Construction costs rise by up to 30%

Basically, they may not go back, but market exaggerations will not be sustainable in the long run. However, none of us has a crystal ball.

I have a house for you, take a look at the description :-p. You see, it’s selling. That would put the market price of my pad at around 800k€, that’s the topic of market exaggeration
Scout-ID: 128602938

Got a house for you, have a look at the description :p. You see, it’s going well. That would put the market price of my place at about 800k€, that’s on the topic of market exaggeration
Scout-ID: 128602938

That’s great – maybe you can tap into the energy fields of the power line to charge batteries. That way you can refinance the great terrace, which counts as 50% of the living space.
But there’s no bubble, and for all eternity buyers and banks will give top ratings to such prime properties. Mannesmann Mobile, when it’s not going well, you end up empty-handed.. ;)

Or have we perhaps left some free market economy somewhere after all?

Of course, quite a lot even. That is exactly why prices for new buildings will not go down, but only the rate of increase will change. Actually falling prices are usually only seen on the market when demand collapses sharply, supply is no longer needed, or a technological advancement combined with new methods brings a disruptive change. None of this is on the horizon.
The market regulates prices, but not participation. If household incomes do not rise, there will be fewer builders. This side of the market is concerning in all areas of basic supply.

I would like to provide a positive example:
Solid architect-designed house KFW55, gable roof, air-to-water heat pump, controlled residential ventilation, wooden windows, partially basement, 200m2 solid wood parquet.
Total living area 305m2, heated 270 m2.
Double garage 9.6x6 m.
Architect's services phases 1-5, partially 6+7, all individually contracted.
Start 06/20, move-in early 09/21.
The construction costs are pretty much exactly on the architect's estimate.
The contract for the shell was 30k under budget, plus the 3% VAT brought another approx. 12k savings. The additional costs for the budgeted plastic windows were easily manageable.
Including the garage, I am currently at around 2,250 €/m2 plus approx. 50 in own work.

We also approached various general contractors at the beginning. Leaving aside the poor designs, we would certainly have paid about 15% more with them.

You need a good architect, time and a network.

Your trade also started about three quarters of a year before the massive cost increases began.

Your trade also started about three quarters of a year before the massive cost increases began.

Sure, but the first post here also mentioned the start of construction almost a year ago.