Significantly fewer index-linked rental agreements than expected

Due to the high inflation rates, index-linked rental agreements have been the subject of much discussion in recent weeks and months. When agreeing index-linked rental agreements, landlords waive their right to regularly adjust the rent to the comparative rent. Instead, the rent is based on the consumer price index. A survey by the German Economic Institute revealed that significantly fewer index-linked rental agreements were concluded on the German housing market than expected. The IW calculations showed that only around 2.2% of German tenants have agreed an index-linked rent. Graduated rents, where the rent increases by a fixed amount at fixed times, are similarly less common. Around 3.0% of rents contain such an agreement. The majority of 92.0 % of agreed rental agreements on the German market are standard agreements.