Rental Prices Will Increase Again From 2025

These rent regulations only apply to apartments that fall under the so-called full application area (old building rents) of the Tenancy Law. The category rent is also only applicable to rental agreements that were concluded before March 1, 1994.

From 2025, Rents Will Be Increased Annually Again

Due to the rent cap, the standard rent, which has been in effect since April 1, 2023, will only be increased by the average inflation rate of 2024. The increase by the inflation rate of the previous year is omitted. There is also a legal limit to the increase of a maximum of five percent. For category rents, however, the entire index increase since the last increase on July 1, 2023, will take effect. But here too, there is a limit of a maximum of five percent.

For non-profit landlords, the basic rent that can be demanded upon re-letting, and the maintenance and improvement contribution (EVB) will be increased according to the consumer price index. However, the increases are also limited to five percent by the rent cap here.

Rent Cap Does Not Slow Down for Everyone

For rental agreements that do not fall under any legal rent regulations, the rent cap does not apply. Here, the rent can be increased in full according to the agreed value protection clauses. This makes the already very expensive rental apartments even more expensive compared to the price-protected apartments.

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