Short-Term, Fully Furnished Rental Units: Challenge to Flat-Fee Limits
Fun with Furnished Flats: IVD Fights Against One-Size-Fits-All Rules
A Article
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PR: IVD Stands Against Bulldozing Short-Term Rentals
Berlin, June 24, 2025 - The federal government, backed by the coalition agreement, plans to impose stricter regulations on furnished and temporary rentals in turbulent real estate markets. Even Berlin's capital mayor, Kai Wegner (CDU), has vocalized support for these tougher restrictions. IVD Berlin-Brandenburg supports the objective of securing affordable housing, but vehemently protests regulations that hinder sensible housing arrangements and overlook systemic issues.
Short-term rentals, such as those for students, freelancers, or transitional times, serve a valuable purpose - especially in lively urban centers like Berlin. They relieve the housing crunch without competing with conventional rental apartments intended for families or long-term resdients. "Furnished apartments and adaptable housing options are essential for a fluid city like Berlin. Imposing blanket bans on them denies solutions, not creating new homes, but hindering opportunities," says Kerstin Huth, chairwoman of IVD Berlin-Brandenburg.
The association emphasizes: The vast majority of landlords behave honestly. Only a small fraction capitalizes on the potential of short-term rentals - partially due to the highly regulated housing market. "If we didn't enforce rent control, we wouldn't have to discuss short-term rentals," says Kerstin Huth.
Relax Regulations, Build More Homes
IVD Berlin-Brandenburg champions a housing policy that prioritises growth over control. "Only by making property development profitable again can we generate new housing, which benefits everyone," asserts Kerstin Huth.
From an economic perspective, furnished and temporary rentals don't necessary hold more appeal. Higher purchase and maintenance costs, frequent tenant changes, and administrative obligations contribute to their unattractiveness compared to long-term leasing.
About IVD Berlin-Brandenburg
IVD is the leading association for consulting and service professions in the real estate sector. It boasts around 6,000 member companies across Germany, including 1,500 property managers. In Berlin and Brandenburg, the regional and capital association of IVD oversees over 600 companies. Members of IVD include real estate consultants, real estate brokers, property developers, property managers, financial service providers, and many other real estate industry professionals. Admission to IVD is contingent upon passing a comprehensive knowledge and expertise exam and possessing liability insurance for property damage. The full name of the organization: "Immobilienverband Deutschland IVD Verband der Immobilienberater, Makler, Verwalter und Sachverständigen Region Berlin-Brandenburg e.V."
FYI: Berlin's Short-Term Rental Market in 2025
In 2025, the city of Berlin has limited short-term rental options for entire apartments to a maximum of 90 days per year unless the apartment is the primary residence of the host. Strict fines, up to €500,000, are imposed for non-compliance, reflecting increased enforcement efforts. These regulations expanded from earlier restrictions targeting residential areas to now encompass the entire city[1][5].
Curtailing short-term rentals contributes to better housing availability for locals by freeing up apartments for long-term rentals, lessening mounting pressure on the local rental market. Stronger tenant protections and rent controls further help stabilize rental prices, as excessive demand for housing often drives up costs[3][4]. As alternatives, some investors and property owners have started focusing on mid-term rentals (lasting several months, rather than days or weeks), as these rentals may be less regulated than short-term rentals[2].
- "IVD Berlin-Brandenburg, in its efforts to promote sensible housing arrangements, advocates for a flexible approach to real-estate, especially in the realm of furnished and temporary rentals. Such accommodations are crucial for a city like Berlin, providing solutions for students, freelancers, and those transitioning between residences."
- "Moreover, IVD Berlin-Brandenburg suggests that relaxing regulations on short-term rentals could potentially stimulate business growth within the real-estate sector. Although there may be higher costs associated with maintaining these properties, service providers such as property managers, financial service providers, and real estate brokers could find opportunities in the shifting landscape of short-term rental investments."