Saxony: Cabinet decides rent brake for Dresden and Leipzig

Dresden (dpa / sn) - The Saxon government has decided on a rental price brake for Dresden and Leipzig.

Saxony: Cabinet decides rent brake for Dresden and Leipzig

Dresden (dpa / sn) - The Saxon government has decided on a rental price brake for Dresden and Leipzig. From now on, the rents agreed at the beginning of a new tenancy in both cities may be a maximum of ten percent above the local comparative rent. With the decision, the black-green-red cabinet is implementing a point in the coalition agreement. The regulation is limited until the end of 2025 and is intended to prevent above-average rent increases for new rentals in tight housing markets.

"The search for a new apartment must not become a question of existence, in which people have to decide whether they have to spend a large part of their income on monthly housing costs or whether they have to switch to rental offers far outside their living environment," said Minister of Justice Katja Meier (Greens). the German Press Agency.

The country's two largest cities should also be open to everyone and offer affordable living space - not just for higher earners. "In addition, existing tenants will also benefit from the rental price cap in the long term. Because lower new contract rents slow down the increase in the local comparative rent, which in turn is the benchmark for rent increases in existing buildings."

Left politician Juliane Nagel criticized that the coalition had made an enormous delay in rent control. "According to the coalition agreement, the instrument should have been in force for a year and a half." She also saw a need for further action. The rental price brake still requires active action by tenants against landlords: “Not everyone will have the courage to do this, especially if they fear consequences when looking for an apartment later on with large landlords like Vonovia.”

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