Construction prices for residential buildings are rising sharply again – tax cuts required

The enormous increase in costs threatens to lead many home builders and investors to refrain from planned projects – especially since not only do more materials have to be paid for, but interest rates have also risen noticeably. “Excessive land, existing property and construction prices, which have developed in the course of the long phase of low interest rates, are now facing a correction,” write the leading economic research institutes in their joint diagnosis for the federal government.