Rent Index Berlin: Spacious new apartments with prime locations most costly
The Berlin rent index is based on data collected from 1.2 Million Berlin rented apartments in multi-family buildings. Next to the rents, it considers the sizes, types and ages of the surveyed apartments, their facilities as well as their locations and districts. Prices can differ significantly from flat to flat: apartments of 90 square meters or more, that were built between 1990 and 2002 in prime locations, range the highest, with the net rent per square meter reaching up to € 8.57. The second most expensive category, featuring € 7.92 per square meter, consists of apartments of comparable sizes and locations constructed between 1973 and 1990 in the former West Berlin area. When considering the entire Berlin area, apartments of 90 square meters and more, that were built between 1965 and 1972, prove to be in the least expensive category with net rents as low as € 4.28 per square meter.
The Berlin rent index also lists bonus features in apartments that can lead to higher rents and negative features that can result in lower leases. Depending on the year of construction, high quality parquet flooring can raise rents by up to 0.69 percent, modern kitchen facilities can result in a plus of up to 0.86 percent. Apartments below ground level (“Souterrain”), on the other hand, can lead to lower leases than the local reference rent.
Berlin: lower rents and wages than other German cities
According to the Berliner Morgenpost, the Verband Berlin-Brandenburgischer Wohnungsunternehmer (BBU) has pointed towards the fact that despite the reported increase, Berlin rents still range low when compared to other German cities. Michael Müller from Berlin’s Senate Department for Urban Development did not agree, stating that while the average net rent in Hamburg may amount to € 7.15 and even € 10.13 in Munich, there was also a substantial difference with respect to wages. The Berlin rent index might indicate lower rents than Hamburg or Munich, however Berlin households also have significantly lower incomes than households in other large cities.