From the real estate boom in Germany, many will benefit – but especially the Federal government, the Länder and the municipalities. The analysis of tax data by Günter shows the front of the wood, a real estate economist at the EBZ Business School in Bochum. “The public sector has painted since the beginning of the boom nine years ago additional tax cumulative revenues of 103 billion euros from the real estate sector,” says the front of the wood. “It is, therefore, the actual winner of the 2010 outbreak of Investmenthypes to the concrete gold markets.”
The Boom on the German real estate market lasts for nine years. In 2010, professional investors and high net worth individuals have started at the end of a private investor to acquire a massive residential and commercial real estate. You responded to in the autumn of 2008 outbreak of the financial crisis. In particular, rental properties were in high demand. “Rental apartments are in uncertain capital market phases as a safe investment is very popular, because people have to live in a time of crisis,” says real estate economist at the front of the wood.
in Addition, the Run on the property markets is fueled by the monetary policy of the European Central Bank. It has reduced after the outbreak of the financial crisis, the interest rates to zero percent and keeps it there ever since. Thus, real estate loans fell dramatically. This makes it buyers possible, to pay higher and higher prices for real estate. At the same time, project developers began to build more and more new buildings, which they could sell at higher prices to investors.
“This situation has increased the tax revenue from the real estate sector since then, massively,” says the front of the wood. In 2009, the revenue of the public sector from property sales due for purchase of land amounted to a tax of only around 4.9 billion euros. Last year it was 13.1 billion Euro. “Overall, the more revenue from the acquisition of land to be added expensive as compared to the base value of 2009 in the following eight years to 34.8 billion euros,” says real estate economist.
property tax, the tenant and the owner
Also charged were flowed over these years through additional tax revenue from building construction investment more worth 55.5 billion euros in the public coffers. In 2009, income tax, sales tax and corporate taxes from building construction amounted to 51.5 billion euros. In 2012, there were already to 58.3 billion euros, and in the last year from 63.7 billion euros – a Plus of 12.2 billion euros, compared with the beginning of the boom.
In addition, the municipalities have increased the rate to you alone by chance at the end of the basic tax. This is less a direct consequence of the financial crisis, and more of the cash position due in the municipalities. Nevertheless, – will be charged to owners and tenants. Were added in the year number at the end of fiscal levy to the municipalities in 2009 to 10.9 billion euros last year, almost 14 billion euros. “Cumulatively, from 2010 to 2017 the amount to more revenue in the property tax compared to the base value in the year 2009, a total of 13.4 billion Euro,” says the front of the wood.
Due to the high additional revenue, the call for more involvement of the state in social housing is also louder again. “Due to the greatly increased Rents, less and less households are able to afford an apartment,” says Ulrich Ropertz, managing Director of the German Mieterbunds. “The data show that the Federal government and the countries generate more than enough additional tax revenues through the real estate boom, in order to create far more social housing than in the past.”
in 2017, were a total of 26,000 new social homes built. In fact, you would be required to “at least 80,000 social housing and a further 60,000 in rental housing in the affordable housing segment per year, in addition to the current volume of construction,” says Axel Gedaschko, President of GdW Federal Association of German housing and real estate companies. The Association represents the interests of 3000 private and public housing companies with a total stock of around six million homes.
2020, the funding volume again
For the investors to have paid off for the home purchases. They were able to collect since 2010, increasingly higher Rents in the large and medium-sized cities. “The tenants bear the burden of misguided policy decisions that in the past municipal, provincial and Federal housing stocks in a large number of financial investors were sold”, says tenants ‘ Association managing Director Ropertz. The same time first of all, the promotion of social housing has been massively cut back.
“The policy assumed that the number of inhabitants in Germany would contract in the long term,” says Ropertz. “It was not, however, taken into account that due to the Trend towards Single life is actually rising, the number of households and in addition, more and more people from rural areas in search of work in the cities.”
As social housing to fall after 30 years of Rent control, shrink their numbers have been increasing for years. “In 2017 in Germany has been built only 26,000 new social homes, but the 60,000 existing like social housing from the Rent control,” says Ropertz. Although the Federal government has increased the countries inflow of funds for social housing construction for this year and next year to 1.5 billion euros. “But in 2020, the volume of funding to fall back again by 33 percent to just one billion euros,” says Ropertz. In this year’s promotion corresponds to only 1.95 percent of the last year generated revenue of property acquisition tax, and tax revenues from construction.
Alexander Wiech, managing Director of the owner Association Haus & Grund sees the countries in the duty. To Bavaria and Saxony, all the länder have increased since 2010 for the purchase of land and real estate property transfer taxes from the original 3.5 percent to 6.5 percent. The more expensive for private investors and housing companies and the acquisition of building plots and as a result, the construction cost in the amount driven.
“The land transfer tax quickly the Federal unit will have to be reduced again to a level of a maximum of 3.5 per cent,” says Wiech. Alone, Rheinland-Pfalz have taken in 2016, the real estate transfer tax almost 462 million euros, almost twice as much as in the years before the real estate boom, says GdW-chief Gedaschko. “In order for countries to benefit from a failed development, about which they complain: more and higher land costs and less affordable housing.”
What is the BEV with your apartment package?
at Least in the sale of the Federal owner of land for residential construction projects want to show Berlin in the future, more accommodating. The Bundesanstalt für immobilienaufgaben, Bima, has sold a Portfolio of a total area of around 470,000 hectares, one of the largest property owners in Germany, in the years from 2009 to 2017, a total of 17.800 land. “This revenue was the proceeds of a total of around 3.9 billion euros,” says the spokesman Thorsten Grützner. The former Federal Minister of Finance Wolfgang Schäuble (CDU) had always insisted, in the areas in the bidding process, sell for the highest prices to fill the tax coffers as full as possible.
This July, the Bundestag has, however, decided to change the sales practice of the Bima. In the future, municipalities of the Federal Agency to acquire land for housing at preferential rates and to reach the same conditions of housing companies, housing cooperatives and private developers.
This could be only the first step, says GdW-President Gedaschko: “the land of the Federal railway assets should be included in the Considerations for the discounted levy.” The Federal railway assets (BEV) is a special Fund of the state to the non-operating former surfaces of the rail. In seven years, first building rights to the land on which the railway co-operatives built in big cities far more than ten thousand apartments. In Munich alone it is going to be around 3000 apartments, says Roland Beck, member of the Board of railway cooperative München-West.
it is Feared that the BEV will auction the land after the expiry of the building rights to the highest bidder. The ailing cooperatives would not be in this case, in the situation, with strong financial investors to keep up. This could then increase the rent for the land. The cooperatives would then have to raise, in turn, Rents are strong. The concern seems unwarranted: Already in the year 2001 by BEV 65.000 railway were sold homes for approximately 2.3 billion euros to investors.
