Construction costs are currently skyrocketing

Um, yes. There is no capital stock. If it were different, the federal budget would not be currently subsidizing the pension fund with 110 billion EUR annually.

I agree with you. They should have switched to a funded pension system a long time ago. My professors were already saying that about 15 years ago at university. This can't continue for much longer. The high subsidies to the health fund will also come back to haunt us. But that is the problem with politics. They are mostly opportunists. They don't always do what is good for the population, but rather what brings them more votes.

Um, yes. There is no capital stock. If it were otherwise, the federal budget would no longer have to annually contribute 110 billion EUR to pensions by now.

Every euro that comes in through pension contributions from my side goes directly back out again, plus 110 billion euros from eco tax, mineral oil tax, value-added tax, etc.
That makes a redistribution sum of about 450 billion euros per year. If no one pays contributions anymore, the whole thing is immediately over. Nothing is saved up.

I think we understand different things by “capital stock.”

From an economic point of view, a capital stock is not an account or a piggy bank in which saved money lies, but it consists of the real assets that generate the returns that can be distributed at all. A pile of money generates nothing.
Such a capital stock is also what yields returns for funded insurance schemes. They don’t open money storages either but invest.

In addition, pension insurance funds are used to finance benefits not related to insurance, the amount of which exceeds the tax subsidies (!!!) (at least as far as I last checked about 5 years ago).

In summary: capital is not the same as money. Well, an unusual wording in a house building forum, admittedly.

I'm from Hannover, lived there for 36 years... I've been away from there for 3 years now, also because of the crazy prices...

400 EUR/m² I can honestly only imagine in a very bad location? Seelze, Garbsen, Lohnde, Sehnde, Ihlten, Langenhagen, Rethen... you don't get more for this price...

Inner-city outskirts like Anderten, Wettbergen are now already at 700, 800/m²...

I studied at Leibniz University in Hannover. That the prices in the city center/edge locations are high was clear to me. But that prices have exploded like this in Seelze, Garbsen, Sehnde etc. honestly surprises me. I'm in a student fraternity and we have a house in the center (between Leibniz University and Conti-Campus) including a garden. It should easily be 1,500 sqm. The villa with a basement pub, billiard and fireplace room should also be worth "a little" :cool:

I studied at Leibniz University in Hanover. I was aware that prices in the city center/outskirts are high. But honestly, it surprises me that prices have exploded so much in Seelze, Garbsen, Sehnde, etc. I am in a student fraternity and we have a house in the center (between Leibniz University and Conti Campus) including a garden. It is probably easily 1,500 sqm. The villa with a basement pub, billiard and fireplace room is probably also worth "a little" :cool:

What do you want to imply with the villa? I don’t quite understand the connection right now.

What do you want to get at with the villa? I don’t understand the connection right now

If the plots at the arse end of nowhere already cost 400 € / sqm. I don’t want to know how much the building (villa) in the center of Hanover is worth. But I assume that the value is determined more by the land than by a house built in 1876 :cool:

Today I read the analysis of Deutsche Bank. Prices stagnate or fall for real estate only temporarily. As soon as the economy picks up again, it goes up.

I myself am curious about how construction loan interest rates will develop. Currently, the downward trend has stopped.