German Construction Permits Rise in First Half of 2025
Economy / Finance

German Construction Permits Rise in First Half of 2025

Recent data from the Federal Statistical Office (Destatis) indicates a positive trend in German construction activity. In June, approvals were granted for the construction of 19,000 new homes, representing a 7.9 percent, or 1,400 unit, increase compared to June 2024.

For the first half of 2025, a total of 110,000 residential units received building permits – a 2.9 percent, or 3,100 unit, rise from the same period in 2024, which had seen the lowest first-half figure since 2010. These figures encompass permits for both new residential buildings and units within existing structures.

Specifically, approvals for new residential buildings reached 15,200 units in June 2025, marking a 9.5 percent, or 1,300 unit, increase year-over-year. Across the first six months of the year, approvals for new-build apartments and houses rose by 4.3 percent – equating to 3,700 additional units – compared to the first half of 2024. A significant driver of this expansion was a 14.1 percent increase, or 2,600 units, in approvals for single-family homes, bringing the total to 21,300.

Two-family home approvals, however, saw a decrease of 8.3 percent (-500 units) to 6,000. Multi-family homes, which represent the largest segment of construction, maintained a relatively stable level, with 57,300 new units approved in the first half of 2025-a marginal increase of 0.1 percent (+31 units) compared to the previous year.