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Source: ifo Insitut © Timber-Online

germany

Substantial increase in cancellations in residential construction

Article by Gerd Ebner (adapted for holzkurier.com; translated by Eva Guzely) | 11.05.2023 - 09:52

The reasons for the renewed increase in cancellations are rising construction costs and higher interest rates on financing, as a result of which many residential construction projects are no longer profitable. Business expectations are at minus 56 and many companies fear losses.

Currently, 25.5% of the surveyed companies are already reporting a lack of incoming orders. For comparison: One year ago, in March 2022, only 8.6% gave that assessment.