Saxon Building Minister Regina Kraushaar (CDU) is pushing for clear legal regulations for the so-called building type E. It stands for simple and experimental construction and dispenses with the usual high standards. Saxony had already created the prerequisites for this in the state building regulations in 2024, but there has been no amendment to the German Civil Code to date. "If you currently build according to building type E, tenants may sue for non-compliance with standards. This is an incalculable risk for the landlord," says Kraushaar.
Building is expensive in Germany
The construction industry has long been struggling with the consequences of bureaucracy, overregulation and high costs. In 2024, the German government therefore launched the draft "Building Type E Act". Building owners and architects are to agree on which requirements are really important for the joint construction project and where deviations from current regulations are feasible or even desirable. This should allow for cost-effective and fast construction methods.
"We often tend to build to a gold standard. This makes planning and construction time-consuming, labor-intensive and expensive. We want to change this," said Federal Building Minister Klara Geywitz (SPD), explaining the project. Building safety - such as statics or fire protection - would remain unaffected. However, the law has not yet been passed by the Bundestag.
Building should become more affordable for the housing market
According to Kraushaar, the housing market is about finally making construction more affordable. Because standards are too high, too few apartments are currently being built. In addition, construction must become more attractive for investors again. In her own department - the Ministry of Infrastructure, which is also responsible for construction and housing - she wants to ensure that housing subsidies are affected as little as possible by cuts. This also applies to the co-financing of federal programs for urban development and monument protection.
"I am in favor of continuing to boost social housing construction. And that is why we want to ensure the co-financing of the federal and state programmes as much as possible this year and next," emphasized Kraushaar. The minister does not consider interventions in the housing market such as the rent freeze to be decisive. "It's like some medications that effectively alleviate symptoms but cannot cure them." Only when the situation on the housing market eases with sufficient supply will landlords no longer be able to demand overpriced rents.
Desden and Leipzig have housing problems despite vacancies
In Kraushaar's view, it makes sense to make even better use of existing potential - for example by allowing individual design options in prefabricated buildings. There is indeed a problem in Dresden and Leipzig, despite vacancies. There, large apartments are not being vacated due to favorable old rental contracts. "People say to themselves: we're not going to move into a smaller apartment and pay more money for it." When a family with three children then looks for an apartment, they find nothing.
"But I also want to ensure that young families can buy their own home, and not just those with a certain income. Maybe that won't be possible in trendy neighborhoods in big cities. But many people don't necessarily want to live in the city because they miss the peace and quiet and nature there," says Kraushaar. Saxony has the second-lowest home ownership rate in Germany. Only 34 percent of households live in owner-occupied housing. This would be an important point for security in old age.
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