The three most expensive cities in Germany for renting housing are Munich, Berlin and Frankfurt.
In Munich, the rental rate is 20.97 euros per sq.m. m per month. In Berlin and Frankfurt, the average rate in the country is 14.97 euros per sq.m. At the same time, 8.54 euros per sq.m.
A recent analysis by the Swiss bank UBS showed that Frankfurt and Munich are the cities in Germany where housing is most overrated.
In April 2024, the government announced that it would extend the law on rent reduction until 2029. According to it, if the landlord charges the tenant 10 percent or more in excess of the amount prescribed by law (determined by the Mietspiegel rent index), the tenant has the right to reduce it and refund the overpayment.
This restriction was introduced in 2015 to prevent a sharp rise in the cost of rent in popular residential areas.
However, as noted, there are many loopholes in the law, and residents still pay too much.
A detailed overview of the German real estate market.
Source: I am Expat
