Construction costs are currently skyrocketing

In my opinion, building is always the better solution. Especially with regard to retirement, everyone should, if possible, structure their financing in such a way that they have no financial obligations when they retire. A second aspect is also important. The aging own house also requires renovation after 20 or 30 years. Perhaps the floor plan in the building also needs to be optimized (living on one level). If such things are only tackled in retirement, sufficient financial resources must be available. Who wants to pay rent from their pension later? Probably no one willingly.

But precisely because of the retirement issue, I would not necessarily recommend building a house to everyone. A house is a huge chunk of assets. Those who built in the outskirts of certain areas 40 years ago can now ask for almost a million for it. And even in the countryside here in the Southwest, you can get 400-500k for any wreck, even in rural areas. What use is that to people? None. Because to access that money you have to sell the house. Then there are maintenance costs, which are certainly not negligible for a 40-year-old house and lead to the mentioned run-down houses. For me, the goal still applies that a house should not totally dominate the assets. Living rent-free is nice and all, but it is not cost-free. You also need sufficient income in old age to cover the costs, whether from a pension or private retirement provision. Moreover, people usually calculate the rent-free living quite optimistically. How many people would stay as tenants, two people in a 5-room apartment, when they are old? Very few. Why do we then consider this completely normal and reasonable with houses?

Imho, one should not spend their life preparing for retirement. You live here and now and maybe still in 30 years, who knows. The fact is, there are more and more retirees for fewer and fewer contributors. Hoping to receive an adequate pension for another 20-30 years is illusory. Honestly, I also find the concept of retirement pension itself outdated for many professions. I have a lot of colleagues who retire in good health and performance because they can or because it is even not easy to continue working. Of course, it strongly depends on the profession, but many professional groups will work significantly longer in the future, why not? It doesn’t have to be 40 hours a week, but spending decades exclusively indulging in hobbies, walking the dachshund, etc. simply has no future.

The argument is indeed correct that the landlord also experiences inflation and rents have to increase… However, I fear that inflation is also used as a pretext to maximize profits.
Next year, inflation will certainly be lower.

The refinancing of the sometimes heavily indebted real estate companies will soon hit hard.
At the same time, new construction is being drastically scaled back.
I am curious about the number of building applications for Q2/2022.

In my opinion, one should not spend their life preparing for retirement. You live here and now and maybe also in 30 years, who knows. The fact is, there are more and more retirees and fewer and fewer contributors. Hoping to receive a decent pension for another 20-30 years is illusory. Honestly, I also find the concept of retirement itself outdated for many professions. I have a lot of colleagues who retire in perfect health and with full capacity simply because they can or because continuing to work is not even easy. Of course, it depends heavily on the profession, but many professional groups will work much longer in the future, and why not? It doesn’t have to be 40 hours a week, but spending decades solely on hobbies, walking the dachshund, etc., simply has no future.

There are other wishes people want to fulfill during retirement. And everyone hopes to be able to fulfill them in reasonably good health. I also don’t know anyone who would voluntarily work even one day longer. Most people are already exhausted and have health problems by the time they retire. Not only in physically demanding jobs. Those who are allowed to retire at 67 may have 10 to 15 good years left to finally use to fulfill the wishes they had to postpone for decades without any obligation.

There are other wishes that one wants to fulfill during retirement. And everyone hopes to be able to fulfill them in reasonably good health. I also don’t know anyone who would voluntarily work even one day longer. Most people are already exhausted by the time they reach retirement age and have health problems. Not only in physically demanding jobs. Those who are allowed to retire at 67 may still have 10 to 15 good years to finally use to fulfill the wishes they had to put off for decades.

Then many probably don’t have the right job. It should at least be somewhat fulfilling; unfortunately, you spend more time at work than with your kids, wife, friends. I would like to work 20 hours a week at 50. A bit of going to the office, a bit of hobby craftsmanship on the side for myself, and chillingly coming home in the afternoons. I know, for example, many where the wife completely loses it since the husband retired. Suddenly he comes shopping with her and interferes with everything – although he never cared about it in the last 30 years :D

Then many probably just don't have the right job. It should be somewhat fulfilling, unfortunately you spend more time "at work" than with the kids, wife, friends. I would like to work 20 hours a week at 50. A bit of going to the office, a bit of doing some side crafts for myself, and coming home relaxed in the afternoon. I know, for example, many where the wife goes completely crazy since the husband retired. Suddenly he comes shopping with her and interferes with everything - even though he didn't care at all for the last 30 years :D

Well, they probably only realize then that their marriage is not so great anymore.

We are looking forward to when my husband doesn't have to work anymore in a bit more than a year. He has taken the earliest possible date for partial retirement. But we want to travel a bit more than now, gladly spend the cold season in warmer places. For example, I want to go to India by land, that takes time.