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GERMANY IN 2024

‘Complete clusterf*ck’: Your predictions for life in Germany in 2024

As a new year dawns in Germany, readers are feeling less than optimistic about what 2024 may have in store - but the forthcoming citizenship law and progress in digitalisation bring a glimmer of hope.

Dark clouds over the Bundestag
Dark clouds over the Reichstag building in Berlin. The Local's readers had gloomy predictions for 2024. Photo: picture alliance/dpa | Kay Nietfeld

It may partly be the gloomy January skies or the biting winter chills, but as 2024 gets off the ground in Germany, the mood seems especially sombre. 

Europe’s largest economy is battling ferocious headwinds, whether it’s the struggling economy, the desperate search for workers or the the rise of the far-right. And that’s without mentioning the bitter war in Israel and Gaza and Russia’s ongoing invasion of Ukraine. 

Against this backdrop, it’s unsurprising that so many of The Local’s readers had fears about how life in Germany could change over the coming year. 

Asked whether they believed life in the Bundesrepublik would get better or worse in 2024, 77 percent said they thought things would get worse, compared to just 15 percent who thought things would improve and 8 percent who thought life would remain roughly the same.

This pessimistic outlook was driven largely by two big fears: the rise of far-right parties like the Alternative for Germany (AfD) and the struggles people are having with the economic downturn and cost of living. 

Tino Chrupalla and Alice Weidel

Tino Chrupalla (l), AfD federal leader and AfD parliamentary group leader, waves next to Alice Weidel, AfD federal leader and AfD parliamentary group leader, at the AfD federal party conference at Magdeburg Messe. Photo: picture alliance/dpa | Carsten Koall

“I fear that with all the financial turmoil (rising energy costs; rents going up because of scarcity of housing; the wars in Ukraine and the Middle East) Germany will continue to lean toward the far-right and find scapegoats in its immigrant population,” said 79-year-old Berlin resident Jaton’ West.

Originally from the United States, Jaton’ said she often saw trends that happen in the US – like the rise of far-right politics – repeated in Germany a few years later.

“When folks get scared, they need something tangible and easily differentiated to blame,” she said. 

Other readers also predicted that extreme anti-migrant parties would gain more traction in 2024, with the AfD potentially gaining its first state premier in either Thuringia, Brandeburg or Saxony.

READ ALSO: OPINION – Germany faces a hellish year in politics amid rise of far-right

Referring to the newcomer on the scene – the socially conservative and migrant-sceptic party founded by former Linke politician Sahra Wagenknecht – one reader said German politics this year would be a “complete clusterf*ck,” with the AfD winning in eastern states and Wagenknecht emerging as the wildcard. 

Many readers felt that though the government was likely to make good progress on its skilled immigration law and passing the new citizenship law, attitudes to foreigners in Germany would remain the same – or even get worse.

One anonymous respondent told us they were concerned that more discrimination and polarisation could take place in 2024 as the new immigration law stokes resentment, particularly among “grumpy middle-aged German men”. 

“Purely based on observations and with no empirical evidence, my gut feeling is that Germany knows it needs immigration but I’m not sure it really wants it,” said Frankfurt resident Simon Slade.

Cost of living crisis 

Beyond fears about a rising tide of extremism, many readers were also feeling battered by the increased expense of living in Germany – and were worried things could get worse this year.

“High inflation, increase in taxes, deterioration of public services and infrastructure and lower economic performance” were the gloomy predictions one 42-year-old Berliner made for 2024.

“People will have less money to save due to higher costs,” they added.

“House prices and rents will continue to rise as will utilities and food prices,” said Simon Slade. “This could be managed by government borrowing but the German fiscal discipline mindset will end up causing unnecessary austerity.”

However, Simon said he thought the economic picture could brighten up around the second half of the year.

“Germany is economically affected more than most by world political events,” he said. “So, provided Trump doesn’t get in, Hamas gets defeated and Ukraine wins, things should get better!”

Woman euro notes

A woman takes several euro notes out of her wallet. Photo: picture alliance/dpa | Jonas Walzberg

Though the overall inflation rate has been dropping in recent months, 34-year-old AK in Hamburg predicted there could be as much as a five or 10 percent hike in the cost of living.

