German Union Demands Revisions to Proposed Tenancy Law Draft by Justice Minister Stefanie Hubig

German Union Demands Revisions to Proposed Tenancy Law Draft by Justice Minister Stefanie Hubig

The Union faction is calling for revisions to the draft tenant‑law bill presented by Justice Minister Stefanie Hubig (SPD). Deputy Union faction chair Günter Krings told the news outlets of the Funke‑Media Group that the draft needs “adjustments in several places”. He highlighted the need for corrections around index rents and short‑term lease agreements, otherwise “a tool that could ultimately benefit tenants would become unattractive”.

Krings said that greater transparency is generally useful for furnished apartments, but the rigid five‑percent flat‑rate surcharge could create new disputes. Under Hubig’s proposal, the furnishing surcharge would be considered reasonable only if it does not exceed five percent of the net cold rent for fully equipped units.

Regarding the proposed grace‑period payment, Krings stressed that it must be explicitly targeted at situations where homelessness is a risk. “In addition to tenant protection, small landlords also need protection against tenants who refuse to pay” he added.

The draft’s increase of the limit for small‑scale renovations to €20 000 is a step in the right direction, Krings said, as construction and craft costs have risen sharply. However, he warned that changes to tenant law alone will not solve the housing crisis. “What matters is that the measures actually help rather than deter investment” he said.

The Union faction’s goal is to stabilize rents by making new construction faster, easier, and cheaper.