Carpenters, plumbers, roofers – the prices for handicrafts that are required for construction have recently increased significantly. Financing a new building is also becoming increasingly difficult.
The construction costs for new residential buildings in Germany have recently risen significantly. This is shown in the graphic based on data from the Federal Statistical Office. In particular, carpentry and timber construction work have become significantly more expensive – compared to the same month last year by around 34 percent. Metal construction work, roofing and roof sealing work, drainage canal work, plumbing work and steel construction work are currently significantly more expensive than they were a year ago.
The sharp rise in construction prices is hitting Germany at a time when real estate is already becoming more expensive. Real estate prices have risen significantly in recent years, particularly in large cities such as Munich or Stuttgart. The cities with the highest purchase prices for condominiums regularly include Munich, Freiburg im Breisgau and Stuttgart. As a result, fewer and fewer younger households have the opportunity to buy their own home. In addition, interest rates for real estate loans have risen significantly since the beginning of the year.
And building land prices are also rising: In the past three decades, they have climbed by more than 360 percent in Germany. Shortly after reunification, a square meter of ready-to-build land cost an average of 43 euros. At present, however, buyers have to invest around 200 euros per square meter. The prices for building land in Berlin have skyrocketed the most.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
