Fight for affordable living space: New building plans encounter massive hurdles!

Fight for affordable living space: New building plans encounter massive hurdles!

In Weiler, the topic of housing is currently being clearly discussed. The managing director of the Weiler Building Cooperative, Rainer Hunn, brought the new building project on Gustave-Fecht-Straße 22-28 in the recent annual report, in which a total of 33 new residential units are to be built. Completion and thus the connection of the apartments are sought for 2024. So that new times break down in Weiler, where urgently needed living space can be created.

But there are important challenges behind this initiative. Hunn expressed concerns about the current conditions in social housing, in particular due to the increased construction costs and interest. As part of his explanations, the managing director of the Weiler building cooperative pointed out that the traffic light government clearly failed to build 400,000 new apartments annually. Hunn critically complained that no solutions on the part of the government have so far been presented on the continuing problems in housing. He even described them as "advisory -resistant".

The background of the housing market

The situation is complex and is influenced by various factors. In addition to the political failures, external influences such as the Corona pandemic and the Ukraine war also contribute to the shortage of materials. These developments have led to a sudden increase in construction costs. Hunn made it clear that in many cases, higher demands on building standards and excessive requirements for energy efficiency do not create a noticeable added value for apartment users. This leads to a necessary rental claim of 18 euros per square meter to cover the costs.

Social housing has a long tradition in Germany and was launched after the Second World War to create living space for the general population and to rebuild the cities. The various phases of social housing show that from the initial efforts to establish a stable housing market to the challenges of the past decades - such as the decline in funding and the realignment according to the federalism reform - adjustments are always necessary in order to meet the changing needs of society. Another point that has contributed to the renaissance of social housing since 2015 is the increasing lack of affordable living space and the refugee crisis.

Current developments and challenges

The Federal Government has taken measures to support housing and the construction industry, and despite the increased construction costs, the construction interest has dropped significantly since the end of 2023. In the fourth quarter of 2024, prices for the construction of new residential buildings rose by about 3.1 % compared to the previous year. This could be an indicator of a revival of the housing market.

Despite a slight decline in 2021, the development remains of positive nature. Overall, the overall building preparations remained constant, also thanks to the activation of projects from the construction overhang. The population development in Germany shows significant regional differences, with growing cities facing the challenge of creating enough living space.

The rents vary greatly, with higher prices in urban metropolitan areas compared to less sought -after regions. Social housing has long since found a share of the total construction volume, with around 49,591 subsidized residential units in 2023 - an increase of 21 % compared to the previous year. But the stock of social rental apartments is slightly declining and is currently around 1.07 million apartments in Germany.

If you look into the future, Hunn hopes that the new government will introduce simpler standards to reduce the construction costs. It remains exciting whether this path will be followed and whether Weiler can keep up with its new construction projects. Finally, social housing has to face the challenges of society and remains a central element for the creation of affordable living space.

For further information on the background of social housing and the current situation on the housing market, you are welcome to look at Verlagshaus-Jaumann.de, social-Wohnungsbau.de and bmwsb.bund.de throw.