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World Almost 310,000 families have already received Baukindergeld.

10:15  22 january  2021
10:15  22 january  2021 Source:   pressfrom.com

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Almost 310,000 families in Germany have already received the Baukindergeld. Between the start of the program in September 2018 and the end of last year, the KfW development bank counted 309,948 commitments for state home ownership grants.

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A good 6.5 billion euros in funding for the construction of a house or the purchase of a property have so far been distributed, as KfW announced on request in Frankfurt.

“The Baukindergeld has helped many families, especially young ones, to finance their own homes. This means that it reaches precisely those who benefit most, ”said KfW board member Ingrid Hengster.

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Since September 18, 2018, families have been able to receive state subsidies to build a house or buy a property. There are 12,000 euros per child, paid out in ten annual installments of 1200 euros each. A total of 9.9 billion euros are available. The grant could be applied for retrospectively: by parents or single parents who received a building permit or signed a purchase agreement since January 1, 2018.

The performance has always been criticized. It was said, for example, that the Baukindergeld boosted property prices or that families who actually didn't need the money would benefit. According to KfW, most applicants have one or two children (85 percent) and an average taxable income of less than 50,000 euros (75.3 percent).

Last year, according to the development bank, 124,731 families received a commitment to building child benefit totaling 2.6 billion euros. From September 2020, the number of applications increased significantly, reported the state-owned KfW. In December alone, 21,000 applications were received. Presumably, many people assumed that the funding would expire at the end of 2020.

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In fact, applications can be submitted until the end of 2023. In addition, the federal government has extended the funding period to March 31, 2021 because the corona pandemic caused delays in building and buying a house. Anyone who receives a building permit or has signed a purchase contract for a property by March 31, 2021 can apply for the benefit. From this Friday (January 22nd), applicants must submit purchase contracts and building permits in addition to the land register entry.

According to KfW, by far the largest number of Baukindergeld grants have flowed to the most populous federal state of North Rhine-Westphalia. Since 2018, a good 64,400 families have received almost 1.4 billion euros in funding. In Bavaria (47,572 families / just under one billion euros), Baden-Württemberg (41,786 / 909 million euros) and Lower Saxony (37,100 / 788 million euros) there was also brisk demand for child benefit.

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This is interesting!