(de-news.net) – The Federal Ministry of Justice has announced that the Expert Commission on Tenancy Law—comprising judges, legal scholars, and representatives of both landlords and tenants—intends to present proposed amendments to tenancy legislation by the end of the forthcoming year. The establishment of this commission was stipulated in the coalition agreement between the CDU, CSU, and SPD.

Meanwhile, Federal Justice Minister Stefanie Hubig (SPD) has underscored the necessity of introducing tangible legal consequences for violations of rent control provisions. She advocates for the imposition of stricter sanctions against landlords who engage in rent gouging or otherwise contravene existing regulatory frameworks. Under Minister Hubig’s leadership, the commission is expected to formulate recommendations aimed at enhancing the efficacy of rent regulation instruments by the close of 2026. In addition to punitive measures, Hubig has emphasized the broader imperative of reinforcing tenancy law to promote social equity and housing stability. She announced forthcoming initiatives to expand tenant protections, including revisions to the legal treatment of furnished accommodations, indexed rental agreements, short-term leases, and grace period payment arrangements.

Christian Schuchardt, representing the German Association of Cities, has called for a revision of the rent gouging clause within economic criminal law, citing its current lack of practical enforceability. This position has been echoed by both the German Tenants’ Association and the Social Association VdK, which have jointly highlighted the inadequacy of existing enforcement mechanisms and the urgent need for more robust legal safeguards. Conversely, the Central Real Estate Committee (ZIA) has expressed concern that intensified rent regulation may deter investment in residential construction, thereby undermining efforts to expand housing supply.

In a related development, Dennis Radtke, a member of the CDU’s social policy faction, proposed the use of tax incentives to stimulate the development of business housing. He characterized the housing shortage as a pressing social challenge with significant implications for economic resilience and workforce recruitment. Radtke further advocated for the reduction of construction costs, noting that regulatory burdens have led to a doubling of building expenses over the past decade. He also endorsed broader access to homeownership, referencing Austria’s rent-to-own model as a potential template.