A Thriving Market

Germany’s rental sector in 2025 is dynamic, fast-moving, and full of opportunities. Demand for quality housing remains strong, driven by the country’s robust economy, vibrant job market, and the continued appeal of its world-class cities. This healthy demand is a sign of a market that is both active and resilient, creating exciting possibilities for property owners, investors, and developers.

Steady Value Growth

Recent housing market data shows that nationwide rents at the end of 2024 had grown by 4.7% compared to the previous year. This steady upward trend reflects the stability and investment potential of German real estate, making rental properties an attractive long-term asset.

Major Cities Show Strong Demand

Germany’s “A cities” — Munich, Frankfurt, and Berlin — continue to top the list for rental demand, showcasing their international appeal and economic strength. Between 2022 and 2024, rents for new contracts in these cities grew by more than 11%, underlining their enduring desirability for both residents and investors.

A Market for Every Lifestyle



• Urban Investors: Strong yields in major cities make them an attractive option for long-term growth.
• First-Time Buyers: In some regions, purchasing a property can be as financially appealing as renting, providing an excellent entry point into the market.
• Lifestyle Movers: Smaller towns combine affordability with charm, opening doors for those seeking a balanced work-life environment.

A Positive Outlook

Germany’s rental market in 2025 offers a diverse range of possibilities. Whether in bustling city centres or peaceful countryside communities, there are opportunities for tenants, landlords, and investors alike. The country’s economic stability, international appeal, and strong rental demand ensure that Germany remains one of Europe’s most attractive housing markets.