Future of Germany's Mietpreisbremse in Doubt After Coalition Collapse

The planned extension of the rent control law to 2028 is uncertain as political instability disrupts legislative progress.

Germany's Mietpreisbremse, a rent control measure aimed at capping rental increases in high-demand areas, is set to expire in 2025 unless extended by lawmakers.
The collapse of the governing coalition earlier this month has left the planned extension of the law to 2028 in jeopardy, with no finalized legislation in place.
Critics of the Mietpreisbremse argue it has been ineffective due to loopholes and weak enforcement, while proponents emphasize its importance in addressing the housing affordability crisis.
Approximately 53% of German households are renters, with housing costs consuming a significant portion of incomes, particularly in cities like Berlin, Hamburg, and Cologne.
Housing advocates are urging lawmakers to act before upcoming elections in 2025, warning of severe financial strain on tenants if the law lapses without stronger protections.