What is the rent brake in Germany?

The German government has extended the country’s rent brake until 2029. Which tenants are covered by the law, and what is the process of applying for a rent reduction?

Germany’s rent brake (Mietpreisbremse) explained

In 2015, Germany’s CDU-led government introduced the rent brake or “Mietpreisbremse”, which determines the “permissible rental amount at the start of the rental period”, i.e. how much landlords can legally charge their tenants.

The law (§ 556d in the German civil code) applies in areas with a “strained housing market” (angespanntem Wohnungsmarkt). This label applies to areas where rents are higher than the German average, or where the population is growing quickly despite few new houses being built, for example. As of the end of 2024, 410 of the 11.000 municipalities in Germany were considered to have a “strained housing market”. This list is regularly updated.

In an area with a “strained housing market”, landlords cannot charge more than 10 percent over the “local comparative rent”. The local comparative rent is determined by the rent index, known as the “Mietpreisindex” or “Mietspiegel” in German.

Each city and region in Germany has its own rent index, which you can easily find by searching “Mietspiegel [name of region or city]” online. You can use the Mietspiegel to find out if your landlord is charging you too much.

How to check if you’re paying too much rent in Germany

First, dig out your rental contract. Rental contracts in Germany list the characteristics of the property, such as floor space, which you will need to know in order to determine if you are paying too much. You may also need to measure certain features, like your bathroom sink size. 

The Mietspiegel outlines the maximum rent that landlords can charge for rental units of certain sizes and with specific features. Cross-reference your contract with the Mietspiegel to find out if you’re paying too much. 

This cross-referencing task can get a little confusing. Alternatively, some cities and regions have a public, online rent calculator. You can enter information about your home and rental contract into the calculator, and it will estimate whether you are being overcharged. There are also several companies which run calculators, such as CONNY.

If you are a member of your local tenants’ association (Mieterverein or Mieterbund), you can also ask their team to confirm your calculations.

Who is eligible for a rent reduction in Germany?

Unfortunately, the rent brake does not currently cover all tenants. The law does not apply to rental contracts for the following:

• Housing units rented for the first time after October 1, 2014
• Housing units which have been modernised and are now valued at around one-third of the cost of a similar, newly-built housing unit
• Temporary and short-term rentals
• Rental contracts which were signed before your municipality was considered to have a “strained housing market”
• Housing units for which the landlord was already overcharging the previous tenants

All of these loopholes mean that, despite the rent brake being introduced in 2015, average rents in major German cities have risen by 50 percent in the past decade. Politicians from across the political spectrum have called on the government to strengthen the law so that it applies to more tenants.

How to get a rent reduction in Germany

If your rental index calculations have confirmed that you are entitled to a rent reduction, and one of the abovementioned exceptions does not apply to your rental contract, you are eligible for a rent reduction.

You can initiate the process by writing a letter to your landlord. In the letter, you should explain that you have cross-referenced your contract with the rent index, used a rental index calculator, found that you are being overcharged and have subsequently requested a reduction.

Obviously, it isn’t in the landlord’s interest to give you a reduction. As a consequence, they may take a long time to reply to your request or claim that your home has been “comprehensively modernised” enough to justify your rent.

This is a general claim, and as long as none of the above-listed exceptions apply to you, you are still entitled to a rent reduction and shouldn’t be deterred. If your landlord continues to resist, you can hire a lawyer, ask your local tenants’ association for advice or contact platforms like CONNY.

What are the risks of claiming a rent reduction in Germany?

Germany is currently experiencing its worst housing shortage in 20 years. Because it is so difficult to find somewhere to live, tenants are often worried about making landlords angry and risking eviction.

The law is more on your side than you think. If you rent your home from a company (a housing association or “Hausverwaltung”), your landlord cannot legally evict you for requesting or claiming a rent reduction. This would be discriminatory and illegal.

If you are renting from a private landlord, e.g. an individual owner who is renting out their property, you cannot be evicted solely for requesting a rent reduction. However, in this case, the private landlord can legally evict you if they claim they have “suddenly decided” to use the property for their personal use (Eigenbedarf). 

Does Germany also have a rent cap?

Rent brakes, rent caps, rent ceilings, and rent controls are all terms that are often used, and it can be confusing to know exactly what they refer to. Germany has both a rent brake (Mietpreisbremse) and rent caps (Kappungsgrenzen). 

To put it simply, the German rent brake regulates the amount of rent that landlords can legally charge tenants, while the rent cap regulates how much they can increase rents.

Similar to the rent brake, the rent cap does not apply in every German city and municipality. According to Finanztip, as of June 2025, the rent cap applies in 492 areas (listed here). In these areas, within a three-year period, landlords can only increase rents by a maximum of 15 percent over the local comparative rent.

This rent cap isn’t to be confused with attempts to introduce more rigorous city-wide rent caps, most famously in Berlin in 2020. This policy included three stages: a rent freeze, upper limits for subletting and rent reduction. The law applied to 1,5 million homes in the capital and was due to last until 2025, but was deemed unconstitutional by the Federal Constitutional Court in Baden-Württemberg in 2021.