Bavarian Housing Construction Program – Rental Housing
Funding in Bavaria for the new construction, modification, expansion, and acquisition of rental housing in multi-family buildings for low-income households with low-interest loans and supplementary grants; accessibility and sustainability measures are additionally supported. No fixed deadlines; applications can be submitted at any time.
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Grant criteria
Funding objective
The Free State of Bavaria supports builders in the creation, modification, or expansion as well as the initial and reacquisition of rental housing in multi-family houses to provide affordable housing for households with low and middle incomes, while promoting accessibility and sustainable construction.
Eligible expenses
- Total costs within the meaning of §§ 5–8 II. BV
- New construction, alteration, and expansion of rental housing
- First-time acquisition of newly created rental apartments
- Extension of rental and occupancy commitments
- Eligible barrier-free measures
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Eligible to apply
- Companies
- Individuals
Funding requirements
- Ownership, hereditary building right, or usufructuary right to a suitable plot of land
- Rental housing in multi-family houses with at least three apartments
- Compliance with technical requirements for accessibility according to DIN 18040 Part 2
- Rental to households below the income limits of the Bavarian Housing Promotion Act
- Occupancy commitment of 25, 40, or 55 years
Documents required for application
- Application form (Stabau Ib, If, IIIa/IIIb)
- Excerpt from the land register as proof of the property
- Proof of external and own funds
- Site plan and construction technical documents
- Proof of disability (for adaptation of living space)
Evaluation criteria
- Urgency of local housing demand
- Sustainability aspects
- Accessibility requirements
- Economic efficiency of the project
Description
The Bavarian Housing Construction Program – Rental Housing supports companies and private individuals in Bavaria with low-interest loans and supplementary grants for the new construction, alteration, expansion, and acquisition of rental apartments in multi-family houses. The goal is to create affordable housing for households with low and middle incomes. The funding mix includes object- and occupancy-dependent construction loans, an ongoing rental cost subsidy, and a basic grant of up to €600 per square meter of living space. Additional funding areas such as “drauf und dran – sustainable renewal and expansion,” “sustainability grant” (up to €200/m²), and “town center grant” (up to €100/m²) promote energy-efficient modernization, ecological materials, and urban densification. Barrier-free planning according to DIN 18040 Part 2 is also rewarded with an additional loan of up to 15% and special adaptation loans for people with disabilities.
Eligible applicants are natural and legal persons as owners, hereditary building rights holders, or usufructuaries of a property in Bavaria used for multi-family houses with at least three rental apartments. The rental apartments must be rented to households with incomes below the limits set by the Bavarian Housing Promotion Act and are occupancy-bound for 25, 40, or 55 years. Eligible costs include all total expenses according to §§ 5–8 II. BV, including new construction, modernization, first acquisition, and extension of rental commitment. Applications can be submitted at any time, as there are no deadlines. The application package includes, among other documents, the completed Stabau form, an excerpt from the land register, proof of financing, site plan, technical construction documents, and, if necessary, proof of disability. The responsible district government reviews the urgency of housing needs, economic efficiency, accessibility, and sustainability aspects before approving the funding.