Germany's HDB construction industry association on Monday raised its forecast for 2019 sales growth to 8.5% year-on-year from its previous estimate of 6% as Europe's largest economy experiences a boom in homebuilding.

Around 300,000 homes are expected to be built in Germany this year, though that is less than the 375,000 the government is aiming for in 2019.

HDB added it expected sales to increase by between 5% and 6% next year.