Overview

• The Hannover-based Pestel-Institut released its findings as the Expo Real fair opened in Munich in a study commissioned by Messe München.
• The estimate excludes long-term vacant dwellings, yielding a significantly higher shortfall than earlier counts.
• The study says firms struggle to recruit because workers cannot find affordable homes near jobs, and many employees avoid switching roles to escape a risky housing search.
• Residential construction has been weak for three years, with completions and permits well below the federal target of 400,000 homes per year.
• Pestel calls for broad state support across social, private rental and owner-occupied building and warns against tying aid to ever-higher standards, while Housing Minister Verena Hubertz cites a permitting “Bauturbo” bill for October, a €7.4 billion 2025 budget and €11 billion from a special fund.