Germany sees first rise in housing construction permits after three years of decline

Permits for new German homes rose 10.8 percent last year, marking the first increase since 2021. Experts see a turnaround despite a massive housing shortage.

The German Statistics Office reported on February 18, 2026, that building permits for residential construction in Germany DEDE rose to 238,500 units in 2025, a 10.8% increase from 2024. This rebound marks the first annual increase after three years of declines and is cited by officials and institutes as an early indicator of higher future construction activity. The shift is seen as signaling a change in the industry mood, with significant implications for the construction sector's contribution to economic growth and the national housing supply.
FILE PHOTO: Construction workers prepare concrete formworks in Berlin, Germany, on May 17, 2017. REUTERS/Hannibal Hanschke/File Photo
FILE PHOTO: Construction workers prepare concrete formworks in Berlin, Germany, on May 17, 2017. REUTERS/Hannibal Hanschke/File Photo
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