Why don't construction prices go down?

Why do you think that? Lately, it feels like you read more often that plots of land are being returned or similar, which means if it's purely about availability, the timing is probably not that bad. At least until about a year ago, things were rather worse. Depending on the region, though, it's still not easy. Prices and interest rates are another matter altogether.

Of course, it's a complex question. But we are applying for a municipal plot. In the last round, when interest rates were still 1%, the QM still cost 200 euros and now 400; the price was set before the interest rate jump. At the same time, KFW55 became mandatory and the subsidy was eliminated due to tightened heating requirements. You know the construction cost increases better than I do. Therefore my question: Are there already signs that construction (material) prices are easing or negotiations becoming easier? We would have about 3 years to start building.

A neighbor of ours is a sales manager at Bauhaus. Prices have only known one direction since Corona, and that is upwards. Recently, a minimal short-term decline was observed. According to him, many producers are scaling back production. Suppliers are already warning for 2024, the CO2 levy will be increased, and the truck toll is also rising. Anyone who believes it will become significantly cheaper again is on a losing streak. If prices were to plummet, there would be completely different problems.

Prices must and will fall. Currently, it is truly the peak and really the worst time to build. Because in a market economy, supply and demand still apply. And if there is no demand, then the price must be reduced. Maybe not by 50%, but it is very likely that prices will settle at -20 to 30%. Because instead of 100 interested parties, construction companies now have maybe 5.

Prices will not fall significantly. Stagnate, yes. But where should the price go down? CO2 tax, wages rising, energy expensive. Toll expensive. If capacities in the market are too large, quantities will be reduced. But not the prices. Never.

A neighbor of ours is a sales manager at Bauhaus. Since Corona, prices have only gone in one direction, and that is up. Currently, a minimal short-term decline was observed. According to him, many producers are reducing production. Suppliers are already warning for 2024, the CO2 tax is increasing, and truck tolls are also rising.
Anyone who believes it will get significantly cheaper again is on a losing track. If prices were to plunge to rock bottom, there would be completely different problems.

Full agreement. Currently, if at all, there are minimal price reductions for "small stuff." Everything that needs to be produced or transported with effort is not getting cheaper, as costs are rising (CO2, tolls, personnel, ...). Wienerberger has announced it will close half of its plants by the end of the year and stop production because warehouses are overflowing due to low demand. After the Corona boom years, they are now carrying out long-overdue maintenance work and are riding out the demand slump. I truly do not see prices falling right now...

You are right at the moment. But let's wait and see how it looks in a year. I'll just say car manufacturers as a keyword. During the pandemic, they hardly gave any discounts and even raised prices significantly by up to 20%. And when demand dropped, prices were lowered again and more discounts were given. Some people might not have been able to imagine that.