Multitudes flock to government entities for excessive rental payments
In Germany, the housing market has been a subject of concern for many, with rental prices soaring in several cities. The Left Party, a political force in the country, is taking action to address this issue through their advocacy in the Bundestag and the launch of a rental gouging app.
The party's app, introduced in mid-November, is available for comparison with the local rent index in nine German metropolises, including Bochum, Bonn, Cologne, Münster, and Frankfurt am Main. Around 135,000 users have voluntarily entered their data into the app, providing valuable insights into the rental market.
While many cases of overpriced rents are identified through the app, not all are reported to the authorities. Many people fear trouble with their landlord if they report overpriced rents. However, users can choose to have their data forwarded to the responsible authorities via the app.
Frankfurt am Main, for instance, has seen over 1,000 cases processed and 330,000 euros refunded to tenants since 2020. Approximately 5,000 households have filed complaints via the app, paying an average of 242 euros too much per month. This amounts to up to 1.2 million euros per month or almost 15 million euros per year.
The Left Party's efforts align with broader tenant activism and legislative pitches that emphasise rent caps during renovations and investing in affordable housing solutions. The party is advocating for an eased application of paragraph 5 of the Economic Criminal Code to make it easier to impose fines for rental gouging in the Bundestag.
The Left Party is also aiming to make it easier to impose fines for rental gouging through their advocacy. The Economic Criminal Code considers rental gouging, where rents are more than 20% above usual comparison values and the landlord exploits market scarcity, an administrative offense. If rents are more than 50% above usual values, it can be considered a criminal offense under certain conditions, according to legal precedent.
The Left Party is not alone in its fight against rental gouging. The party's efforts in the Bundestag are focused on extending and tightening the Mietpreisbremse (rent control brake), a law that limits rent increases for new leases in designated high-demand areas. The party is also advocating for stronger regulations against large financial landlords and rent freezes and protection against no-fault evictions, especially related to renovation periods.
In summary, the Left Party's rental gouging app is a valuable tool in the fight against excessive rents in Germany. The app, along with the party's advocacy in the Bundestag, aims to make it easier to impose fines for rental gouging, extend the Mietpreisbremse, and provide stronger tenant protections and affordable housing policies.
The Left Party's rental gouging app, providing insights into the rental market, aligns with their advocacy in the Bundestag for stricter fines against rental gouging in the Economic Criminal Code. By targeting rental gouging, the app and their legislative efforts also aim to extend the Mietpreisbremse, promote stronger regulations against large financial landlords, and ensure rent freezes and protection for tenants against no-fault evictions.
In their fight against rental gouging, the Left Party is not only focused on using technology to collect evidence but also on implementing affordable housing policies and improving tenant protections within the context of Germany's broader business, politics, and general-news landscape.
