Market Analysis
Berlin apartment market
Berlin rent index 2024: average rents at 7.21 euros per square meter
The new rent index is out. Average rent rises by just 5 cents, but tens of thousands of addresses have been reclassified in the location rating.
Peter Guthmann
7.21 euros per square meter
Berlin's Senate Department for Urban Development has published the 2024 rent index (Mietspiegel). Average net cold rent: 7.21 euros per square meter. That is 5 cents more than the previous qualified rent index, an increase of 0.7 percent. The data is based on 16,000 rent and amenity records and is relevant for around 1.4 million non-subsidized apartments in Berlin.
For the first time since 2019, the rent index is recognized by all associations, both tenant and landlord representatives. Senator Christian Gaebler (SPD): "The strained situation on Berlin's housing market is more apparent in 2023 than ever before. This gap must be narrowed." He is referring to the divide between existing rents and new lease prices. Our market analysis shows this gap is especially pronounced in sought-after locations.
Tens of thousands of addresses reclassified
The residential location ratings have been completely revised. 34,000 addresses were upgraded, 31,000 downgraded. For owners in upgraded locations, such as parts of Mitte, Pankow, or Neukoelln, this may create room for rent adjustments. Conversely, a downgrade can limit existing options for increases. In either case, the updated orientation guide for range classification is worth consulting.
What owners should know
The qualified rent index is the legal basis for rent increases up to the cap, in Berlin a maximum of 15 percent within three years. Rent may not exceed the value shown in the index. Classification takes into account features such as bathroom, kitchen, and energy efficiency.
Gaebler is calling on the federal government to extend rent control regulations and review existing exemptions. At the same time, he emphasizes that more residential construction remains the most effective lever against rising rents. Anyone planning a property valuation for their Berlin property should take the new location data into account.