Mietenreport 2025 Finds Munich the Costliest, Frankfurt Close Behind as Rent Burdens Deepen

Overview

• The DMB reports average asking rents for new builds at about €23 per square meter in Munich, approaching €30 in sought‑after districts.
• Frankfurt’s new‑build asking rents average roughly €20 per square meter, with metropolitan rents there rising by up to 7% year over year.
• Many households now spend more than 40% of their income on rent, which the DMB classifies as extreme overload that increasingly hits middle earners.
• A widening gap between existing rents and higher asking rents is trapping tenants in place by making moves financially unrealistic.
• Hesse is reported to plan only a one‑year transition for the Mietpreisbremse despite a federal extension to 2029, drawing warnings from tenant groups about fresh rent hikes.