Germany: Chancellor plans to freeze house rents for three years

Part of the Social Democratic Party (SPD). Government alliance, He wrote that there are plans to freeze rents in Germany for three yearsFinancial Times‘. The newspaper explains that the move is aimed at combating tenants’ difficulties in dealing with rising housing costs.

The Deutsche Presse-Agentur agency had access to the government’s proposal and described it as the ‘Financial Times’. Rent hikes should be reduced to a maximum of 6% in high-demand cities. and mute values ​​in other parts of the country. Deputy Verina Huberts told the Bild am Sonntag newspaper that it was necessary to “create room for maneuver” and that German Chancellor Olaf Scholz (leader of the SPD) would present measures to counter the housing crisis on Monday.

Data from European Commission Inflation in Germany was 6.8% in June, higher than the European average.

Berlin is one of the cities in Germany that imposes rent controls

Oliver Strieve – Getty Images

5 Decades of Democracy

Germany, where Over 49% Families who rent a home have used rent control for years. In 2019, a landlord in Berlin complained after being told to return money he had charged above the statutory rent limit, but the Constitutional Court ruled that the rent caps were proportionate and unconstitutional. wrote to Reuters in height. “It is in the public interest that (a development) would exclude certain population groups not in such strong economic condition from parts of the city where there is a high demand,” the court said.

However, the courts have not always sided with the government. In 2020, measures set by the government will cover 90% of apartment rents in Berlin Five years froze (at the level of June 2019) and new contracts should not exceed these values. However, as written Deutsche WelleThe Kalsruhe Constitutional Court said that the government did not The capital has the right to impose this limit because there is already a federal law regulating rents.

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