Düsseldorf rental prices rose by 5.7% year-over-year in the third quarter, marking one of the sharpest increases among Germany’s major cities. According to data from the Kiel Institute for the World Economy (IfW), only Hamburg saw a steeper annual increase, while Düsseldorf’s quarterly growth of two percent trailed only Berlin.
Rental Market Growth Trends
The IfW’s GREIX index, which tracks rental and purchase price developments across 37 German cities, indicates a national average increase of 1.2% over the previous quarter and 3.7% compared to the same period last year. Jonas Zdrzalek, the project manager at the IfW, noted that the upward momentum in rental prices is accelerating after two quarters of relative stability.
This growth is primarily driven by existing residential properties rather than new builds. Data shows that new construction apartments in major cities remain among the most expensive options on the market. "At these prices, only a smaller circle of households is eligible as tenants, and that can prolong marketing," Zdrzalek said. The institute observed that newly built apartments have remained on the market for an average of 14 days longer than existing units over the past four quarters.
Comparing Düsseldorf to National Rental Levels
Despite the recent price spikes, Düsseldorf’s average cold rent remains below the levels seen in several other major German metropolitan areas.
| City | Average Cold Rent (per sq. meter) |
|---|---|
| Munich | 23.70 Euro |
| Hamburg | 16.50 Euro |
| Cologne | 16.00 Euro |
| Düsseldorf | 15.10 Euro |
While Düsseldorf’s rental costs are rising rapidly in percentage terms, the city’s absolute average of 15.10 Euro per square meter keeps it outside the top tier of the country’s most expensive rental markets.
Frequently Asked Questions
Why are existing apartments seeing higher rent increases than new builds?
Higher price points for new construction limit the pool of potential tenants, slowing down the leasing process. Consequently, demand is currently more concentrated in the existing housing stock, which is driving steeper price growth in that segment.
How does Düsseldorf’s growth compare to other cities?
Düsseldorf’s 5.7% annual increase is significantly higher than the national average of 3.7%. While it is currently experiencing one of the fastest growth rates in Germany, its average base rent is still lower than that of Munich, Hamburg, and Cologne.
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