Decarbonisation of the German residential building stock - Systemic decision models and surveys of homeowners to enhance the dynamics of energy retrofit and to assess the effectiveness of policies
The building sector is a major contributor to greenhouse gas emissions, both in Germany and globally. While achieving Germany’s climate protection targets requires an energy retrofit rate of at least 2% of the building stock per year, the current rate remains below 1% and has stagnated despite a variety of political strategies and instruments. Although numerous studies have addressed the question of how to increase the dynamics of energy retrofit, there is a lack of deeper systemic understanding of the motivation and decision-making processes of homeowners as key actors in the renovation process.
The overarching objective of the project is to develop valid qualitative system models (method: causal loop diagrams from the Systems Thinking toolbox) to describe the motivation and decision-making processes for or against an energy retrofit, based on existing scientific theories of behaviour and decision-making. For this purpose, the involvement of experts and stakeholders from politics, academia, and practice is as essential as the inclusion of various relevant owner groups.
The systemic decision models provide a deeper, holistic understanding of the complex, dynamic decision-making processes regarding energy retrofits. In this context, different models were developed for different owner groups (single-family homeowners, private residential companies, condominium owners’ associations) in order to capture the diverse influences on decisions and to examine whether the causal relationships in the system models differ among the various actors.
It is important that these system models are designed to be neither overly complex nor too simplistic, but sufficiently detailed to achieve a realistic, robust, yet still comprehensible representation of reality. Building on these models, the project examined the effectiveness of existing and alternative policies in influencing the dynamics of energy retrofits. Stakeholders from politics, academia, and practice were actively involved in the modelling process, which not only enhances the quality of the models but also their acceptance regarding potential implementation of the findings.
The process of model development is illustrated in the following figure:
The systemic decision model for single-family homeowners was developed in collaboration with a cognitive scientist from TU Dresden (Prof. Stefan Scherbaum) and a psychologist from Zittau/Görlitz University of Applied Sciences (Prof. Maja Dshemuchadse) and validated through bilateral discussions with experts from politics, academia, and practice. The insights gained from this validated model were submitted in 2025 as a scientific publication to the Buildings & Cities journal (Schünemann et al., 2025). The systemic decision model from the publication shows several reinforcing and balancing feedback loops.
Based on the qualitative models, an online survey was conducted among single-family homeowners, as well as owners of private multi-family buildings of up to four units, and condominium owners’ associations, to assess their motivations for energy retrofits, including perceived barriers and evaluations of proposed solutions. This survey was carried out with the support of CO2online GmbH. The findings from more than 2,700 responses were published in a German-language report (Schünemann, 2025) and serve to strengthen the explanatory power of the system models. As an example, the motivating factors for undertaking an energy retrofit are shown here for a) owners of partially or unrenovated residential properties and b) owners of fully renovated residential properties. Ranks 1 to 3 indicate the order in which the motivating factors were reported in the survey (rank 1 being the most relevant):

The most important findings derived from systems analyses, expert involvement, and surveys of homeowners are summarized as follows:
a) From interviews with experts:
b) From the systemic decision models:
c) From the survey of homeowners:
The results clearly indicate that homeowners’ decisions to undertake an energy retrofit are highly complex, individual, and strongly context-dependent. It should be noted that the participating owners (respondents) were predominantly male (over 80%), over 60 years old (over 60%), and 80% owned a single-family home. Twelve percent owned fully renovated properties, 58% partially renovated, and 40% unrenovated properties. Among respondents with fully renovated homes, 97% were satisfied with the outcome, with 63% being very satisfied.
The primary motivation cited was a reduction in heating costs, followed by an increase in property value, personal contribution to climate protection, and improved living comfort. The most frequently mentioned barriers were high financial burden of renovation, the complexity of existing funding schemes, shortage of skilled craftsmen and planners, high effort required to acquire knowledge for implementing renovations, and bureaucratic hurdles related to renovation implementation. These correspond to the five most frequently cited barriers in order of mention.
Based on the previous investigations, the following recommendations have been derived to accelerate the dynamics of energy retrofits:
Consideration of sufficient capacities in consulting, planning, and skilled trades to accommodate future high dynamics of energy retrofits.
In the year 2026, the systemic decision models will be expanded to include property owners in condominium owners’ associations and owners of multi-family buildings. In a final workshop with the experts from politics, academia, and practice who participated in the model validation, the recommendations derived from systems analyses and surveys will be discussed and ultimately consolidated into a policy paper.
Schünemann, C. (2025). Erhöhung der Dynamik energetischer Wohngebäudesanierung—Befragungsergebnisse zu Motivation, Hemmnissen und Lösungsansätzen für verschiedene Eigentumsverhältnisse in Deutschland. Social Science Open Access Repository. doi.org/10.26084/8056-2f80
Schünemann, C., Dshemuchadse, M., & Scherbaum, S. (2025). A systemic decision-making model for energy retrofits. Buildings & Cities, 6(1), 511–526. doi.org/10.5334/bc.534
Schünemann, C., Sidorova, A., Gkini, C., & Kopainsky, B. (2021). Using system dynamics modelling to analyse the interplay of policies and societal motivation for promoting energetic renovation. 2021, 30. proceedings.systemdynamics.org/2021/papers/P1157.pdf