Overview
- The Statistisches Bundesamt reported on Friday that completions in 2025 fell 18% to about 206,600 units, the lowest annual total since 2012.
- Baugenehmigungen rose about 10.6% to roughly 238,100 in 2025 while the build backlog stayed near 760,700, showing many approved projects are not being finished.
- A record 35,700 permits lapsed in 2025 and the average time from permit to completion lengthened to 27 months, factors industry groups cite as blocking delivery.
- The federal government points to measures such as the 'Bau‑Turbo', planned changes to the Baugesetzbuch and increased social‑housing funds, while builders and analysts demand faster cost and planning reforms.
- Experts warn the downturn may continue, with the Ifo‑Institut forecasting about 185,000 completions in 2026, and cities such as Frankfurt and Berlin are already reporting sharp local drops and disputes over whether new social units are truly additional.