FRANKFURT, May 11 (Reuters) - German property prices rose 2.2% in the first quarter, the VDP banking association said on Monday, but it warned that it remains to be seen how turmoil in the Middle East will weigh on the sector.
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Residential property prices rose 2.3% from a year earlier.
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Office building prices gained 1.9%, and retail property was up 1.5%.
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The increases mark a further recovery after a deep slump.
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The war in Iran has increased energy prices, inflation and financing costs.
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"It remains to be seen how the war in Iran will affect the real estate market — the first-quarter figures show little sign of it yet," said VDP Chief Executive Jens Tolckmitt.
Reporting by Tom Sims; editing by Matthias Williams
Source: Reuters