SHARE
COPY LINK
For members

HOUSING

German housing co-ops: What are they and how do I sign up?

With rents surging in many major cities across Germany, many long-term renters are now on the lookout for a more secure alternative. Housing co-ops may just provide the answer.

German housing co-ops: What are they and how do I sign up?
A Wohnungsbaugenossenschaft in Heidelberg in 2017. Photo: DPA

In recent years, a fair few disillusioned renters have chosen to move out of the rental market entirely and purchase their own property, but others are instead opting to become a member of a Wohnungsbaugenossenschaft (housing cooperative).

If, like many internationals, you’ve developed a severe allergy to bureaucratic words like Anmeldebescheinungen and Einkommensteuererklärung, coming face to face with yet another eight-syllable compound noun is probably not a welcome experience. But in this case (as with many scary-looking German words), the concept is simpler than the name suggests. 

Wohnungsbaugenossenschaften are a historic and fundamental part of Germany’s housing policy, offering an affordable and secure alternative to both renting and buying. Co-ops are essentially non-profit companies run on principles of self-help, community and solidarity, which buy and build housing for their members. 

To access most of this housing, you first have to become a member of the co-op and purchase a certain share in the initiative which is used to build and maintain the co-op’s housing stock. 

When a suitable flat comes up, you pay a monthly fee – similar to rent – for use of the property. Once in, members have the right to remain a member of the co-op – and stay in their current flat – for life.

This has made co-ops a popular choice for the elderly, young families and people on low incomes who are currently being priced out of the private rental market. 

READ ALSO: ‘Be patient’: What you should know about buying property in Germany

Living in a housing co-operative 

The word housing co-op may conjure up images of hippie communes with shared living spaces, allotments and huge pots of lentils steaming on the stove – but although communal living has been an aspect of some recent housing projects, the experience is normally pretty similar to renting privately.

“There’s a much better sense of community than in other housing blocks I’ve lived in,” says Rachel Riesner-Marriott, who lives in a flat in Berlin’s Treptow-Köpenick district.

Originally from the UK, she became a member of her German husband’s housing co-op when they moved in together a few years ago, and recommended her parents as members when they moved to Berlin. 

A Wohnungsbaugenossenschaft in Lichtenberg in Berlin. Photo: DPA

Ellie Stephenson, who found a co-op flat in the sought-after Berlin-Neukölln area, agrees. “It’s the norm that you’re nice and friendly to your neighbours in the co-op,” she says. “So for someone who loves wild parties or needs a lot of privacy, it may not be the best option.”

The co-ops organise regular events for members – Ellie’s, for instance, hosts flea markets and garden parties – but there’s no obligation to join in with the communal fun. As with monthly meetings and other organisational matters, members are free to choose how much they participate in the social side and everyday running of the co-op.

There is, however, an emphasis on community and solidarity, reflected in the choice to use local tradespeople for maintenance and repairs, and the drive to keep costs for tenants as low as possible.

At the start of the Covid-19 pandemic, Ellie received a letter from her housing co-op to explain that none of their members would lose their flat as a result of the pandemic. “It was a lovely letter, offering use of their hardship fund for people who couldn’t afford their rents,” she says.

Fees for tenants in co-ops tend to be below market rate, especially in older buildings, and both Rachel and Ellie describe them as highly affordable. In her previous co-op apartment, Ellie’s rent went up once in the space of six years.

When it did, she was sent a long letter full of numerical charts and legal explanations, delivering the news that she would now be paying a grand total of €4 more per month.  

According to anecdotal reports, the age of residents in co-ops tends to skew a bit older, although this is changing year on year. 

“It’s a mix, honestly,” says Rachel. “I see young families, single people (who often live in the one-room flats) and older people, but generally there is a lean towards older people.” 

According to Ellie, however, the demographics of her housing co-op are also slowly but surely becoming more diverse – and noticeably more international. “I’ve started to hear English in the corridors a little more,” she says. 

It seems that the shifting demographic makeup of the country has started to impact life in the housing co-ops, too, especially in urban centres like Berlin. 

Check out The Local’s hundreds of listings in Germany on our apartment rental page

Sounds great – where can I find one? 

