Berlin's Housing Crisis: Unpermitted Rentals Cost City Millions
Berlin faces a significant housing crisis due to unpermitted holiday rentals and non-residential use of apartments. The city loses millions annually, with fines often going uncollected. The Left Party demands a central task force to combat these issues, while Neukölln has shown success in enforcing fines.
The misuse of apartments for holiday rentals and non-residential purposes is costing Berlin dearly. Since 2014, over 11 million euros in fines have been imposed, but only around 40% have been collected. The largest gap lies in holiday apartment rentals, with over 38,000 unpermitted apartments and only 600 permits issued since 2016. Fines can reach up to 500,000 euros, but are often lower or unenforced.
Berlin districts take varying approaches to enforcing the change of use ban. Neukölln stands out, having collected nearly 100% of the over 1.1 million euros in fines since 2016. In contrast, Vienna's 'Short-term rental control' team has initiated 309 administrative offense proceedings and collected around one million euros in fines since July 2024. The Left Party has called for a central task force with at least 100 positions to tackle these issues. Furnished apartments for rent have also emerged as a loophole, often rented at higher prices than unfurnished apartments, violating rent control in protected areas.
Berlin's housing crisis, exacerbated by unpermitted holiday rentals and non-residential use of apartments, requires urgent attention. While some districts like Neukölln have shown success in collecting fines, overall enforcement remains lax. The Left Party's proposal for a central task force could help address this, alongside stricter enforcement and better coordination among Berlin's districts.
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