating or façade particularly affect older houses. And in cities with high vacancy, a tenant change takes longer and you have less room for manoeuvre with the rent.
- You enter with a moderate purchase price and specifically select cities with low vacancy.
- You have equity for ancillary costs and a reserve.
- You want to hold for ten years and longer.
- You check the dependence of a city on individual employers.
- You would buy in a shrinking district just because of the low price.
- You count on rising purchase prices for the calculation to work out.
- You have no reserve for rent default or special assessments.
- An interest rate increase would blow your budget.
07Other locations
Cities in Lower Saxony: Brunswick · Göttingen · Hanover · Hildesheim · Oldenburg · Osnabrück · Salzgitter · Wolfsburg
Neighbouring states: Bremen · Hamburg · Schleswig-Holstein · Mecklenburg-Western Pomerania · Brandenburg · Saxony-Anhalt · Thuringia · Hesse · North Rhine-Westphalia
All locations compared: Where is a capital investment worthwhile? Cities compared 2026 · Which state is suitable? All 16 compared
08Further reading
- Condominium as a Capital Investment: Pros and Cons
- Taxing Rental Income
- Notary Costs for Real Estate Purchase
- Rental Yield Calculator
- Ancillary Purchase Costs Calculator
- Property Transfer Tax in Lower Saxony
09Sources
All sources retrieved on 13.10.2026.
- Federal Statistical Office, Municipal Directory, municipalities in Germany by area, population and postcode on 31.12.2025 and on 31.12.2024
- Federal Statistical Office, 16th coordinated population projection, federal states, statistical report (11.12.2025), Table 12421-b05
- Statistical Offices of the Federation and the States, Census 2022, regional table Buildings and Dwellings (reference date 15.05.2022)
- Federal Employment Agency, Monthly report on the labour and training market, September 2026, Figure 1.14
- Upper Committee of Valuation Experts for Land Values in Lower Saxony, Land Market Data 2026, 02.02.2026
- Lower Saxony State Chancellery, Area determination for conversion protection and rent control until the end of 2029, 25.11.2025; Lower Saxony Tenant Protection Ordinance, Nds. GVBl. 2024 No. 122, amended Nds. GVBl. 2025 No. 93
- German Notary Institute, Overview of conversion ordinances according to § 250 BauGB, as of 20.01.2026
- BBSR, Spatial Planning Forecast 2045: Population Forecast, BBSR Analyses KOMPAKT 04/2024
- NBank, Housing Promotion
- § 556d BGB, § 556f BGB, § 558 BGB, § 250 BauGB
- Proportions, comparisons and ancillary purchase costs: own calculation, as of 13.10.2026
Note: This page is general information and not investment, tax or legal advice. All figures originate from the sources mentioned or are example calculations with disclosed assumptions, as of 13.10.2026. Past developments and forecasts are not a reliable indication of future results.
FAQHäufige Fragen
Is an investment property in Lower Saxony worthwhile?
That depends on the city. Purchase prices average around €2,130/m² for existing flats, significantly below southern Germany. Oldenburg, Osnabrück and Hanover have low vacancy rates. In districts like Goslar or Holzminden, on the other hand, many flats are empty and the population is shrinking.
What does a condominium cost in Lower Saxony?
According to the Upper Committee of Valuation Experts, existing condominiums cost an average of around €2,130/m² in 2025, new flats around €4,150/m². In Hanover, it was around €3,000 and €6,710/m²; on Norderney, around €10,000/m² for resale.
Where does the rent control (Mietpreisbremse) apply in Lower Saxony?
In 57 municipalities, including Hanover, Brunswick, Göttingen, Hildesheim, Oldenburg, Osnabrück, Wolfsburg and Lüneburg. The rules apply until 31 Dec 2029. Salzgitter is not one of them.
How high is the property transfer tax in Lower Saxony?
5.0% of the purchase price. With notary, land register and, if applicable, estate agent, you reach around 6.5 to 10% ancillary purchase costs.
How high is the vacancy rate in Lower Saxony?
According to the 2022 census, 4.1% of flats in residential buildings were empty. In the Vechta district it was 2.1%, in Oldenburg 2.8%, in the Goslar district 8.8%.
Is there a conversion ban in Lower Saxony?
Yes, in the same 57 municipalities as the rent control. The conversion of rental into owner-occupied flats in houses with more than five units requires a permit there until the end of 2029. This does not change anything for the purchase of an existing flat.
How is the population in Lower Saxony developing?
The 16th coordinated population projection expects around 7.77 million inhabitants in its medium variant by 2040, 2.9% fewer than in 2024. Growth is more likely to be expected in cities and in the west of the state, declines in the south.