Germany faces a growing crisis of affordable housing, exacerbated by rising expectations and an increasing demand for space, according to economist and housing expert Matthias Günther of the Pestel Institute.
In an interview with the “Rheinische Post” Günther highlighted a significant shift in living space per capita. He noted that in the early 20th century, around the 1950s, the average living space per person was approximately 14 square meters. Today, that figure has risen dramatically to roughly 50 square meters per person – a historically unprecedented level.
Günther attributed this phenomenon, in part, to the tendency for individuals to remain in their homes even after their children have moved out. “People are living on significantly larger living spaces than they actually need” he explained. “Given the current societal context, this is becoming increasingly unsustainable.
To stimulate construction and alleviate the housing shortage, Günther advocated for a substantial credit program. He suggested that such a measure would provide immediate support while ultimately proving fiscally manageable. The expert believes this support is essential to address the escalating challenges within the German housing market.