Germany's Mietpreisbremse (rent brake) caps new-lease rents at no more than 10% above the local reference rent (ortsübliche Vergleichsmiete) in officially designated 'tight housing market' regions — over 50% of German municipalities are expected to qualify by 2025 per the BBSR. The federal government extended the Mietpreisbremse until 2029. Notably, five states (Saxony-Anhalt, Lower Saxony, Saarland, Schleswig-Holstein, and Saxony) currently do not apply the Mietpreisbremse. A 2026 reform ('Mietrecht II', draft adopted 30 April 2026) further caps index-linked rent increases: where inflation exceeds 3% in a year, half of the excess above 3% is disregarded for rent-increase purposes.
Mietpreisbremse caps new-lease rent at no more than 10% above the local reference rent (ortsübliche Vergleichsmiete) in designated 'tight market' regions.
The Mietpreisbremse has been extended until 2029.
Saxony-Anhalt, Lower Saxony, Saarland, Schleswig-Holstein, and Saxony currently do not apply the Mietpreisbremse.
2026 'Mietrecht II' reform caps index-linked rent increases — where inflation exceeds 3%/year, only half of the excess above 3% counts toward the increase.
Tenants can demand repayment of rent charged in excess of the Mietpreisbremse cap.
Required Documents
Local reference rent (Mietspiegel) data for the specific municipality
Common Mistakes
Assuming the Mietpreisbremse applies uniformly nationwide — five states currently exempt themselves, and 'tight market' designation varies by municipality.
Not checking the local Mietspiegel (rent index) before signing a lease, which is the reference point for determining if rent exceeds the legal cap.