If you’ve recently moved to Germany or are planning to, one of the most important steps is figuring out where and how to live. Housing in Germany can be quite different from other countries, and navigating the system as a new resident can feel overwhelming. This guide focuses on renting a home and provides everything you’ll need to know to find the perfect place.

Renting in Germany: The Basics 

While purchasing property is an option, renting is far more common, especially for expats. Germany has one of the lowest homeownership rates in Europe, with about 50% of the population renting their homes. The rental process is fairly structured and requires proper documentation, but it’s generally transparent and well-regulated.

Types of Housing Available for Rent 

Here are the main types of housing options you’ll find in Germany: 

• Apartments (Wohnungen): The most common rental type. Sizes range from one-room studios (Einzimmerwohnung) to multi-room flats.

  • In 2025, studio apartments typically start at €700–€900/month in western cities.

  • Two-bedroom flats in cities like Munich or Frankfurt range from €1,800 to €2,800/month.

  • In eastern cities like Leipzig or Dresden, studios start around €400/month, and two-bedrooms go for €800–€1,200/month.

• Houses (Häuser): Detached or semi-detached, more common in suburban or rural areas.

  • Western Germany: From €1,800/month and up.

  • Eastern Germany: Around €1,200/month and up, depending on location and size.

• Shared Flats (Wohngemeinschaft or WG): Ideal for students or young professionals.

  • Rent per room in the west: €400–€700/month.

  • In the east: €200–€400/month.

Understanding Rent Costs in Germany 

Rental costs in Germany vary considerably depending on location and whether you’re in the western or eastern part of the country: 

• City Centres: As with most cities, living in the central urban areas is very convenient but comes at a larger cost. No matter whether you're in the west or east it'll be expensive. Munich notably being the most expensive city on average. In western cities you'll still be paying for more than you would in the east.

• Suburbs and Rural Areas: Suburban areas are quieter and more affordable in both western and eastern regions. However, rents in suburban and rural areas in the west are still higher than those in the east. These areas are ideal for those who don’t mind commuting or who prioritise family-friendly neighbourhoods and green spaces. 

Additional Costs to Expect: 

• Cold Rent (Kaltmiete): This is the base rental price and does not include utilities. 

• Warm Rent (Warmmiete): This includes utilities such as water and heating but usually excludes electricity and internet. 

• Security Deposit: Typically 2–3 months' rent. 

When deciding where to live in Germany, it’s important to keep in mind the significant cost differences between western and eastern regions (if you have the option). This distinction can help you budget more effectively and find a place that suits your needs.

Popular Places to Live for Expats in Germany

Certain cities and neighbourhoods are particularly popular among expats for their job opportunities, cultural diversity, and community atmosphere. Here are some top picks:

Berlin

• Why Expats Love It: Start-up culture, diversity, and relatively affordable options.

• Neighbourhoods: Kreuzberg and Neukölln are popular among creatives and younger internationals thanks to their edgy vibe, multiculturalism, and thriving food scene. Prenzlauer Berg offers a quieter, family-friendly atmosphere with leafy streets and good schools.

Munich

• Why Expats Love It: Great salaries, scenic beauty, top quality of life.

• Neighbourhoods: Schwabing is known for its upscale cafes and art scene, attracting professionals and creatives. Haidhausen combines historic charm with modern amenities, making it ideal for young families and expat couples.

Hamburg

• Why Expats Love It: Maritime charm, media and logistics hub.

• Neighbourhoods: Ottensen features cobbled streets and a cozy, village-like atmosphere perfect for families. Sternschanze, on the other hand, is dynamic and trendy, home to students, artists, and a vibrant nightlife.

Frankfurt

• Why Expats Love It: Global financial hub, strong expat community.

• Neighbourhoods: Sachsenhausen offers a relaxed, leafy setting across the river with parks and traditional taverns. The City Centre is fast-paced and walkable, ideal for professionals working in banking or consulting.

Düsseldorf

• Why Expats Love It: Creative industries, more relaxed than other metros.

• Neighbourhoods: Pempelfort is lively with a mix of art galleries and cool bars, while the Rhine Tower area is scenic and modern, great for those who enjoy riverside living.

Stuttgart

• Why Expats Love It: Green surroundings, auto industry jobs, family appeal.

• Neighbourhoods: Stuttgart-West is known for its vibrant local life, independent shops, and cafes, attracting young professionals. Degerloch, located on a hill, offers quiet, leafy streets and great views—a favorite among families and those seeking a slower pace.

Urban vs Suburban Living in Germany

To decide whether urban or suburban living is the right fit, consider your lifestyle needs and priorities.

Urban Living

Ideal For: Young professionals, students, creatives, expats without families.

Advantages:

• Efficient Public Transport: Cities like Berlin, Munich, and Frankfurt offer extensive U-Bahn and S-Bahn networks, reducing the need for a car.

• Job Opportunities: Close to major companies, especially in tech, finance, media, and plenty of start-ups.

• Social Life & Culture: A vibrant mix of bars, museums, festivals, and international restaurants. Perfect for social butterflies and culture seekers.

• Diverse Communities: More chances to meet fellow expats and participate in international networking events.

Challenges:

• Higher Costs: Urban rents are significantly steeper as stated before.

• Smaller Spaces: Compact apartments are the norm, and balconies might be the only outdoor space.

• Noise & Crowds: Street noise, weekend revelers, and limited parking can be stressful for those who crave peace.

Suburban Living

Ideal For: Families, remote workers, nature lovers, long-term residents.

Advantages:

• More Living Space: Detached houses or larger apartments with gardens, ideal for children or pets.

• Lower Rents (Especially in East Germany): A house in Dresden’s suburbs might cost €1,200/month vs. €2,000+ for a two-bedroom apartment in central Hamburg.

• Family-Friendly: Access to playgrounds, schools with better reputations, and quieter, safer streets.

• Nature Access: Easy to reach parks, forests, and hiking trails. Perfect for weekend escapes.

Challenges:

• Commuting: Even with Germany’s strong transport, expect 30–60 minutes into the city. Longer if you're outside the S-Bahn ring.

• Limited Services: Fewer cafes, international restaurants, or late-night options.

• Language Barrier: Suburban areas may be less expat-friendly, with fewer English-speaking services or neighbors.

Tips for Renting a Home in Germany

• Start Your Search Early: The housing market, especially in cities like Berlin and Munich, is competitive. Platforms like Immobilienscout24 or WG-Gesucht are great starting points for finding rentals.

• Be Prepared for Viewings: Popular apartments can attract several applicants, so be ready to act quickly and professionally during viewings.

• Understand Your Lease Agreement: Contracts in Germany are detailed and legally binding. Make sure you read and understand the terms, particularly regarding notice periods and maintenance responsibilities.

Conclusion

Finding your home away from home as an expat in Germany can be an exciting part of your relocation experience. Whether you choose the hustle and bustle of city life or the peace of the suburbs, having the right information and preparation can make all the difference.

If you’re just starting your housing search or need additional support, make use of online housing platforms and expat forums. Good luck with finding your perfect home in Germany!