Building and housing: This is the summit

That's the peak! This is an indignant phrase when conditions come to a head. The federal government has now reacted to the fatal situation in the real estate sector with a housing summit. What came out of it, you can read here.

The situation in the real estate industry has come to a head. The external economic conditions have changed significantly: 700,000 flats are missing, new construction has plummeted by around 30 percent, building and energy regulations are unsettling, the energy crisis requires expensive renovations and the interest rate turnaround makes building unaffordable. Families can hardly afford to own property any more, and living space in the conurbations has become scarce due to the strong influx.

The real estate industry has reacted with cautious optimism to the summit in the Chancellor's Office and the signals on the "Alliance for Affordable Housing". Andreas Mattner, President of the German Property Federation (ZIA), speaks of a new realism in climate protection and clear tax relief signals: "There is a real jolt today, and more has come out than the necessary acceleration measures."

A major contribution by the federal government is a new depreciation option that makes it possible for project developers to work again. The federal government's temporary waiver of the strict energy efficiency standard for new buildings is also welcomed. The government wants to exclude refurbishment obligations for individual residential buildings and accelerate the construction of affordable housing in areas with a tight housing market and enable it through a special provision in the Building Code.

The promotion of home ownership is to be improved. More families than before are to benefit from low-interest building loans. The maximum state-subsidised loan amounts are to be increased by 30,000 euros. The income limit up to which a low-interest loan can be applied for is to be raised from 60,000 euros to 90,000 euros per year.

A reaction from the federal states would now also be desirable. They should significantly reduce the real estate transfer tax, not only for the purchase of residential property, but also for rental flats.

(Photo: © Violetta, Pixabay)