Berlin Launches "Hotline" for Tenants Amid Rising Rental Prices

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The Berlin authorities have introduced a new "hotline" to provide tenants with consultation on rental fees. In some cases, they are advised to challenge landlords' actions, I am Expat reports.

The Mietspiegel Rent Index Law, enacted in 2015, states that rental prices cannot exceed the standard by more than 10% for new lease agreements in areas classified as "tight housing markets." The legal tech company Conny, which assists tenants in reducing rental costs, estimates that 75% of Berlin renters overpay their landlords each month. Various tenant associations criticize the existing law, pointing out numerous loopholes that make it ineffective. Many tenants fear retaliation or eviction if they challenge rental prices, while subtenants often lack the legal standing to dispute excessive charges.

Call for Stricter Rent Regulations in Germany

In November 2024, Berlin’s Mayor Kai Wegner (CDU) urged the German government to impose stricter nationwide rent regulations. “I would like to see a nationwide cap on rent increases,” he stated, emphasizing that while existing rental prices are not catastrophic, many people struggle to afford newly built housing.

How the Hotline Works

The initiative aims to increase tenant awareness of their rights. According to a press release from the Berlin Senate for Urban Development, Building, and Housing (SenStadt), renters can now call the hotline for guidance if they suspect they are paying excessive rent.

Before calling, tenants are advised to check whether their rental rate aligns with Berlin’s official online rent index (Mietspiegel). Hotline advisors will verify the legality of rental charges and provide guidance on seeking reductions.

Hotline operating hours:
Monday, Wednesday, and Friday: 09:00 – 12:00
Tuesday and Thursday: 14:00 – 17:00
Phone number: 030 213 007 302

“No one should have to pay excessive rent,” said Sandra Obermeier from SiWo, a subdivision of SenStadt. However, experts note that the hotline alone will not fundamentally solve the city’s rental crisis.

Rent Prices in Germany: A Growing Challenge

Germany is experiencing a significant rise in rental prices, especially in major cities. The German Economic Institute in Cologne (IW) reported that by the end of 2024, rental costs across Germany increased by 4.7% year-on-year.

Berlin saw the highest surge at 8.5%, followed by:
Essen (+8.2%)
Frankfurt (+8%)
Leipzig (+7.3%)
Düsseldorf (+7.2%)

In 1991, only 5% of German households spent over 40% of their income on rent. By the end of 2024, this number tripled to 14%, exceeding the European affordability threshold of 30% of household income.

Nationwide Housing Crisis & Government Response

Real estate platform ImmoScout24 reports that rents in Germany’s major cities have jumped by 30% in the past two years, with new tenants experiencing the most significant cost increases. Long-term renters under older contracts generally pay lower rates due to rental caps.

The German government, led by Olaf Scholz, attempted to extend the Mietpreisbremse (nationwide rent control law) until 2029, but the proposal failed to pass in the Bundestag. Critics argue that the law is too weak, failing to protect tenants in newly built or renovated properties and those who rent for less than a year. The future of Mietpreisbremse remains uncertain, but the hotline launch signals that rent regulations will likely persist, possibly with modifications.

Severe Housing Shortage in Germany

Germany is facing its worst housing shortage in 20 years due to declining construction activity. To meet demand, the country needs 400,000 new homes annually, but in 2024, only 260,000 units were completed. Projections for 2025 indicate further declines, with estimates between 150,000 – 200,000 new homes.

The Berlin tenant hotline is part of ongoing efforts to address the rental crisis, but without major reforms, housing affordability in Germany’s capital remains a pressing issue.