READ ALSO: What’s the outlook for the German job market in 2024?

On a wider scale, the German economy could be hampered by “low performance, lots of strikes, and low productivity”, they said.

Other readers pointed out that the government’s tough rules around borrowing could limit their options when it comes to finding money to spend.

“The government and social organisations will require money, and the only place to get it is from the public,” said 45-year-old CP in Baden-Württemberg, who is moving to New Zealand after 17 years in Germany in part due to the economic situation. “This will include raising taxes, attempting to bring freelancers into this public social security system, etc.” 

A sunnier outlook on the economy came from Jaton’ West, who told us she thought the new skilled worker immigration law could bring about positive changes.

“I hope that changes to immigration laws will result in filling more vacancies, which will also increase the demand for goods and services, which will eventually result in more jobs,” she said. 

More digitalisation and better trains?

Of course, not everything is set to go downhill in 2024, and many of our readers said they thought the government would make progress on a few key issues this year.

Almost half of respondents (46 percent) said they expected Germany to make some headway with improving the national’s rail services and public transport, while the same percentage also said they thought the government would make progress with the new dual citizenship law.

READ ALSO: Everything that changes in immigration in Germany in 2024

Incredibly, around 40 percent of readers picked digitalisation as a topic they thought Germany would progress on in 2024, with one reader predicting that there would be more opportunities to pay by card in German shops and restaurants this year.

On the more pessimistic end, just 23 percent said they thought the government would successfully ease its immigration rules or boost the economy. 

Even worse, a meagre eight percent thought Germany would start making foreigners feel more welcome in 2024 – the same percentage who thought the government would tackle the housing crisis.

A sign for the immigration office in Frankfurt am Main.

A sign for the immigration office in Frankfurt am Main. Photo: picture alliance/dpa | Sebastian Gollnow

Beyond these domestic issues, many pointed out that the Bundesrepublik would continue to be affected by global events like the ongoing wars in Ukraine and the Middle East.

For AK in Hamburg, the main hope was to see “more solidarity with the Palestinians” this year, as thousands of civilians – mostly women and children – continue to be killed by Israeli forces.

For Jaton’ West, trends in global politics would be key to whether Germany could get solve some of its issues at home. 

“Germany is at the mercy of all these events that are beyond its control,” she explained.

“For example, we certainly need to support Ukraine, because if Putin wins, who knows what country he will go after next. This also means we need to beef up our own military.

“But this means less money is available to address internal problems like the energy, housing, and teacher shortages. And half-way addressing both external and internal problems could mean succeeding at neither.”

Thank you so much to everyone who completed our survey. Although we weren’t able to use all the responses, we read them all and they helped inform our article.

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READER INSIGHTS

How foreign residents in Germany are winning rent reductions

Rent is often the biggest expense for foreign residents in Germany. Even though there are rent controls in some cities, tenants can still be charged too much. Readers shared how they managed to get a rent reduction.

How foreign residents in Germany are winning rent reductions

The Local asked readers whether they have tried to reduce their rents in Germany, and to what end. 

Of the readers who responded, nearly half said they had never tried to reduce their rent. Among the other half of respondents, many said they either wanted to reduce their rent or were currently in the process of trying to have it reduced. 

About 18 percent of respondents to our survey said they had successfully reduced their rents in Germany before.

Why do residents want rent reductions?

Germany notoriously has the lowest rate of home ownership in Europe, which has long been attributed to being a country with high real estate prices and relatively low rents.

But this means that a large number of German residents are directly affected by rising rents. Low-income individuals living in urban hubs where rents have been rising rapidly in recent years are particularly vulnerable.

According to Germany’s statistical office (Destatis), 11.8 percent of the population was overburdened by housing costs as of 2022 – meaning these households spent more than 40 percent of their income on housing.

Unsurprisingly, a number of readers cited inflation and cost-of-living increases as the primary reason they wanted to try for a rent reduction.

READ ALSO: How to grow your savings in Germany during high inflation

A couple of readers noted that their current rent prices are making their living costs too high.

