Reduced compulsory auction occurrences in MV during the first six months - Property Transfers Intensify in Monterey Valley During First Half of the Year
In a contrasting trend to the rest of Germany, Mecklenburg-Vorpommern has witnessed a decrease in forced auctions (Zwangsversteigerungen) in the first half of 2025. While many federal states have seen either stable or increased numbers of forced auctions, Mecklenburg-Vorpommern has managed to buck this trend.
Key factors contributing to this decrease include a lower pressure from mortgage defaults and insolvencies compared to other states, a slower property market with less speculative pressure, and government and local authority efforts to prevent forced sales, including social housing programs and debtor support.
Mecklenburg-Vorpommern's more cautious market and local support systems have helped reduce forced auction numbers relative to the national trends. The state recorded the second-strongest economic growth of all federal states last year at 1.3%, following Hamburg.
In comparison, states like Berlin, Hamburg, Bavaria, and other eastern states have seen either stable or increased numbers of forced auctions, reflecting tighter housing markets. Western states overall have generally remained stable, with some increases in urbanized areas.
According to Argetra, a market observer, the decrease in forced auctions for single and two-family houses in Mecklenburg-Vorpommern was 5.6% compared to the first half of 2024. Across Germany, more forced auction dates were recorded in all other federal states than the previous year.
Nationwide, the gross domestic product shrank by 0.2% in the first half of the year. However, Mecklenburg-Vorpommern experienced a 5.6% decrease in forced auctions in the same period. A total of 184 dates for forced auctions were recorded at the local courts in Mecklenburg-Vorpommern in the first half of this year.
The other four federal states, apart from Mecklenburg-Vorpommern, that also saw a decrease in forced auctions are Schleswig-Holstein, Bremen, North Rhine-Westphalia, and Hesse. Argetra conducted an analysis on forced auction dates from around 500 local courts in Germany, including Schwerin and Ratingen.
While this decrease is promising, it's essential to note that precise statistics and detailed regional legal/policy analysis related to forced auctions in Mecklenburg-Vorpommern and other states can be found in specialized real estate or judicial auction market reports published by German federal or state statistical offices.
State aid, such as social housing programs and debtor support, provided by the government and local authorities in Mecklenburg-Vorpommern have played a significant role in the decreased number of forced auctions in the state. In addition, investing in the real-estate market of Mecklenburg-Vorpommern may offer opportunities for individuals as the state has shown economic growth and fewer forced auctions compared to other regions in Germany.
