It’s not just the traffic lights that are to blame for the housing market problems

by time news

2023-09-25 17:11:43

The housing shortage is affecting all of Germany. Whole Germany? No! In many regions, apartments and houses are neither overcrowded nor deserted. However, the country’s largest cities attract more people than the amount of living space available.

There is a lack of new buildings there, rents are rising and, for a long time, the purchase prices for real estate are also rising. With higher interest rates and construction costs, the number of construction projects is now falling significantly. Chancellor Olaf Scholz and Construction Minister Klara Geywitz expressed confidence at their housing construction summit on Monday. However, your package of measures will by no means quickly boost the country’s construction sites. The federal government’s goal of 400,000 new apartments per year, which the two SPD politicians are concerned about, is far away.

In individual cases a well-intentioned goal

The confusion in the housing market falls into many responsibilities. Each federal state can reduce costs by simplifying the regulations of the state building regulations, or create relief by reducing the real estate transfer tax. The federal government wants to postpone stricter energy requirements for houses with efficiency house level 40 (EH 40): However, this does not reduce construction costs, they just do not increase any further.

Christian Geinitz, Berlin Published/Updated: , Recommendations: 1 Matthias Alexander Published/Updated: , Recommendations: 49 Published/Updated: Recommendations: 13

But it is not the case that climate protection requirements alone make building so expensive. Locally in the municipalities, the concert of wishes continues happily when the city demands a few parking spaces at the house (for cars), a kindergarten in the basement (for the legal right to care) and more social housing in general, whose tenants have to pay less than others (for social peace).

This may be a well-intentioned goal in individual cases, but overall it makes building more expensive. The federal government can still promise so much. When it comes to the construction of apartments, what counts is the extent to which new building areas, extensions and densification are created in the regions. A key decision lies in the hands of each individual city with a housing shortage.

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