Rothe, 29, who lives in Aachen, says she can’t bear her current rent but is stuck in a contract.

Similarly, Lucas, 35, who lives in Horb am Neckar said he wants to reduce his rent to balance his expenses following the recent cost-of-living hikes. He says he’s tried to negotiate with his landlord, who doesn’t care to do so.

While landlords are unlikely to grant a rent reduction based on inflation or cost-of-living increases, there are a few reasons you can legitimately demand a rent reduction in Germany.

Make sure your rent isn’t exceeding the price brake limit

The rent price brake (Mietpreisbremse) isn’t perfect, but it’s arguably Germany’s strongest protection for tenants against rising rents. 

It’s designed to prevent landlords from raising rents to ‘unreasonable’ levels, but with no central agency for enforcement, the burden falls on tenants to demand legal rents.

READ ALSO: German rent brake to be extended until 2029: What you need to know

Andrew, 62, successfully reduced the rent he pays for his flat in Berlin’s Gesundbrunnen area with the rent brake rule. After he realised the “rent was high for the location”,  he contacted his tenant’s association.

He thought that his landlord responded in a reasonable manner: “They thought the condition of the flat justified the higher rent and paid a friendly visit to point out the features,” Andrew said.

“We countered that the features were all quite old and that the previous tenants had been on a lower rate.”

Mieten runter "rents down"

The words “Rents down” are graffitied on the wall of a rental building. About 75% of Berlin rents are set illegally high, a legal expert told The Local. Photo: picture alliance/dpa | Monika Skolimowska

The rent brake prohibits landlords from setting rents more than 10 percent above a local average value, which is recorded in a local rent price index. You can find your local rent price index by searching for the German term “Mietspiegel”, along with the name of your city or region.

Here is one for Berlin, which allows you to calculate your rent index based on your current address and a few factors such as the area of your flat and how old the building is etc.

Andrew recommends joining a tenants’ union and using an online calculator to check if your rent is reasonable. He also says you should be prepared to negotiate and to compromise where necessary.

Gerson, 50, who lives in North Rhine-Westphalia, also found that his current rent was too high for his location. He says he is currently looking for a company that can assist him with the process to demand a rent reduction.

David, 57, in Berlin said he believes his rent is “illegally high” compared to other and he has hired a lawyer to go through the process of trying to get a rent reduction. 

There are also legal service providers that can help with renters’ issues in Germany, and some that even specialise in winning rent reductions with the rent price brake. You can find some of them through an online search. You may want to look for one that will initiate the process at no cost to you. Some will even complete the service with no cost to tenants, applying their fees instead to the landlords at fault in the event that they win a rent reduction.

READ ALSO: Why are Berlin rents soaring by 20 percent when there’s a rent brake?

It’s also worth noting that the rent price brake only applies to rental markets that are considered highly competitive. So it applies to most of Germany’s big cities, but may not apply in suburban or rural regions.

Overcharged by faulty measurements

Rents prices in Germany are usually calculated according to a price per metre of living space. Therefore, in some cases, it may be worth double checking that your living space has been calculated accurately.

One reader, who didn’t wish to be named, told The Local that he had previously reduced his rent for an apartment in Düsseldorf in this way.

“We had a small attic apartment with slanted walls,” the reader said. “The total square metres of the apartment were based on measurement from wall to wall. However, walls had to be straight to a height of at least 1.2 metres before the slanted side can begin [or else] the total square metres start from the point where the vertical height of 1.2 metres is available.”

After he learned about this requirement he measured the apartment, and found that his own rent had been based on a measurement of the floor plan, not the legally defined living space. Then he contacted his tenants’ association, which sent an architect to confirm the measurements.

Initially sceptical, his landlord sent another architect to check the measurements. But when it was confirmed, his rent was lowered accordingly. “Turned out that we had to pay for about 10 square metres less all in all,” the reader said.

This incident was 15 years ago, and these types of regulations can vary from region to region.

His advice to readers is to check up on the local regulations that may apply to your situation. 

In other cases, some renters have been able to negotiate rent reductions for other inconveniences – such as excessive noise, for example.

READ ALSO: How to get a rent reduction for problems in your German flat

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