The German Tenants’ Federation has signaled strong opposition to the federal government’s plan to prohibit the collective transfer of residential properties. Melanie Weber-Moritz, the federation’s president, stated that cancelling this measure would be detrimental, noting that it would negate a crucial housing policy tool that has been advocated for in cities like Berlin for several years. She stressed that the housing market is highly disparate across Germany and that this prohibition would prevent the use of a vital policy instrument.
Weber-Moritz also highlighted that the already mounting pressure on tenant households, caused by deep cuts to social benefits and housing allowances, is driving up costs. She urged that the legislature allow federal states to utilize all constitutionally permissible tools in extraordinary situations, including the nationalization of rental property inventories, if necessary as a last resort.
Conversely, the Tenants’ Federation welcomed the government’s proposal to establish a federal housing development company aimed at affordable living. However, she cautioned that the success of this initiative would hinge on whether the company is sufficiently funded and whether the new units are genuinely offered at socially viable rental rates.
In stark contrast, the property owners’ association, Haus & Grund, argues that creating a federal housing company will not effectively address the housing crisis. Kai Warnecke, the president of the association, noted that the coalition seemingly concedes that Germany faces a massive housing shortage, yet insists that a new state-run housing entity is the wrong solution. He pointed out that the state has failed for years to tackle basic hurdles such as speeding up approvals, mobilizing building land, and lowering construction costs.
Warnecke questioned the feasibility of a new federal company building homes faster and cheaper. He maintains that housing shortages are solved not by additional bureaucratic structures, but by establishing reliable frameworks: making land affordable, reducing red tape, simplifying standards, accelerating permits, and ensuring predictable subsidies for developers. According to him, a new federal entity risks diverting capital, staff, and political focus away from the true systemic problems.
The property owners explicitly welcomed the federal government’s attempt to block state-level measures for property nationalization. Warnecke argued that debates over expropriation do not create a single new apartment but instead erode confidence in Germany as an investment location. He concluded that ownership requires legal certainty, and that the housing crisis cannot be resolved without private property rights.
