Geywitz: Replacing heating systems early can be worthwhile - financial experts recommend replacing them quickly for additional government funding.

Geywitz: Replacing heating systems early can be worthwhile - financial experts recommend replacing them quickly for additional government funding.

According to a report by www.n-tv.de,

Rarely has a government fought as much internally as the traffic light coalition over the heating law. Now it comes into force, but with significantly changed content. The most important message is that the vast majority of homeowners don't need to do anything for the time being. Legal regulations initially only affect a few property owners.

According to current information, Building Minister Klara Geywitz recommends replacing gas heating systems quickly, as it may be worthwhile not to install a new gas heating system. This is also due to a climate speed bonus in heating subsidies. The Building Energy Act also stipulates that newly installed systems must be powered by at least 65 percent renewable energy. However, this requirement only affects a few households, namely only new buildings in new development areas.

The new regulation will only come into effect once a municipal heating plan exists, which is expected to be available in large cities from mid-2026 and in the remaining municipalities from mid-2028. This means that most house and apartment owners will have to install new heating sooner or later. The political controversy surrounding the law remains as the Union opposes it and could demand its abolition in the event of a change of government.

There has recently been clarity regarding funding and subsidies. There will be a speed bonus for the early replacement of old fossil heating systems, which should enable up to 70 percent funding for the installation of heating systems.

These developments are already having an impact on the market. The industry is heading for a record in sales of gas and oil heating. Sales of gas heating systems rose by 38 percent and oil heating systems by 107 percent by the end of October. The effect of the GEG debate plays a crucial role here.

Based on these figures and developments, it can be seen that the new Building Energy Act will have a significant impact on the real estate market and the heating industry. Pressure to replace heating systems quickly is increasing and could potentially lead to a boom in gas and oil heating before the stricter regulations come into force. This could lead to increased demand for alternatives such as heat pumps and, in the long term, also increase the number of renewable energies in the heating sector.