This study explores the effectiveness of Germany’s rent control regulation in the context of Munich's housing crisis. The rent brake, aimed at preventing excessive rents in tense housing markets, was implemented in 2015 in Germany but has faced challenges in practical application. This research evaluates the number of tenants eligible to use the rent brake, investigates how eligibility of the rent break varies depending on housing conditions and landlord types and identifies factors hindering its application.A sample of 10,000 individuals from Munich's registration database, covering residents who moved after 2019, was drawn, resulting in 356 complete responses for analysis. The survey assessed demographics, rental conditions, and knowledge of the rent brake, with findings weighted by city district and household size.The study reveals that while 13% minimum and up to 38% of tenants could potentially apply the rent brake, only 2% of respondents had successfully secured a rent reduction. This low uptake is attributed to limited awareness—only 38% of participants knew about the rent brake—and fears of landlord retaliation, such as potential termination or strained relationships. The study concludes that the tenant-dependent enforcement undermines the effectiveness of the rent breake. Enhanced information access, tenant support systems, and institutional measures are needed to strengthen the regulation's impact and promote fair housing practices.
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This study explores the effectiveness of Germany’s rent control regulation in the context of Munich's housing crisis. The rent brake, aimed at preventing excessive rents in tense housing markets, was implemented in 2015 in Germany but has faced challenges in practical application. This research evaluates the number of tenants eligible to use the rent brake, investigates how eligibility of the rent break varies depending on housing conditions and landlord types and identifies factors hindering it...
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