As the Federal Office of Statistics has announced, the number of residential construction permits in Germany has fallen by 6.6 percent in the first quarter of this year and now stands at 79,200 units. This is the first decline since the first quarter of 2012. Most affected are single-family dwellings. Here, the number of newly issued permits slumped by 15.3 percent.

The still high level of construction permits and the bottlenecks in the construction industry continue to point to a slightly rising number of house completions for the time being and to demand for mortgage loans remaining high. Even if the recent fall consolidates into a new trend, there is no reason for panic. A collapse in house building is not to be expected, but rather a cushioned fall from current levels, which are meanwhile high.