New Law to Accelerate Housing Construction in Germany from 2025

Since early 2025, Germany has implemented the “Gebäudetyp-E-Gesetz” (Building Type E Act), aimed at simplifying and accelerating residential construction by adopting a more flexible approach to building standards. It is part of the federal government’s broad housing initiative to address the housing shortage in densely populated regions.

Building Type E (from “Experimental”) is a new construction standard that permits deviations from strict DIN norms and technical building regulations, provided that the safety, health, and functionality of the building are not compromised. The core idea is to grant developers more freedom while maintaining basic housing quality requirements.

Examples of possible deviations include: use of non-standard building materials, reduction of minimum ceiling height requirements, simplified rules on sound insulation or energy efficiency, reduction in the number of sanitary facilities while complying with hygiene standards.

The goals of the law are: to shorten approval and construction periods, to reduce construction costs (by up to 10–15%), to promote innovation and new technologies in construction, to increase the supply of affordable housing in high-demand regions.

The law is integrated into the German Building Code (BauGB) and complemented by provisions in §16 and §34 of the Building Regulations (BauO). For every project deviating from the standards, a mandatory expert safety report is required.

However, some architectural and construction associations (e.g., SRL e.V.) have expressed concerns about possible risks, such as: potential decline in housing quality, certain legal uncertainties, as it is not always clear which deviations are permissible, and increased social segregation if “Building Type E” is applied predominantly in low-income neighborhoods.

The Gebäudetyp-E-Gesetz may serve as a precedent for comprehensive reforms of building regulations. It is already being applied in pilot projects in Berlin, Hamburg, and Munich. If successful, the law could be extended to a broader range of building types, such as dormitories, schools, and social institutions.

Conclusion

The Gebäudetyp-E-Gesetz represents an important step towards modernizing building regulations in Germany. It balances the need to accelerate housing construction with the state’s obligation to ensure quality, safety, and sustainable urban development. The success or failure of the initiative will depend on its practical implementation and the willingness of local authorities to apply the law flexibly.