Rental prices remain largely stable

In most of Germany's major cities, rental prices remain stable, as shown by the rental barometer of the portal immowelt.de. Only Essen and Stuttgart report price increases of more than ten percent. In the first quarter of 2015, the price range for rents in the 14 largest German cities extended from €15 per square meter of living space in Munich to €5.70 in Leipzig .

According to the rent barometer, the feared advance rent increases did not materialize across the board. Even in Berlin, which was the first German state to implement rent control on June 1st, the average rent remained stable at nine euros per square meter compared to the previous year.

To collect the data, the rent barometer compares the advertised rents from the first quarters of 2010 to 2015, including offers for newly built and extensively renovated apartments. The latter are generally more expensive and exempt from rent control.

Significant rent increases have only occurred in a few cities since 2014. Hamburg, with rents reaching €11.20 per square meter and an increase of seven percent , did indeed exceed the €11 mark for the first time; however, this development can also be seen as a catch-up movement after two years of stagnation. In Essen, rents climbed by 14 percent to €6.50 per square meter, but the stagnation there had lasted even longer than two years.
first place with the largest rent increase since last year, rising by 20 percent to €12.70 per square meter. This increase, however, is also a consequence of many newly built apartments in the upper price range that are now being specifically marketed. Looking at rent trends over the last five years, prices in the 14 largest German metropolitan areas have increased by 24 to 28 percent.

Rental prices in major German cities vary considerably across the country. While tenants in Munich pay an average of €15 per square meter and in Frankfurt €13.10, the average is just €5.80 in Dortmund and €5.70 in Leipzig. The major cities along the Rhine, along with Berlin, fall in the middle: Cologne averages €10.20 and Düsseldorf €9.20, representing a decrease of two percent.

Average rents in Saarland remain largely unchanged, currently at €7.43/m² in Saarlouis and €7.92/m² in Saarbrücken. (Source: Immowelt.de)

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