FUNDING OPPORTUNITIES
Subsidies
Find out here how you can obtain government grants for window replacement. Windows play a crucial role in the context of energy efficient and sustainable construction. New windows should not only be aesthetically pleasing, but also have excellent insulating properties to improve the energy efficiency of a building. The German government supports the promotion of energy efficiency in both new builds and refurbishment projects through the Federal Subsidy for Energy Efficient Buildings (BEG), which also covers the installation of new windows.
Overview
Secure state subsidies for the installation of windows and doors. Funding is available for individual measures on existing buildings such as: Renewal, replacement or first-time installation of windows, external doors and gates. It is advisable to find out about the 20% federal subsidy in advance!
Windows act as the "eyes" of a house and significantly shape its appearance, character and quality of living. New windows with slim profiles and modern colors can give a building a completely new appearance and bring more natural light into the rooms. Above all, however, new windows contribute significantly to improving the energy balance of a house, and this increased energy efficiency is rewarded by the state. This subsidy applies to both new buildings and the renovation of existing buildings.
Funding opportunities for new windows from KfW and BAFA in 2024WINDOW SUBSIDIES
- BAFA grants
- Grants Subsidized loans KFW
- Tax refunds EStG §35c
- Support program in Düsseldorf
Subsidies for new windows from BAFA: Things to know
An innovation that was adopted by the German government in summer 2022 relates to subsidies for windows. If the window renovation is carried out as an individual measure, only the Federal Office of Economics and Export Control (BAFA) is responsible for awarding direct grants, which are granted as window subsidies. If you want to take advantage of the window subsidy as part of a comprehensive modernization, the Kreditanstalt für Wiederaufbau (KfW) remains your point of contact even after the amendment.
The subsidy amount granted by BAFA for the energy-efficient refurbishment of windows in existing buildings is 15% of the investment sum starting at 2,000 euros, up to a maximum of 60,000 euros per residential unit and calendar year. The subsidy therefore amounts to up to 9,000 euros. The subsidy amount used to be higher, but was reduced due to limited funds in order to spread the subsidy more widely.
Bonus: An additional subsidy bonus of 5% is granted if an individual renovation roadmap (iSFP) is available. This means that a total of up to €12,000 in funding can be achieved.
Financing energy-efficient windows with loans from KfW
With the revision of the guidelines for window subsidies and other energy-saving renovations and modernizations, KfW's promotional programs 151 and 152 were abolished. They were merged with the federal promotion for efficient buildings (BEG program) under the KfW loan 261.
Note: Applications for KfW loan 262 were also discontinued as of 27.07.2022.
KfW loan 261: Federal funding for efficient buildings
The KfW loan 261 offers window subsidies for all types of residential buildings and can be used by private, commercial and municipal property owners. The program is not only suitable for the refurbishment of existing buildings, but also for the purchase and construction of residential buildings that meet the requirements for an Energy Efficiency House 40 sustainability class. With this new funding program, the German government is also responding to the housing shortage in Germany by also providing funding for the conversion of non-residential space into permanently habitable rooms.
With the KfW loan 261, window subsidies are granted through particularly favorable interest rates from 0.01%, a long fixed-interest period and a redemption-free start-up period for both annuity loans and bullet loans. The maximum loan amount for construction and purchase is 120,000 euros per residential unit, with 5 to 25 percent being granted as a repayment subsidy. When renovating existing properties, the possible loan amount and the maximum repayment subsidy granted depend on the existing efficiency house level achieved through the modernization. A special feature is that when windows are replaced as part of a comprehensive energy-efficient refurbishment that brings the building into the "renewable energy class", development loans of up to 150,000 euros per residential unit are possible. The repayment subsidy is limited to 37,500 euros per residential unit.
Tax refund from the tax office for new windows as part of energy-efficient renovations
If you pay high income tax, you can take advantage of the tax benefits for energy-efficient measures on owner-occupied residential buildings. The provisions of § 35c of the German Income Tax Act (EStG) apply. This provides for a tax reduction of 7 percent of the expenditure in the year the measure is carried out and the following year, with a maximum amount of EUR 14,000.
In the third year after replacing the windows, you can apply to the tax office for a tax refund for new windows amounting to 6 percent of the expenditure (maximum 12,000 euros). Paragraph 35c EStG explicitly mentions this subsidy as "replacement of windows or exterior doors" as point 4 in the first paragraph. However, this is a so-called demand benefit for which an application must be submitted to the relevant tax office.
Further information on tax incentives
Further information on paragraph EStG §35c
