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Residential Construction in Germany: Increase in Building Permits Recorded in First Half of 2026

The Federal Statistical Office registered an increase in building permits for residential units in the first half of 2026, representing a positive development after a period of low levels.

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Residential Construction in Germany: Increase in Building Permits Recorded in First Half of 2026. Illustrative image generated using artificial intelligence (AI). The image does not depict a real property, person or event and is not a documentary photograph. Labelled in accordance with Article 50(4) of the EU AI Act.

The Federal Statistical Office has published current data on building permits for the first half of 2026. The figures show continued positive development in residential construction, which represents a relevant trend in the context of recent months.

The Federal Minister for Housing, Urban Development and Building, Verena Hubertz, commented on these statistics. She highlighted that permit figures have shown an increase for thirteen consecutive months. Compared to the first half of 2025, this represents a rise of just over 15 percent.

Assessment of the Development and Political Measures

Minister Hubertz interpreted this upward trend as a result of targeted political measures. She spoke of an increasing 'construction turbo' and broad acceptance of funding programmes. Furthermore, the upcoming modernisation of the Building Code was mentioned as another factor.

Despite this positive development, the Minister emphasised that the baseline had been low and the desired level in residential construction had not yet been reached. For this reason, she announced a continuation of efforts. These include a massive injection of funds for social housing and further reduction of bureaucracy.

As an additional measure to create more affordable housing, the establishment of a federal housing association is planned. This is intended to support and complement efforts to expand the housing supply at a national level.

  • Rising permit figures over thirteen consecutive months.
  • A growth of just over 15 percent in the first half of 2026 compared to the same period last year.
  • Continuation of political measures to promote residential construction and reduce bureaucracy.
  • Establishment of a federal housing association to increase affordable housing.

These developments signal a revitalisation of the residential construction market, although the Minister clearly articulated the necessity for further efforts to achieve nationwide affordable housing targets. FREITAG® Immobilien GmbH observes these national trends with great interest and integrates the insights gained into its market assessments and strategic recommendations for the Bavarian real estate market.

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