North German housing association warns against market interventions

The Association of North German Housing Companies (VNW) has issued warnings against government interventions in the housing market during its annual conference in Lübeck. Andreas Breitner, Director of the VNW, stated that measures such as rent caps and the socialization of housing companies do not create additional housing units.

Instead, the association is calling for pragmatic policies, including reliable public housing subsidies and the maintenance of housing benefits in their current form. The VNW, which represents 502 housing cooperatives and companies across Hamburg, Mecklenburg-Vorpommern, and Schleswig-Holstein, also highlighted the rising burden of operating costs, often referred to as the ‘second rent.’

To address this, the association is advocating for a cap on ancillary costs (Nebenkostenbremse) that extends beyond heating and energy to include municipal fees and property taxes. Additionally, in Mecklenburg-Vorpommern, the VNW is requesting that housing cooperatives be exempted from former DDR-era debts, similar to the treatment of municipal housing companies.