Housing benefit is a financial subsidy toward rent or mortgage payments (for owner-occupiers) for low-income households. Housing benefit plays an effective role in reducing the burden of housing costs.
Eligibility for and the amount of Housing benefit depend on the number of household members to be considered, the total income, and the amount of eligible rent or mortgage payments.
The most comprehensive improvement to housing benefit to date—the Housing Benefit Plus Act—took effect on January 1, 2023. The amount of housing benefit was significantly increased, and a permanent heating cost component as well as a climate component were introduced. Housing benefit for households previously eligible for the benefit has, on average, doubled, as has the number of recipients: This has increased the effectiveness of Housing benefit as never before and provided relief to low-income households that need it most—including many retirees, families, single parents, and people who work every day for the minimum wage.
Increase in Housing Benefit Effective January 1, 2025
The Housing Benefit Act stipulates regular adjustments every two years. This ensures that housing benefit is adjusted in line with price and rent trends in Germany. Most recently, housing benefit was increased effective January 1, 2025. The 2025 Housing Benefit Plus Calculator provides you with an initial estimate of whether and to what extent you may be eligible for housing benefit.
To receive Housing benefit, you must submit an application. The local Housing benefit office at your municipal, city, district, or county administration will review your application and notify you whether you are eligible for Housing benefit. You can also complete the application online.
You can apply for Housing benefit directly online here.
