Wait with the building application because of the child construction allowance

...and we moved in this year.

We had hoped because an article came out in between, where the move-in date was mentioned as the cut-off date...

I have been following all official sources since the beginning of February. I have never heard anything about it from an official source.

Dieter Keller / 06/08/2018, 08:15 a.m.
Berlin (MOZ) Retroactively from the beginning of the year, families are to receive the new homeownership allowance for their children. From August, applications can be submitted to the KfW. The procedure is surprisingly makeshift.
When Horst Seehofer tackles something, it has to be a success. This is also the case with the child building benefit: No one yet knows how many families will use this new support. But the CSU chairman and Federal Minister of Building already demanded more money from 2019 in the budget committee of the Bundestag than his finance colleague Olaf Scholz (SPD) had planned. This was reported by participants of the non-public meeting.

The new family support is introduced in a surprisingly makeshift manner: There is no separate law, only an item in the 2018 federal budget, which the Bundestag is to approve at the beginning of July. This year, 400 million euros are planned, twice as much next year. On this basis, Seehofer wants to commission the state bank KfW to process the applications and pay out the money. Advantage: It has experience with such applications. The state grant for burglary protection is also based on this.

Currently, the KfW website states only that no applications for the child building benefit can yet be submitted. But it should start in August according to Seehofer’s will. Punctually before the state election in Bavaria, critics note.

The grant is received by families with at least one child under 18, if their annual income is a maximum of 75,000 euros plus 15,000 euros per child. A couple with two children thus receives it if they earn a maximum of 105,000 euros together. The decisive factor is the average income of the last two years. The federal government pays 1,200 euros child building benefit per child for ten years. With two children, this amounts to 24,000 euros.

Families that moved into their own four walls at the beginning of this year are in a good position, according to the budget committee: Money is available retroactively from the beginning of the year. The decisive factor is the move-in date: If it was on January 1 or later, the couple benefits from the full subsidy, even if the property was built last year – and although at the time of planning and financing they could not assume they would receive state support.

In addition to the child building benefit, Seehofer also wants to introduce a special depreciation for the construction of rental apartments “in the affordable rental segment” as well as a tax incentive for energy-efficient building renovation, as agreed in the coalition agreement. According to the coalition agreement, only two billion euros are available for all this together until 2021. Seehofer’s concern is apparently that this money will not be sufficient. Hence his advance to Scholz, although no amounts were mentioned. A reaction from the Finance Minister is not yet known.

Seehofer already received support from the construction expert of the CDU/CSU parliamentary group, Kai Wegner (CDU): Since the federal government alone bears the child building benefit, there is a need for readjustment. The needs-based financing of the projects is “of course on the agenda” when distributing additional tax revenues. Families do not have to worry that the money will not be enough: There is a commitment that everyone will benefit from the child building benefit. The Finance Minister has to see where he gets the money from.

The support is one of the measures to ensure 1.5 million new apartments during this legislative period. Almost 285,000 were built last year. According to the Federal Statistical Office, that was 2.6 percent more than the year before. However, at least 350,000 to 400,000 per year are needed. In addition, refugee accommodations are also included in that number.

"Dieter Keller / 08.06.2018, 08:15 am Berlin (MOZ) Retroactively from the beginning of the year, families are supposed to receive the new home ownership allowance for their children. From August, applications can be submitted to the KfW. The procedure is surprisingly makeshift. When Horst Seehofer tackles something, it has to be a success. This is also the case with the Baukindergeld: No one yet knows how many families will use this new subsidy. But the CSU leader and Federal Minister of Housing already demanded more money from 2019 in the Budget Committee of the Bundestag than his finance colleague Olaf Scholz (SPD) had planned. This was reported by participants of the non-public session.

The new family subsidy is being introduced in a surprisingly makeshift manner: There is no separate law, only an item in the 2018 federal budget, which the Bundestag is expected to approve at the beginning of July. This year, 400 million euros are planned, twice as much next year. On this basis, Seehofer wants to assign the state bank KfW the task of processing the applications and paying out the money. Advantage: It has experience with such applications. The state subsidy for burglary protection is also based on this.

Currently, the KfW website only states that no applications for the Baukindergeld can yet be submitted. But according to Seehofer’s intention, it should start in August. Just in time before the state election in Bavaria, as critics note.

The subsidy is granted to families with at least one child under 18 if their annual income is a maximum of 75,000 euros plus 15,000 euros per child. A couple with two children therefore receives it if their combined income does not exceed 105,000 euros. The decisive factor is the average income of the last two years. The federal government pays 1,200 euros of Baukindergeld per child for ten years. With two children, that adds up to 24,000 euros.

Families who moved into their own four walls at the beginning of the year are in a good position, according to the Budget Committee: The money is paid retroactively from the beginning of the year. The decisive factor is the move-in date: If it was January 1 or later, the couple enjoys the full subsidy, even if the property was built the previous year – and although at the time of planning and financing it could not have been assumed that they would receive state funding.

In addition to the Baukindergeld, Seehofer also wants to introduce a special depreciation for the construction of rental apartments "in the affordable rental segment" as well as a tax incentive for energy-efficient building refurbishment, as agreed in the coalition agreement. According to the coalition agreement, only two billion euros are available for all this together until 2021. Seehofer’s concern is apparently that this money will not be sufficient. Hence his initiative with Scholz, although no amounts have been named. A response from the finance minister is not yet known.

Seehofer has already received support from the construction expert of the Union faction, Kai Wegner (CDU): Since the Federation alone bears the Baukindergeld, there is a need for adjustment. The needs-based financing of the projects is "of course on the agenda" when distributing additional tax revenues. Families do not have to worry that the money will not be sufficient: There is a promise that all eligible parties will receive the Baukindergeld. The finance minister has to see where to get the money from.

The subsidy is one of the measures to ensure 1.5 million new apartments during this legislative period. Almost 285,000 were built last year. According to the Federal Statistical Office, that was 2.6 percent more than the year before. However, at least 350,000 to 400,000 per year would be necessary. Moreover, refugee accommodations are also included in the number."

Well, the author simply researched poorly and wrote something wrong. At that time, the date January 1, 2018, was fixed. This applies both for building permits and the notarized purchase contract date.

So does the number of children now definitely count as of the application date (which must be submitted within 3 months after moving in)? There was once the statement that definitely the date of the building permit would count.

We currently have one child and are in the shell construction phase, moving in planned for 12/2019. So if we have another child by 03/2020, is there double funding?

So now the number of children definitely counts as of the application date (which must be submitted within 3 months after moving in)? There was once a statement that the date of the building permit would definitely count.

We currently have one child and are in the shell construction phase, move-in planned for 12/2019. So if we have another child by 03/2020, will there be double funding?

You can't influence whether there will be another child by 03/2020 or if you move in earlier, who knows. At least now is the right time to monetize the 2nd child. :-p

Why are you in the shell construction phase and only moving in in 15 months???