Badly needed housing construction in Germany is not gaining ground, as the number of building permits for new construction and apartment conversions fell in April to well below the level seen a year ago, data released on Tuesday showed.
The Federal Statistical Office in Wiesbaden said new construction permits amounted to 14,300 in April - 17% less than a year earlier.
Including apartment conversions, building permits amounted to 17,600 - also an annual drop of 17%.
Housing has become a major political issue as residents in major German cities complain about the lack of affordable housing. Far-right parties, such as the Alternative for Germany (AfD), have tried to capitalize on the housing situation by blaming immigration for the country's housing woes.
The data showed that building projects have become much more expensive over the past two years due to the sharp rise in interest rates on loans and higher construction costs. Building permits have been falling for months. Construction and property industry associations are calling for more state subsidies in view of the housing shortage, particularly in metropolitan areas.
The Wiesbaden office said authorities gave the green light for 57,100 new-build flats between January and April - or nearly a quarter less (23.7%) than during the same period a year ago.
The number of building permits for single-family homes fell particularly sharply in the four months by almost a third to 12,300 - a 32.5% decline.
The largest building type in terms of numbers - apartment blocks - saw a drop of 20.2% or one fifth to 38,500 flats.
Including the conversion of flats, authorizations from January to April totalled 71,100 homes. This was 21% less than in the same period last year.
