The German Tenants’ Federation warns that the prevailing housing crisis in Germany is rapidly deteriorating into a comprehensive “social state crisis.”
According to the Mietenreport 2026, which was presented in Berlin this Tuesday, escalating rent and living costs are placing heavy strain not only on low-income households but also on the middle class. More than half of the population rents their homes, and nearly four out of five people affected by poverty are tenants. This enormous financial pressure is forcing many renters to reduce savings or postpone retirement planning. Furthermore, the report indicates that tenants are cutting back on leisure activities, holidays, and even purchases of healthy food and medication.
The data is alarming: twenty-nine percent of tenants are afraid they will be unable to afford their rent in the future. Half of them worry about finding an affordable alternative home if their current one becomes untenable. What is particularly disturbing is that over a quarter of tenants could only remain in their current home for a maximum of three months following a severe loss of income.
In response, the Tenants’ Federation is calling for a fundamental “change of course” in housing and social policy. They demand the implementation of a “nationwide rent freeze” and the creation of permanently affordable housing. The Federation also asserts that a robust housing benefit program is necessary, one that is accurately linked to actual rent and energy expenses.
This stance contrasts sharply with the federal government’s current plan to reduce these benefits, a move the Federation strongly opposes. They argue that such cuts will not lower rents or create affordable housing; rather, they will amplify the risk of rent arrears and homelessness.
The Federation estimates that Germany currently lacks approximately 1.4 million housing units, and the existing stock of subsidized social housing is at a historical low. They urgently call for a “sustainable” shift in policy to repair the housing market and strengthen the social safety net. Quantitatively, the Tenants’ Federation is demanding two million social housing units by 2030-compared to just over one million currently available-and the annual provision of at least 60,000 affordable rental apartments for average earners.
Melanie Weber-Moritz, President of the Tenants’ Federation, told the dts news agency that new construction alone will not solve the crisis. She stated that to escape this spiraling situation, three measures are essential: new builds, acquisition of existing properties, and the repurposing of current housing stock for social use. While acknowledging that the government is already acting, she believes the efforts are insufficient.
Weber-Moritz admitted that construction costs have risen dramatically, suggesting that a “sustainable land policy” could counteract this rise. She called for overall regulation of land prices, stating that these prices have exploded in recent decades, making it a critical driver of increased costs.
