Construction costs for newly built conventional residential buildings in Germany rose by 3.2 percent in May 2025 compared to May 2024, according to figures released by the Federal Statistical Office (Destatis) on Thursday. This increase mirrors the 3.2 percent year-on-year rise reported in the previous reporting month, February 2025. Prices also saw a monthly increase, climbing 0.8 percent between February and May 2025. All figures cited pertain to construction services related to the building, inclusive of value-added tax.
The cost of shell construction work for residential buildings increased by 2.5 percent from May 2024 to May 2025. Concrete work and bricklaying represent the most significant cost factors in this category and consequently, heavily influence the overall index for new residential construction. Concrete work prices rose 1.6 percent year-on-year, while bricklaying saw a 1.5 percent increase. Roofing work experienced the most substantial rise, with prices climbing 4.5 percent compared to May 2024. Earthworks increased by 3.8 percent and timber and interior construction work by 4.8 percent.
Prices for finishing work also saw a rise, increasing by 3.7 percent compared to May 2025. Among finishing works, heating systems and central water heaters, including technologies such as heat pumps, exhibited a considerable price increase of 4.5 percent. These are the most significant cost drivers alongside metalwork within the residential building construction price index. Metalwork prices rose by 2.0 percent, while electrical, security and information technology systems, including electric water heaters and communication systems, increased by 5.7 percent. Prices for external thermal insulation composite systems rose by 3.6 percent.
Beyond new construction, prices for maintenance work on residential buildings, excluding cosmetic renovations, also rose. These prices increased by 3.8 percent compared to May 2024.
The cost of new construction for office buildings saw a rise of 3.5 percent between May 2024 and May 2025, while commercial buildings experienced a rise of 3.4 percent. Road construction prices increased by a more substantial 4.4 percent compared to the same period in 2024.