Styrian offensive

New subsidies are well received by house builders

Low-interest provincial loans should make it easier to build houses.(Bild: Kzenon - stock.adobe.com)

In September, the province of Styria launched a housing offensive. Demand is high, and the subsidy for young families in particular is a big hit.

Sharply increased costs, inflation and strict lending rules: The last few years have been more than challenging for house builders and home seekers. Affordable housing was therefore also a key election campaign issue and the last provincial government launched a 300 million euro housing subsidy package. On the one hand, this is intended to facilitate the creation or renovation of owner-occupied homes and, on the other, to create new homes. Since September, Styrians have been able to apply for various subsidies and subsidized state loans.

1110 applications from young families
How has the housing campaign gone so far? "I am overwhelmed by how well the new support has been received so far. With a clear commitment to promoting property ownership and especially for young families, we have obviously met the needs of Styrians," says Housing Minister Simone Schmiedtbauer (ÖVP).

Since September, for example, the state has received almost 1100 applications for the so-called young family bonus - a one-off payment of up to 10,000 euros for the first home together. More than half of these have already been approved. Around 500 applications have been received for the new low-interest provincial loans. Demand is also high for renovation subsidies. For example, funds have already been released for the thermal refurbishment of 650 residential units in non-profit housing.

In the banking sector, however, there is still a strong reluctance to provide housing loans: "The financing performance across all banks is still around 60 percent below the average of the so-called normal years," according to Raiffeisen-Landesbank. However, it is worth noting that renovations and energy-saving measures were in high demand in 2024.