Funding for families who want to buy or build a house is to be expanded. According to Federal Construction Minister Geywitz, the income limit for eligible families should be increased. But there are no concrete numbers yet.
Federal Construction Minister Klara Geywitz wants to expand the support program for families, which is intended to enable them to build or buy a house using low-interest loans. To achieve this, the income limit should be raised so that more families can take advantage of the “Home Ownership for Families” (WEF) support program.
“We are working hard to improve home ownership for young families,” said the SPD politician to the “Neue Osnabrücker Zeitung”. In addition to the income limit, the loan amounts could also increase. However, the minister did not give any specific figures; the votes were still ongoing. Ultimately, it is about a “significant funding volume” that needs to be financed stably. However, Geywitz was confident “that the improved conditions will be in place in a few weeks.”
The funding program has been running since the beginning of June
The WEF funding program started at the beginning of June. With the help of the program, families can receive “reduced interest loans from their financing partner” to build or buy a new climate-friendly house, it says Website of the Federal Ministry of Housing, Urban Development and Construction. The basis is a loan with reduced interest rates, which runs through the Kreditanstalt für Wiederaufbau (KfW).
Families with at least one minor child are entitled to this funding. To date, they have been allowed to have a maximum taxable household income of 60,000 euros. With each additional child, this limit increases by 10,000 euros. According to the Ministry of Construction, around 75 percent of all German households are eligible to apply. A total of around 350 million euros would be available for interest subsidies.
More money for promoting Student dormitories
In addition to expanding the support program for families, Geywitz promised further measures to provide financial support. The funding for dormitories for trainees and students should be extended until 2025. The minister also announced additional investments of one billion euros. There should be a further 150 million euros for the age-appropriate conversion of houses.