Everything on Liquidity Constraints

Funds are locked until retirement, with early withdrawal requiring full repayment of subsidies. An exception exists for purchasing self-used residential property.

Impact: Ensures long-term capital commitment while providing a strategic exit for housing needs, supporting the real estate market.

— from Germany's New AVD: 540 Euro Annual State Subsidy · Deffner und Zschäpitz – Der Wirtschafts-Talk von WELT· Oct 13, 2026