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Student Housing Crisis in Baden-Württemberg: Heidelberg Tops Expensive List

Heidelberg's student housing prices are skyrocketing. With 62% of students spending over 40% of their income on rent, urgent political action is needed to keep the region affordable for students.

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1 min read
In this picture we can see the college of three images. On the left and on the right we can see the...
In this picture we can see the college of three images. On the left and on the right we can see the two persons wearing shirts and ties and seems to be sitting on the chairs and we can see the text on the image. In the center there is a building.

Student Housing Crisis in Baden-Württemberg: Heidelberg Tops Expensive List

The cost of student housing in Baden-Württemberg is soaring, with Heidelberg topping the list as the most expensive location. According to the MLP Studenten-Wohnraum-Report 2025, authored by MLP and the Institute of the German Economy (IW), 62 percent of student households spend more than 40 percent of their income on housing. Prof. Dr. Michael Voigtländer, a real estate expert at IW, highlights the pressing need for decisive political action.

In Heidelberg, a small apartment costs around 670 euros, while a model WG room is priced at 630 euros. Rents have increased by an average of 5.2 percent over the past three years. The high student population and limited housing supply are driving these increases. Other university cities in Baden-Württemberg are also feeling the pinch. Freiburg, Stuttgart, and Konstanz have seen significant rental price hikes in recent years, with rents reaching 644 euros, 640 euros, and 571 euros respectively.

The housing market is heading towards a pressure phase due to growing student numbers and limited new apartment construction. Affordable housing is crucial for retaining students, especially international students, in Germany. Decisive political action, such as a construction offensive and more student housing, is needed to improve affordability.

The MLP Studenten-Wohnraum-Report 2025 paints a stark picture of the student housing crisis in Baden-Württemberg. With rents spiralling and student incomes struggling to keep up, urgent political intervention is required to ease the pressure on student budgets and ensure the region remains an attractive study destination.

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