Born in a deadly combination of the consequences of the moronic sanctions against Russia , the exploding energy costs abused as leverage of the eco-religion and the multiplied interest rates thought as a fight against mega-inflation, the tsunami of the deepest crisis since the Great War 80 years ago is now hitting land and overrunning the centers of European Green Madness.
Read more: Editorial: German & Austrian Property Markets in “Titanic Mode”The first sector to be fully hit by the catastrophe is the construction industry and the real estate market in Germany and Austria.
The effects are so drastic that one can rightly speak of a COLLAPS – all other terms describe the collapse only inadequately.
Residential construction in the two countries has come to a de facto standstill, and real estate transactions have fallen by more than THREE FOURTEEN – at all levels.
Private developers and the entire real estate brokerage industry are reporting sales declines of up to 90 percent (!) compared to 2022 figures – the entire industry is facing extinction.
Those with high fixed costs, high loans with banks and projects financed with them just completed or even in the planning phase will not survive the year 23.
So what – the vultures celebrated for years a party and casht large – the sympathy of most humans holds itself with this special industry usually in borders.
But this indifference or even open “Schadenfreude” is too short thought – because in reality by the – in the last 80 years unique – collapse of the market much more industries are affected.
Since many fellow humans are optical learners – here once an incomplete listing of the occupations, which are directly affected by the collapse.
Financing specialists
Architects
Office workers
Soil surveyors
Laboratory for soil findings
Surveyor
Planning offices
Technical draftsmen
Structural engineer
Fire protection specialists
Sound insulation specialists
Earth moving companies – excavation specialists
Formwork specialists
Earth moving companies
Concrete formwork specialists
Concrete producers
Brick manufacturers
Precast concrete or wood producers
Raw material traders
Transport companies for precast elements
Construction companies for building construction
Test engineers/local building inspection
Safety inspectors
Metal construction
Wood construction
Roofers/plumbers
Locksmith
Building material trade
Plumbers
Electricians
Drywallers
Sheetrock producers
Facade vein
Painters
Floor layer
Tiler
Building material dealers
Subcontractors and transport
Sanitary suppliers
Fire protection technology
Horticulture
Exterior specialists
Real estate agents
Advertising designers
Marketing platforms
Financing specialists/ bank employees for private and commercial customers
Lawyers
Notaries
Kitchen studios and electronics retailers
Furniture retail/
Furniture stores
Forwarding agents
I think – it is clear what I am getting at.
The effects are so drastic that one can rightly speak of a COLLAPS – all other terms only inadequately describe the slump.
Residential construction in the two countries has come to a de facto standstill, real estate transactions have fallen by more than THREE FOURTEEN – at all levels.
Private developers and the entire real estate brokerage industry are reporting sales declines of up to 90 percent (!) compared to 2022 figures – the entire industry is facing extinction.
Those with high fixed costs, high loans with banks and projects financed with them just completed or even in the planning phase will not survive the year 23.
The full inns and tent festivals , the reports of the travel agencies about fully booked vacation destinations or the numerous walkers in the shopping streets and shopping malls during the sour weather of this year – the traffic jams in the short vacations or the stock markets artificially pushed up by money pressure – all this is only a facade anymore.
The crisis has long since spread beyond the socially and financially weaker sections of the population.
The Great Crisis is here – for all of us.
Literally.
And as I anticipate what will be the most frequent question in the comments
What we can do ?
New elections
Change course by 180 degrees
Reversal of the insane measures to increase the price of energy
- government price limits on energy costs – keyword basic energy supply
Interest support for housing creation
Deregulation and thinning out of building regulations
common sense in lending regulations
Withdrawal of all measures in the Green Deal that directly affect the private sector – thus safeguarding the national wealth.
Sincerely yours
Bernd Pulch
PS: This disaster is also the disaster of a corrupt media system in this countries especially the so called expert media (Fachmedien). They tell fairy tales to their readers because it is easier to be corrupt and get ads then to write the truth and to risk profits. But that is propaganda and not journalism.
Bernd Pulch 