There is no progress in housing construction. The number of newly approved apartments continues to decline. A record low is looming for the current year.
In May, fewer new apartments were approved in Germany than in the same month last year. 17,800 units represented a decrease of 24.2 percent compared to May 2023, according to the Federal Statistical Office. In the first five months, the construction of around 89,000 apartments was initiated. This is a decrease of 21.5 percent. A year earlier, there were 24,000 more apartments in the five-month period.
This shows that the annual target of 400,000 new apartments set by the federal government will be missed even more clearly this year than in 2023. With 260,100 permits, this was already the weakest year since 2012.
Notification of permits for residential construction 5/2024
Source: Stern
