Overview

• Building Minister Verena Hubertz called for administrative penalties that “really hurt” for violations of the Mietpreisbremse.
• She proposed clearer limits on furnished and index-linked leases, including a requirement to itemize the furniture surcharge in rental contracts.
• Hubertz also highlighted abusive subletting as a costly loophole that is difficult to monitor under current practice.
• The rent cap now runs through December 31, 2029 with initial new-lease rents limited to 10% above the local benchmark, and a Justice Ministry expert commission has begun drafting enforcement and usury proposals.
• WELT argued for public rent registries, legally secure rent indexes, and a municipal building obligation tied to use of the rent brake, as Hubertz pointed to a “Bauturbo” bill due in October and a €7.4 billion 2025 housing budget plus €11 billion from a special fund, with Ifo projecting only 205,000 completions this year.