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Brandenburg: Rents remain moderate, new construction is in danger of coming to a standstill!
Rents in Oberspreewald-Lausitz are rising moderately, construction costs are slowing down new construction; current average rent at 5.16 euros/sqm.
Brandenburg: Rents remain moderate, new construction is in danger of coming to a standstill!
A lot is happening in the construction industry, especially in Brandenburg. State-owned and cooperative housing companies are currently trying to keep rental prices stable and avoid sharp price jumps. The average rent in this state is, according to the General Gazette at less than 6 euros per square meter. Board member Maren Kern from the Association of Berlin-Brandenburg Housing Companies (BBU) has announced moderate price increases, while construction costs continue to represent a significant obstacle.
Construction costs are increasing due to a variety of factors, including the ever-increasing prices of building materials. Loud Construction industry the producer price index for some materials has even more than doubled. Prices in July 2025 were between 30% and 60% higher than the values in January 2021. Building materials with high energy requirements, such as cement and metals, in particular drive up costs.
Persistently rising construction costs
The challenge is further compounded by high personnel costs in the construction industry. These account for around half of the production costs in housing construction, and collective wages have increased by 32% in West Germany, while they have even risen by 41% in the new federal states. In 2024, the industry experienced numerous collective bargaining agreements that resulted in wage increases of between 6.7% and 13.2%.
BBU's core sees a significant shift in funding from new construction projects to the maintenance of existing properties. This development is remarkable for a reason, as only 251,900 apartments were completed in Germany in 2022 - the lowest figure since 2015.
Living in Brandenburg: An overview of rental prices and vacancies
The BBU represents around 317,000 apartments, which accounts for almost half of the rental housing market in Brandenburg. There are enormous regional differences in rental prices. The lowest rents are in the districts of Elbe-Elster (5.12 euros), Oberspreewald-Lausitz (5.16 euros) and Prignitz (5.18 euros), while the highest rents can be found in the Berlin area, specifically in Potsdam (6.64 euros) and Potsdam-Mittelmark (6.36 euros).
The vacancy rate is particularly striking: in the Spree-Neiße district it is an alarming 19.9%, while Potsdam offers a comparatively healthy housing situation at just 1.9%.
In view of the constantly rising construction and maintenance costs, Maren Kern calls for pragmatic rules and a waiver of excessive standards in construction in order to keep housing affordable for the population of Brandenburg in the future. It remains to be seen how the situation will develop and whether the construction industry can meet the challenges.