In 2016, there were almost 2,000 housing co-ops across the country, providing more than two million flats for around 5 million people.

As you’d expect, most of these tend to be concentrated in larger cities: Berlin, for instance, has at least 80 co-ops with around 160,000 apartments, while Hamburg has 30, which offer around 130,000 apartments in total.

Housing stock can be anywhere in the city – including some of the most desirable residential areas – though statistics from the Institute for Research into Buildings and Cities (BBSR) suggest that they’re more likely to be concentrated outside of the centre to keep costs low for tenants. 

Unfortunately, at the moment, the demand for this type of housing far exceeds the supply – especially in metropoles like Berlin. 

According to a spokeswoman for the Housing Co-operative Marketing Initiative, this has made finding a co-op flat an uphill struggle.

“Taking Berlin as an example, the co-ops there have far more interested tenants than they do flats, and for that reason many of them are no longer taking members until they’re able to offer these newcomers an apartment,” she explained.

A housing co-op in Schwerin. Photo: DPA

This type of situation has led to horror stories of prospective tenants languishing on waiting lists until their hair turns grey – but luckily for anyone dreaming of the co-op life, the outlook isn’t as gloomy as it may appear.

“In spite of the strained housing market, Berlin co-ops offer around 5,000 new apartments every year, and about half of these go to new members, so it’s absolutely still possible to get hold of a co-op flat,” said the spokeswoman. “Just don’t expect it to happen so quickly!”

While rising demand may be hard to keep up with, both state and federal governments now see housing co-ops as a cornerstone of German housing policy and a potential solution to the desperate need for social housing.

A few years ago, the governing coalition in the Hamburg Senate set a target of making half of all building community plots available for newly founded housing co-ops.

Meanwhile, co-ops such as Ellie’s are keen to open up their stock of apartments and raise awareness of the model among a new generation of house-hunters. A note on their website states that the co-op is currently “trying to revive the cooperative idea, especially among younger people and families”.    

OK, so how do I get into one? 

If you’re thinking of joining a housing co-op, the first step is to find one near you. The Housing Co-operative Marketing Initiative – Wohnungsbaugenossenschaften.de – has more than 400 members, including many of the largest co-ops, which are all searchable by region or city on their website. 

Most of these co-ops will be named after neighbourhoods in your town or city, but you shouldn’t always take this at face value: in reality, their stock of apartments might be concentrated elsewhere in the city, so it pays to do a little digging on their websites as well.

If you’re in a large city where demand for these flats outstrips supply, you may need to be a little less picky about area and simply look for housing co-ops that are still accepting new members. 

Otherwise, it could be worth asking around to see if anyone you know is already in a co-op. To ensure you get in at the right time, ask them to keep an eye out for vacant flats in their building and recommend you as a member either before – or as soon as – an empty flat appears.

READ ALSO: Renting vs. buying in Germany: What is actually cheaper?

This is how Ellie secured her first co-op flat. Having noticed that a ground-floor apartment in their co-op had been vacant for a while, a friend recommended her for it, and, after what she describes as “a lot of chasing” – and completing an application for membership – she was able to move in.

Whether or not there are any apartments currently on offer, it makes sense to sign up as a member with a co-op and buy shares in it in order to have a good chance of securing a flat in the future. The cost of these shares varies quite a bit, and seems to be dependent on both location and the financial health of the co-op.

In Freiburg, one housing co-op asks new members to buy three shares at a total value of €930 before they can secure a flat; at another co-op in Dortmund, meanwhile, members are asked to buy one share at €550, while in Berlin-Mitte, two shares in a local housing co-op will cost you around €320. In addition to this, there’s usually a one-time entry fee of around €50 to pay.

Once in, shareholders will receive annual dividends. 

To give yourself the best chance of getting accepted when a property does become available, it’s a good idea to brush up on your German a little.

While this is by no means essential for membership, it may help you make a better impression at viewings and become a more active member of the co-op community.

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.

INSIDE GERMANY

Inside Germany: ‘Ampel’ makeover and can Euro 2024 bring Germans together?

