On 23 February 2020, the Berlin Senate introduced the Berlin rent freeze (‘Mietendeckel’). The law was repealed on 25 March 2021. The Berlin rent freeze was an unprecedented market intervention in the German housing market.
Supply side effects of the Berlin rent freeze
Institut der deutschen Wirtschaft (IW)
On 23 February 2020, the Berlin Senate introduced the Berlin rent freeze (‘Mietendeckel’). The law was repealed on 25 March 2021. The Berlin rent freeze was an unprecedented market intervention in the German housing market.
We analyse how the rent cap part of the legislation which fixed rents at below market levels affected the supply side in the short term. We find rent decreases accompanied by decreases in supply five times as large. We further investigate spillover effects on the purchase market, regionally heterogeneous effects as well as different effects by dwelling characteristics. We find the rent freeze did not have spillover effects on dwellings for sale which point to a ‘wait-and-see-attitude’ on the investors’ side. We make use of a rich dataset of real estate advertisements and employ hedonic difference-in-difference and triple-difference estimation strategies.
Supply side effects of the Berlin rent freeze
Institut der deutschen Wirtschaft (IW)
IW-Wohnindex: Mietpreissteigerungen setzten sich fort, Kaufpreise stabiler
Der vorliegende IW-Wohnindex untersucht die Entwicklung der Kauf- und Mietpreise für Wohnimmobilien in Deutschland. Der Kurzreport erscheint vierteljährig.
IW
Löst der Renteneintritt der Boomer den nächsten Immobiliencrash aus?
Deutschland ist im demografischen Wandel, immer mehr Menschen gehen in den Ruhestand. Was sind die Effekte für den Wohnungsmarkt? Darüber sprechen IW-Immobilienexperte Michael Voigtländer und Moderator Hauke Wagner im 1aLage Podcast.
IW