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Student Housing Report Finds Rents Rising as BAföG Falls Short

Experts warn the current allowance no longer covers typical costs, leaving students exposed to sharp local price surges.

Overview

  • The Studentenwohnreport 2025 from MLP and the IW reports continued rent growth for students, with Leipzig, Freiburg and Konstanz each exceeding 6% per year over the past three years.
  • In Baden-Württemberg, the €380 BAföG housing allowance fails to cover the calculated warm rent for a 30 m² model apartment at any surveyed location.
  • Price anomalies include shared rooms costing more than a small apartment in Konstanz and Hamburg, according to the report.
  • Regional disparities remain stark, with Chemnitz, Dresden and Magdeburg among the cheapest markets—model flats at about €296 to €374 monthly—versus €837 in Munich and €734 in Frankfurt.
  • IW economist Michael Voigtländer says the housing market remains strained and argues that more support for young people is needed, while BAföG receipt has fallen to about 10% from 25% over 15 years.