The number of regular rental offers has fallen by 22 percent since 2015. This is shown by data from 37 cities and regions that are regularly examined by the Kiel Institute for the World Economy (IfW) as part of the GREIX rental index. The supply of furnished, permanent rental apartments grew particularly rapidly. Between 2015 and today, this segment grew from 12,000 to 37,000 listings, an increase of over 200 percent. Also the area of so-called temporary living, which is temporary and mostly furnished Offers includedgrew by 7.1 percent during the period.
“Anyone who is looking for an apartment in a big city today using the usual platforms is increasingly encountering conditions that were exceptional ten years ago,” said Jonas Zdrzalek, project manager of GREIX at the IfW. Overall, regular rental offers dominate the market with a share of 73 percent. For the GREIX index, offers from more than 100 real estate portals and broker websites are bundled together every quarter analyzed over 60,000 advertisements.
Rents are rising less sharply than recently
The rental of furnished, temporary apartments has been criticized for some time. According to tenant associations, this practice is increasing because it allows landlords to circumvent the rent cap. Federal Justice Minister Stefanie Hubig (SPD) wants this area therefore regulate more closely. According to Hubig’s plans, there will be a maximum limit of six months for rentals for temporary use. In addition, the furniture surcharge should be considered appropriate if it does not exceed five percent of the net rent for a fully furnished living space.
According to the IfW, rental prices are lower increased sharply than recently. In the first quarter, national average asking rents rose by a nominal 0.5 percent compared to the previous quarter, according to the GREIX index. Compared to the same quarter last year, there was an increase of 2.9 percent. “This is the lowest nominal annual growth rate since the fourth quarter of 2021,” it said. In the fourth quarter, rents in the GREIX index rose by 4.5 percent, twice as high as inflation at the time.