Rental price brake extended by 2029 - but with critical exceptions!

Rental price brake extended by 2029 - but with critical exceptions!

Berlin Moabit, Deutschland - The rental price brake will be extended by 2029, as the new federal government from the Union and SPD reports. In view of the continued rising rental prices, this decision was made in metropolitan areas, which have become a challenge for many tenants. SPD general secretary Tim Klüssendorf welcomes the measure and emphasizes that looking for accommodation in cities is increasingly difficult. The step to extension was already anchored in the coalition agreement between the CDU, CSU and SPD.

The German City Day had previously emphasized the need for such a measure. The regulation allows the countries to determine areas where rents may not be increased more than 10% above the local comparison rent. However, new buildings are excluded from this regulation. This leads to the criticism of the German Tenants' Association (DMB), whose President Lukas Siebenkotten describes the rental price brake as "completely inadequate". He calls for the exceptions to be abolished that enable landlords to avoid the regulation through furniture or short -term rentals.

effects on tenants and housing market

The DMB also renews its demand for a nationwide extension and tightening of the rental price brake. Many tenant associations and those affected express concern about the expiry of the previous regulations, which should apply by the end of 2025. In Berlin, for example, four out of five people live to rent, which underlines the need for stabilizing rental prices. The rental price brake limits rents in new rental contracts to a maximum of 10% above the local comparison rent and aims to slow down the increase in living space rents in metropolitan areas. This regulation was first introduced in 2015.

However, the current efforts by the government are not only encountered. The Union rejects a permanent extension of the rental price brake. Group vice Ulrich Lange explains that this was not intended as a long -term instrument. Experts are increasingly demanding more new buildings and additional rental apartments to combat the rental price crisis. Chancellor Friedrich Merz and Minister of Construction Verena Hubertz have promised a "building turbo", but it remains to be seen how this will be implemented.

regional differences and challenges

In over 400 cities and municipalities in Germany, the rental price brake has so far been used, with the exception of the Saarland, Saxony-Anhalt and Schleswig-Holstein. There are already worrying developments on the housing market; In cities such as Berlin, offer rents have increased in double digits, with an increase of 27% in Berlin and 21% in Munich. The German City Day warns that the expiry of measures for those seeking housing could have significant negative consequences.