From how the Euros are providing a sense of relief in Germany amid heightened tensions to a traffic light transformation in Frankfurt and lucky chimney sweeps, here's what we've been talking about this week.

Inside Germany: 'Ampel' makeover and can Euro 2024 bring Germans together?

Inside Germany is our weekly look at some of the news, talking points and gossip in Germany that you might not have heard about. It’s published each Saturday and members can receive it directly to their inbox by going to their newsletter preferences or adding their email to the sign-up box in this article.

The Euros are bringing Germans together – but tension remains 

Whichever way you look at it, it’s been a turbulent few years. In the aftermath of the Covid pandemic, Russia launched a full-scale invasion of Ukraine, sparking forced migration, an energy crisis and fears over war spreading in Europe. 

In Germany, the cost of living crisis has been gripping residents for years, resulting in increased strike action and protests. Meanwhile, the economy has tanked, support for the coalition government is falling dramatically, division remains over war in the Middle East and the the far-right has climbed in the polls. At the recent European parliament elections, Alternative for Germany (AfD) took second position in the national vote. 

READ ALSO: What do Germany’s far-right gains in EU elections mean for foreigners?

With these unresolved issues, you might think that Germany would struggle to come together to organise the UEFA Euro 2024 tournament this summer.

But so far, Deutschland has been a fantastic host.

The scenes of fans from different countries gathering in German cities and mixing with locals have been joyous to see. 

Games and logistical matters are taking place without any major problems (at least most of the time).

Hammering Scotland 5-1 in the opening game may have brought Germans a much needed boost. Seeing residents from all walks of life huddle around TVs on streets or attend fan zones to cheer on their team has felt like something we’ve all needed after such heavy years. 

Perhaps if the German team goes far, it will unite people even more. 

But the tension is still around. 

A recent survey by broadcaster WDR’s Sport Inside, found that one in five respondents would prefer if the German national team had more “white” players, highlighting racist attitudes. 

It comes after German partygoers were filmed singing “foreigners out!” on the holiday island of Sylt. 

The Euros are providing much-needed light relief in Germany right now – but football won’t fix everything. 

Frankfurt Ampelmann gets makeover

Football figures on the traffic lights in Frankfurt to celebrate Euro 2024.

Football figures on the traffic lights in Frankfurt to celebrate Euro 2024. Photo: picture alliance/dpa | Andreas Arnold

Football fever is gripping the nation – and Frankfurt has updated its traffic lights or Ampeln to to celebrate

Anyone walking through central Frankfurt might spot the Ampelmann (traffic light man) giving a red card or kicking the ball – depending on the colour. 

German cities are known for their unusual traffic light figures. 

The most famous are the Ampelmännchen (little traffic light men) in Berlin. These were first created in what was then East Berlin back in 1961 and now appear on various traffic lights in the centre of the German capital. 

Germany in Focus

In the latest episode of our Germany in Focus podcast, we talk about our highlights of Euro 2024 so far, why the German coalition is hanging by a thread, the postal system reform, how offices are preparing for the German citizenship law changes and the German vocabulary you need to watch football. 

Lucky chimney sweeps

My building recently received a visit from a lovely Schornsteinfeger (chimney sweep) to check our boilers were in working order. 

It reminded me that seeing a chimney sweep is meant to bring good luck in Germany. 

That’s because they traditionally came to homes to clean out chimneys, removing soot and dirt, which would help ward off the possibility of fires (as well as unwanted evil spirits). 

A chimney sweep on a roof on Maulbronn, Baden-Württemberg in 2023.

A chimney sweep on a roof on Maulbronn, Baden-Württemberg in 2023. Photo: picture alliance/dpa | Bernd Weißbrod

They may not actually be going into chimneys and getting covered in soot these days but they’re still providing maintenance and checking on various heating systems which can only be a Glücksbringer (lucky charm).

You’re supposed to get even more luck if you touch a chimney sweep – for example by shaking their hand or twisting one of their silver buttons – but you should probably ask them first. 

If you see a Schornsteinfeger on New Year’s Day or on your wedding day it’s meant to be even luckier.

SHOW COMMENTS