Latest Analysis of the Housing Market in 2025
In the heart of Germany, the city of Aachen is grappling with a pressing issue – the shortage of affordable housing. The housing market is under strain, particularly affecting low-income households, families, the elderly, and people with disabilities.
According to the latest housing market report, high construction costs, rising interest rates, and strong demand are exacerbating the competition for affordable housing. This situation is particularly challenging for young families, leading to outmigration from the city.
However, the city's deputy mayor for housing, social affairs, and the economy, Thomas Hissel, assures that the situation is serious but not hopeless. To address this issue, Aachen has devised a two-pillar approach, encapsulated in the "Handlungskonzept Wohnen" (Housing Action Concept).
The first pillar involves the renovation, densification, and expansion of the existing housing stock. This includes the "Urban Living with Children" project, which is developing guidelines for family-friendly, large apartments in central locations. The city is also investing in its municipal housing association and strengthening Gewoge, a leading construction company, to complete new projects like the one at the Burtscheid Bridge, which will deliver 197 apartments and living spaces by mid-2026, mostly publicly subsidized.
The second pillar focuses on securing and creating accessible, affordable, and need-oriented housing. A key aspect of this is aging-appropriate and barrier-free housing, as 87% of people in need of care live in their own homes. In 2024, 578 new subsidized housing units were approved, with €67.5 million flowing into publicly funded housing.
The city's housing market report serves as a reliable planning basis for the development of integrated strategies and targeted housing policy instruments. It also provides insights into long-term trends on the Aachen housing market, which are regularly analysed by the city's department for housing, social affairs, and integration.
For those interested, the housing market report 2025 is available for request and online. The department's press releases are also available via RSS feed for subscription. The city administration and the Chair of Planning Theory and Urban Development at RWTH Aachen University are among the other participants involved in this solution.
In conclusion, Aachen is taking decisive steps to alleviate the housing crisis, with a strategic and implementation-oriented approach that prioritizes accessibility, affordability, and need-oriented housing. The city's efforts aim to create a sustainable and socially just land use, flexible housing concepts, and a joint regional settlement and mobility development.
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