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Germany’s housing minister proposes fees for wealthy tenants in subsidized apartments

Why should high-income tenants keep subsidized homes? A bold plan to free up social security housing sparks debate. Could this fix Germany’s housing shortage?

In this image I can see a poster which has so many buildings and text highlighted on it.
In this image I can see a poster which has so many buildings and text highlighted on it.

Germany’s housing minister proposes fees for wealthy tenants in subsidized apartments

Federal Housing Minister Verena Hubertz has proposed a new measure to tackle the shortage of affordable housing in Germany. She suggests introducing an additional fee for high-income tenants living in subsidized apartments, also known as social security housing.

Hubertz aims to encourage states to adopt this approach, which could free up more subsidized apartments for those in genuine need. Currently, the federal contribution of €23.5 billion is more than doubled by the states, with no evidence of any regions introducing extra charges for high-earning tenants in social security housing.

Hubertz questions why high-earning tenants, such as architects who moved in as students, should continue living in social security housing. She proposes a surcharge for improper occupancy, similar to the system in Hesse. The minister emphasizes the need to determine the most effective use of the planned €50 billion investment in social security housing by 2029, suggesting simplified and modular construction methods.

Hubertz promises a turnaround in the declining number of subsidized apartments. She believes her proposal could help achieve this by ensuring that those who can afford it contribute more, freeing up housing for those who need it most. The federal and state governments are set to invest around €50 billion in social security housing by 2029, and Hubertz is determined to ensure these funds are used effectively.

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