Housing Market
The current situation of the housing market in Bad Aibling, a city in Europe, is characterized by a significant shortage of affordable housing and a high demand for rental properties. Approximately 70% of EU residents own their homes, but in Germany, where Bad Aibling is located, more than half of the population rents their apartments. This trend is particularly pronounced in urban areas like Bad Aibling, where the housing crisis is exacerbated by high interest rates and construction costs.
The city is facing a housing crisis marked by a shortage of over 800,000 apartments in Germany, with many residents, including single parents and refugees, struggling to find affordable housing. To address this issue, the German government has set an ambitious goal of constructing 400,000 new homes annually, including 100,000 social housing units. However, this target remains unattainable due to high construction costs and interest rates.
Efforts to support and build affordable housing include extending rent freezes until 2029 to prevent landlords from raising rents by more than ten percent when a new lease is signed. Additionally, there are calls for more regulation to close loopholes in rent control policies and for increased investment in the housing construction sector to address the crisis.