Where in Germany will the rents be low compared to the average salary?
The housing portal immowelt.de and the job portal StepStone jointly conducted a study to find out what is the ratio of salaries to rents in German cities
In the more popular cities in Germany, a significant portion of the salaries of those living there go to rental payments. In smaller cities, on the other hand, there are differences that enable professionals to choose the optimal ratio between the amount of the salary and the monthly rent. Professionals in Munich will earn an average of € 66,800 gross per year. An apartment of 80-100 square meters will cost them around € 1,500 per month (net rent). Thus, the rent will constitute about 27% of the salary.
The ratio of the two figures is also very similar in Frankfurt. The average salary in the city thanks to the many banks is the highest in Germany and stands at € 67,700. Relative to this wage, residents of Frankfurt can afford to spend only 21% of their total income on rent.
Many want to live in big, popular cities like Berlin, Hamburg and Munich, but not many can afford it. Employers in medium-sized cities can attract professionals with a very high level of training because of the relatively attractive rents.
In this respect, Dortmund is among the best places in Germany. Its half-million residents are forced to part with only 12% of their salary on rent, which is worth about € 580 a month. The city of Essen is also close to this figure with a rent of about € 590 per month, which is equivalent to 13% of the average salary in the city. In other regions, too, there are cities with an attractive rent-salary ratio: in Dresden and Stuttgart salaries are relatively low, but their rents generally do not exceed 19%.
The study is based on 15,100 apartments in the 14 largest cities of Germany. The reference is to gross salary and net rent.