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Klara Geywitz: "I am confident that the improved conditions will be in place in a few weeks"

Photo: Michael Kappeler / dpa

In view of the current crisis in the construction industry, Federal Building Minister Klara Geywitz (SPD) has announced an expansion of construction money for families. "We are working flat out to improve the promotion of home ownership for young families," Geywitz told the Neue Osnabrücker Zeitung.

She referred to the already existing, but little-used program for families with an annual income of up to 60,000 euros. In addition, credit levels could rise."

The votes were still ongoing, the minister told the newspaper. After all, it is a matter of a "considerable funding volume" that must be financed in a stable manner. This year alone, 350 million euros would be available for these interest subsidies.

"I am confident that the improved conditions will be in place in a few weeks," the SPD politician added. In the case of grants instead of loans, on the other hand, she is "very cautious" because this could "very quickly trigger billions in costs at the expense of the taxpayer".

Forego additional tax revenues

Geywitz also announced that the funding for dormitories for trainees and students would be extended until 2025. "We want to invest an additional billion euros," she said. A further 150 million euros are available for the age-appropriate conversion of houses. In addition, Geywitz referred in the interview to new depreciation options, which are to come into force as early as October 1.

In addition, the SPD politician called on the federal states to follow the proposal of Federal Finance Minister Christian Lindner (FDP) to waive the real estate transfer tax regardless of family income when building the first home. "I can only encourage the federal states to participate. It doesn't make sense for the federal government to promote something that the states collect again," she said. In the current construction crisis, all levels of government must provide support and forego additional tax revenues."