Berlin's Holiday Rental Market Remains Opaque

The holiday rental market in Berlin continues to be shrouded in uncertainty. A precise count of available holiday apartments remains elusive, particularly regarding those that operate without registration. However, changes are anticipated in the future, though not within the current year.

Efforts to combat illegal holiday rentals in Berlin have proven challenging. According to Christian Gaebler, the city's senator for urban development, a software solution is expected to be implemented by spring 2026. This system will adhere to EU regulations and will enhance the ability to monitor platform operators more effectively. Gaebler noted that these platform providers will be required to share their data digitally, enabling authorities to access information online regarding the locations and operators of holiday rentals.

Until this software is operational, local authorities face a daunting task in identifying illegal holiday rentals. The lack of concrete data regarding holiday apartments in Berlin has been a significant hurdle. Since the prohibition of residential space misuse in May 2014, district offices have issued approximately 4,500 registration numbers for holiday rentals, as revealed by an inquiry from a local parliament member.

However, the actual number of holiday rentals is likely much higher, as suggested by the plethora of listings on various rental platforms. Gaebler expressed concern over the difficulty in accurately determining the number of apartments removed from the housing market due to these rentals, stating that the absence of reliable data complicates the issue. He emphasized that while illegal rentals may not have surged drastically, the situation in other cities like Prague and Barcelona serves as a reminder that the problem persists, particularly in densely populated areas.

The Berlin State Audit Office has criticized local authorities for not taking stronger action against illegal holiday rentals. They noted that citizen reports were often not pursued effectively, and violations were not consistently enforced. Furthermore, there has been a lack of follow-up on whether illegally used apartments were returned to the housing market.

In response, Gaebler pointed out that from May 2014 to December 2024, a total of 27,813 apartments had been affected by these regulations, indicating some level of effectiveness in the enforcement of the rental law. He also expressed optimism that the forthcoming EU regulation would facilitate increased oversight and control over holiday rentals.