Despite a challenging regulatory environment, private landlords generally view the housing market positively. This is the key finding of the latest “Deutschland.Immobilien Landlord Report 2026”, which has been covered in recent days by publications including WELT, Cash and finanzwelt. Most notably, 70 per cent of surveyed landlords are satisfied or very satisfied with their rental business, and the majority expect rents and property values to remain stable or rise slightly over the next twelve months.
The study, conducted in collaboration with the German Economic Institute (IW), is based on a survey of 1,002 private landlords in Germany. It paints a picture of a market that continues to be largely shaped by small-scale landlords with a long-term investment perspective. Private landlords own more than 60 per cent of Germany’s rental housing stock. 58 per cent of those surveyed let just one property, whilst a further 19 per cent own two rental properties. At the same time, six out of ten landlords have been active in the market for at least ten years. This long-term perspective has a stabilising effect and also explains the comparatively cautious rent policy of many owners.
It is particularly interesting to look at the trend in rents. Whilst 55 per cent of landlords are moderately increasing rents for new tenancies, 43 per cent are refraining from any adjustments altogether. Restraint is even more evident in existing tenancies: more than half of those surveyed did not increase rents at all last year. Where adjustments were made, increased operating costs were usually the main factor.
The picture is similarly mixed when it comes to investment. More than half of landlords have carried out energy-efficiency measures in recent years. At the same time, 59 per cent currently have no plans for major renovation projects. The owners cite long-term energy savings, increased tenant satisfaction and the long-term value appreciation of their properties as the main reasons for the investments already made. At the same time, it is clear that many landlords expect greater regulatory certainty and predictable framework conditions.
For Berlin and the surrounding area, the findings regarding the most attractive residential segments in the future are particularly relevant. Forty-six per cent of respondents see the greatest investment opportunities in housing for the elderly and in homes in suburban areas surrounding major urban centres. This assessment is consistent with long-term demographic trends and the growing demand for housing outside the major cities. The areas surrounding Berlin in particular, have been attracting growing interest from families, commuters and investors for years. At the same time, Berlin itself remains a key driver of demand due to the ongoing housing shortage.
Another striking finding is the discrepancy between the high level of satisfaction with their own letting activities and their assessment of housing policy. Whilst letting itself achieves a positive barometer reading of +30, current housing policy is viewed much more critically, with a reading of -8. Many landlords believe policymakers need to take further action, particularly regarding affordable housing for middle-income earners and striking a balance between tenants’ and landlords’ interests.
“The results show that private landlords continue to play an important and stabilising role in the German housing market. In particular, the high appeal of homes in the outskirts of metropolitan areas and major cities reinforces trends we have observed across Berlin and Brandenburg for many years. However, to fully realise this potential, we need reliable political frameworks that encourage rather than hinder investment,” says Jacopo Mingazzini, CEO of The Grounds.
