Tenant Organization Argues for More Than Just an Extension of the Rent Ceiling - Rental cost fails to sustain the property's affordable rental rate.
The Berlin Tenants' Association has welcomed the proposed extension of the rental price brake, yet views it as insufficient, as it only applies to the federal capital. The managing director of the association, Wibke Werner, emphasized that the continued application of the measure at a federal level is crucial for protecting tenants.
The extension of the rental price brake, originally set to expire in Berlin by the end of 2025, will now continue until December 31, 2029. This means that the rent for newly let apartments may not exceed the local comparative rent by more than ten percent.
Werner stated that, without a federal extension, Berlin tenants would have been left unprotected when concluding new rental agreements. She also criticized exceptions to the rental price brake, such as new buildings completed after 2014 and apartments undergoing comprehensive modernization. The association argues that these loopholes are being exploited by landlords to circumvent the regulations.
Furthermore, Werner advocated for a rent cap, citing the Berlin state law on a rent cap that was struck down by the Federal Constitutional Court in 2021 due to competence issues. She proposed an opt-out clause that would allow the federal states to introduce such legislation.
Regarding future tenant protection measures, Werner highlighted the need for stricter regulations, such as the socialization of housing companies. In 2021, a referendum resulted in a majority vote in favor of the socialization of large real estate companies with more than 3,000 apartments.
While there are no specific proposals for extending the rental price brake beyond 2029, the government has signaled a commitment to further tenant protection measures, including harmonizing tenancy law, reforming rules on rent profiteering, and introducing fines for breaches of rent control by 2026[3]. The Berlin Tenants' Association's stance on exceptions to the rental price brake, potential rent cap, and broader regulations to close loopholes aligns with these broader measures outlined in the coalition agreement[3]. However, the association stresses that these measures alone are not sufficient and that more action is needed to combat rising rents and ensure tenant protection.
[1] German Press Agency[2] Berliner Mieterverein[3] Enforcement Network on Tenant Protection in Germany, "Coalition Agreement 2021", Background Information Paper, p. 20.
- The Berlin Tenants' Association, in advocating for a federal extension of the rental price brake, believes that investing in vocational training for employees in the real-estate industry could help address the housing crisis.
- Some officials, in light of the government's commitment to further tenant protection measures, are considering the possibility of establishing a community policy that encourages businesses to invest in the construction of affordable housing as a means of addressing rising rents.
- In the long term, the Berlin Tenants' Association suggests that a comprehensive policy should be devised, encompassing vocational training for those interested in a career in the property management sector, as well as financial incentives for businesses to invest in real-estate ventures that prioritize affordability and tenant protection.
