BERLIN, Aug. 15 (Xinhua) -- House rent in Germany has risen by 10.2 percent over the past six years with now each square meter for 6.9 euros (about 7.7 U.S. dollars), according to a study issued on Monday.
Increases are especially drastic in Berlin by 26 percent, in Munich by 14 percent, in Cologne by 13 percent and in Hamburg by 12 percent, said the study by the German Cologne Institute for Economic Research.
A "real boom in demand" can explain the drastic increases in metropolitan areas and university towns, according to the study.
Since 2010, 24,000 and 14,000 people have moved to Berlin and Munich respectively, pushing up not only the local house rent, but also the housing price there.
However, with a quarter of income, Germany people can on average afford a 95-square-meter rental apartment, two square meters more than six years ago.
"25 percent of disposable income is a reasonable level for the rent burden," said Ralph Henger, the institute's economist specializing on financial and real estate markets, warning it becomes critical when more than a third of income is used for rent.
The policy instrument to curb the rent price won't play the role, according to Henger.
"It works - if at all - only weakly, and not even in the right direction," he said.
