- Geywitz supports priority for residents in land allocation
Federal Minister of Housing Klara Geywitz (SPD) encourages municipalities to allocate plots of land more often to local residents rather than newcomers. "It's causing widespread and rightful frustration when only the wealthy from outside can afford to buy land for construction," the minister told the "New Osnabruecker Zeitung". Communities and municipalities already have various tools at their disposal to create affordable housing. "The key is to better exploit these possibilities to allow residents to build and live at reasonable prices."
This is in response to complaints, particularly from coastal regions, that wealthy newcomers are constantly snapping up plots of land from locals. Geywitz said that some municipalities already use so-called "local preference models". "This allows plots of land to be allocated at discounted prices to locals through a fair process, rather than to the highest bidder. The federal government has advocated for such special rules at the EU level, but they are currently not widely used," the minister added. Her department aims to make the local preference model more well-known and easier to apply.
I'm not going to sugarcoat the situation, but it's disheartening to see that despite the tools available, many locals are still struggling to afford housing due to the high demand from newcomers. I'm not going to lie, it's frustrating to hear about instances where local preference models are not adequately utilized.