State funding Baden-Württemberg

L-Bank Baden-Württemberg — housing funding BW

L-Bank housing funding BW, rental construction and modernisation loans — combinable with KfW 261 and listed-building depreciation. For investors in Stuttgart, Freiburg and the Rhine-Neckar area.

L-Bank programmes at a glance

L-Bank housing funding BW

Funding for the construction and acquisition of rental flats at controlled rents. Low-interest loans with long terms — attractive for new rental construction in Stuttgart, Freiburg and Mannheim.

L-Bank modernisation loan

Low-interest loans for energy and structural modernisation of rental flats. Combinable with KfW 261 — relevant for stock in energy class G/H in Heidelberg, Freiburg and the Black Forest.

L-Bank home-ownership funding

Home-ownership funding for families with children in Baden-Württemberg — income-dependent. Of interest to families in Stuttgart and the surrounding area.

Baden-Württemberg specifics for investors

Transfer tax 5.0% — favourable for the south. BW charges 5.0% — together with notary (approx. 1.5%) and any agent fee, ancillary costs of approx. 8–10% arise. Favourable compared with NRW (6.5%) or Thuringia (6.5%).

Stuttgart: high purchase prices, a strong rental market. Stuttgart is among the most expensive German property markets. In return, the rental market is stable and the vacancy rate low. For investors, the combination of L-Bank housing funding + listed-building depreciation in Stuttgart’s period quarters (Bad Cannstatt, Heslach) is attractive.

Freiburg: a university city with stable demand. Freiburg offers attractive period stock. Listed properties in the city core and in Wiehre have refurbishment shares of 40–70% — combinable with the L-Bank modernisation loan and KfW 261.

Application process L-Bank Baden-Württemberg

L-Bank loans are applied for through the financing house bank — always before the purchase contract or the start of the measure:

  • Funding check: align the L-Bank programme + KfW + bank loan
  • Application through the financing house bank — not directly with the L-Bank
  • Check rent and occupancy commitments for funded rental flats
  • Listed-building depreciation: structure the purchase-price / refurbishment split correctly
FAQ

Frequently asked questions

What does the L-Bank fund in Baden-Württemberg?
Rental construction, modernisation and home purchase. Particularly relevant: housing funding for investors and a modernisation loan combinable with KfW.
Can I combine L-Bank and KfW?
Yes — the L-Bank modernisation loan and KfW 261 can be combined. I check the optimal structure for your project.
How high is the transfer tax in BW?
5.0% — lower than many other federal states. Together with notary and any agent fee: approx. 8–10% total ancillary costs.
Are listed properties in Freiburg worthwhile?
Yes — Freiburg offers stable rental demand and attractive period stock. Refurbishment shares of 40–70% plus listed-building depreciation §7i make an attractive model for taxpayers from a 35% marginal rate.

Check the funding for your project

I check state funding, the KfW combination and the right bank for your property — free, non-binding, in German and Russian.