Affordable purchasing, construction, and leasing will be facilitated through the promotion of green solutions

In the Bavarian state parliament, the Greens have proposed a comprehensive plan to make housing and construction more affordable, attractive, and sustainable. The plan aims to address the rising cost of housing, particularly for young families, and reduce bureaucracy in the housing industry.

Katharina Schulze, the Green parliamentary group leader, emphasised that everyone has a right to housing, and owning a home can secure a good life in old age. However, she noted that the path there is often unaffordable.

One of the key proposals is the abolition of the real estate transfer tax for the first self-occupied single-family home in Bavaria. This move is expected to benefit many homebuyers, with a family purchasing a house for 500,000 euros saving 17,500 euros under this proposal. The savings could be used for renovation or furnishing of the newly purchased home.

The Greens also want to reduce bureaucracy in the housing industry, especially to facilitate the conversion of other properties into residential space. New construction projects should be realised as much as possible within existing settlement structures.

In addition, the Greens propose introducing a real estate tax C, similar to that in Hamburg, to tax long-term unused plots. This tax would target plots in Bavaria that are deliberately left fallow for speculative gains.

However, Finance Minister Albert Füracker (CSU) criticised the Greens' plan, stating it is outdated and has technical weaknesses. He suggested that the introduction of tax allowances would be a more suitable relief instrument, as they would relieve all buyers to the same extent.

The Greens are also calling for more models that allow "ownership in time," such as hereditary building rights for 99 years. They believe these models can help make homeownership more accessible.

Bavaria has been advocating for a federal-level tax allowance for the first purchase of a single-family home for years. The state currently levies a real estate transfer tax of 3.5 percent, which is the lowest in the country. However, other federal states have increased theirs to 5.0 to 6.5 percent.

The Greens' plan also includes a permanent rent cap in Bavaria, with loopholes, such as for furnished apartments, to be closed. They also propose that municipalities should be able to acquire apartments that have been empty for more than ten years at the market value in the last resort.

Moreover, the Greens propose that Bavaria urgently needs more publicly funded housing in the rental sector. This move is expected to make housing more affordable for those who cannot afford to buy a home.

In conclusion, the Greens' housing plan for Bavaria aims to make housing more affordable for young families, reduce bureaucracy in the housing industry, and promote sustainable construction practices. The plan is currently under discussion in the Bavarian state parliament.