Germany's social housing stock shrinks by 20,000 units despite new builds

Germany lost around 20,000 social‑housing units by the end of 2025, reducing the total stock to about 1.03 million from 1.05 million a year earlier. The decline occurred despite the construction of 27,283 new subsidised rental homes and 4,701 additional dormitory places for students and apprentices.

In the most affected state, North Rhine‑Westphalia, 6,773 new units were built while 26,421 fell out of the rent‑binding scheme, creating a net loss of 18,538 homes. Berlin lost 2,957 units and Bavaria 2,790. Some states saw modest gains: Baden‑Württemberg added 3,046 units, Niedersachsen 1,240 and Saxony 944.

Housing Minister Verena Hubertz (SPD) announced a plan to allocate €23.5 billion by 2029 to reverse the trend. Left Party MP Caren Lay criticised the proposal, stating, "These funds are needed every year – especially now that private housing construction is stalled," and added, "The temporary rent binding is a gift to investors, not a sustainable social solution."