Overview
- Representing co-ops and city landlords, the VdW said Tuesday the market shows no improvement and counts a shortfall of about 200,000 homes.
- State data show a 12% rise in building permits in Q1 2026 to 15,325 units, a mild pickup that analysts say does not mark a trend change.
- Housing completions fell 13.9% in 2025 to 47,359 across Bavaria, with Munich adding only 4,348 new homes against an old annual target of 8,500.
- Builders cite construction costs up roughly 46.6% since 2019 plus tight standards and paperwork that leave many projects uneconomic even with a record €3.6 billion in 2026/27 subsidies.
- The VdW urges lower standards, faster rules for office-to-home conversions and incentives to draw private capital, warning rents will rise as thousands apply for a few flats in cities like Augsburg, Nürnberg and Regensburg.