Subsidies about to end

House building: “Many are crawling out of their holes again”

Experts are seeing a slight turnaround in new construction thanks to cheaper loans.

(Bild: Pressefoto Scharinger © Daniel Scharinger)

The first tender feelings of spring are emerging among domestic house builders. Much of the work that has been piling up over the past few years of crisis is now being tackled - from new builds and renovations to technology upgrades. But the possible end of subsidies is causing new uncertainty.

The crowds at the Graz home builders' fair are huge. After some difficult years, a sense of optimism can be felt for the first time. On average, private households have slightly more money at their disposal, while minimum wages rose by 8.5 percent over the previous year as a whole, significantly more than consumer prices. So there is a little money in the pot, even if there is still no sign of a spending spree.

Funding jungle: visitors well informed but still unsure
This becomes clear when you take a look at the individual trade fair stands. The information desks dealing with housing subsidies and energy systems are the busiest. "The people who come to us are well informed, but there is still a lot of uncertainty," says one consultant. The focus of many conversations is the end of the federal subsidy for replacing heating systems (the state wants to retain its incentive system). In general, the billion-euro budget shortfall and new political constellations at federal and state level are causing quite a stir in the funding landscape.

The home builders' fair for building, living and furnishing is celebrating its 40th anniversary.

(Bild: Jürgen Fuchs)

Probably also due to this uncertainty, financing expert Daniel Rieglbauer is currently seeing an increased trend towards new builds, whereas recently the focus has been on buying or renovating. "We had a very strong start to the year, of course also due to falling interest rates," says the Hartberg native. Many interested parties are now taking action. Most of those who come to him for advice are well prepared and are not about to embark on an adventure with their dream home: "Most people who come to us for advice have already thought about it. The rejection rate is less than five percent."

"The ups and downs are difficult"
Jürgen d'Ambros knows both sides; his company Die Neuen advises on new builds as well as renovation projects. "The last few years have been difficult because new construction has virtually collapsed. This doesn't just affect the private sector: large companies have also renovated more than they've built." Due to the "funding push", demand was so high that he sometimes no longer had enough manpower to handle everything. "The ups and downs are difficult," and there is hardly any planning security.

Strong demand for intelligent home control, skilled workers in demand
Technical upgrades have been a major topic for years, whether for new builds or renovations - the keyword here is "smart home". Many customers want to control their entire home technology - from heating and shading to alarm systems - from one central location. Demand is high, for example, at the domestic specialist Smartlife from Gleisdorf, and Bernhard Posch's company is currently looking for specialists to meet the demand. A complete retrofit costs around 3000 euros and can be completed within two to three weeks, depending on the customer's specific requirements.

Bernhard Posch with an example of centrally bundled building technology

(Bild: Jürgen Fuchs)

In addition to necessary renovations and upgrades, investments in well-being are also on the rise again. Andrea Wack and her company BETA Wellness have whirlpools and saunas in their range and are delighted with the strong interest. "With spring, garden planning comes back into focus," and the budget doesn't have to be excessive: The entry-level pool is available for around 8000 euros, including delivery and installation. For outdoor saunas, you have to dig much deeper into your pockets.

Andrea Wack presents saunas for indoors and outdoors at the Häuslbauermesse.

(Bild: Jürgen Fuchs)

Sustainability: Building cheaply means building expensively
Above all, the sustainability factor is becoming increasingly important. The cliché that environmentally friendly equals expensive is rejected by the Graz-based "Initiative baubiologie.management": "If you build 'cheaply' at the beginning, you will have problems in ten or 15 years and won't be able to get out of debt," says a consultant. The price differences are becoming smaller and smaller, and if in doubt, he recommends saving on fittings "and not buying a Mercedes" instead of skimping on construction methods and materials.

Financing professional Rieglbauer also emphasizes not to be put off by prices that appear high at first glance, because: "Building prices will always rise." In his experience, there is no perfect time to take the big step; he often hears from his customers: "If only we had done it earlier and not waited ..."