New living space is urgently needed: This is how IG BAU wants to reduce construction costs!
New apartments are urgently being built in the Bad Tölz-Wolfratshausen district. IG BAU is calling for measures for affordable housing.

New living space is urgently needed: This is how IG BAU wants to reduce construction costs!
Housing construction in the Bad Tölz-Wolfratshausen district is facing a turning point. Last year, 451 new apartments were built here, including 158 in single- and two-family houses. However, the Bauen-Agrar-Umwelt industrial union (IG BAU) is calling for one New building offensive for affordable housing, as social housing in particular is urgently needed. IG BAU emphasizes that housing construction should be possible “well and cheaply” and demands that the federal government’s “housing construction turbo” must now also arrive in the district.
The available figures show clear potential for more living space. There is a need to catch up, particularly in the area of social housing. Experts point out that construction costs can be reduced by 25 to 33 percent through sensible measures. This includes the use of “building type E”, less strict requirements for noise and climate protection and lower thicknesses for ceilings and walls. This could create more living space, which not only benefits those affected, but also the state, says IG BAU in its analysis.
The Germany-wide housing emergency
But the challenges for housing construction are not only felt in the district. There is an acute housing emergency across Germany, with a shortage of around 550,000 apartments. More and more people who rely on affordable rental apartments are particularly affected. Experts expect the situation to become even more difficult this year IG BAU notes.
In order to meet the need for social housing, at least 210,000 new social housing apartments would have to be created nationwide every year by 2030. There are currently only around 1 million social housing units, and the number is falling. Matthias Günther from the Pestel Institute sees this decline as a “chronic burnout in the social housing market”. The traffic light government sees itself as having a duty to take urgent measures to initiate this trend reversal.
Measures to promote housing construction
The federal government has already taken steps to support housing construction. It can be observed that building interest rates have fallen significantly, which is having a positive impact on the housing market. In the fourth quarter of 2024, however, prices for new buildings rose by around 3.1 percent compared to the previous year. This is also related to regional population development, which is increasing in urban areas, while rural regions are suffering from declines, reports Federal Government.
Although subsidies for social housing have increased - over 49,000 residential units were subsidized in 2023 - the stock of social housing has declined overall. The study by the Pestel Institute calls for a nationwide social housing register and a basic law guarantee for new building subsidies in order to achieve a long-term improvement in the situation.
It is becoming clear that politics and society are required to rethink housing construction and pursue innovative approaches in order to meet the great need. Time is of the essence because many people are urgently looking for a new home.