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Shift Toward Smaller Apartments in Germany
After decades of steady growth, the average size of apartments in Germany is set to decline over the coming years, according to recent studies. This marks a historic reversal of a long-standing trend linked to rising incomes and growing demand for comfort. The trend change is driven primarily by demographic shifts and the impact of rising real estate prices, which make larger living spaces less affordable for many residents [Source 1], [Source 2].
Research from the German Institute for Economic Research (DIW Berlin) indicates that since around 2005, new apartments constructed have tended to be smaller. As a result, the overall average apartment size in Germany is anticipated to decrease by approximately six square meters by 2050 compared to current figures [Source 2].
Key Factors Behind Smaller Living Spaces
The rise in single-person households is a major factor contributing to this development. The proportion of people living alone has doubled since the 1960s and now accounts for about 41 percent of all households nationwide. In major cities such as Berlin and Munich, this share approaches 50 percent, where the demand for smaller, more efficiently designed apartments is especially pronounced [Source 2].
Additionally, high property prices put pressure on buyers and renters, encouraging a preference for more compact living quarters. Smaller apartments also align with broader goals around energy efficiency and sustainability, as they reduce the residential sector’s energy consumption [Source 2].
What This Means for Expats and Foreign Residents in Germany
For expats, international students, and foreign workers, the trend toward smaller apartments could influence housing options and affordability, particularly in urban centers. Those seeking accommodation should anticipate tighter living spaces and consider their housing needs carefully, as traditional larger apartments may become less common or more expensive.
The rise in smaller, well-planned units also means that energy costs and maintenance fees may decrease, potentially reducing overall monthly housing expenses. However, compatibility with lifestyle preferences and family size remain critical factors. Early planning and timely action in the housing market may help international residents secure suitable accommodations amid this changing landscape.
Expats should monitor local housing markets for new developments focusing on efficient and smaller apartments, as these will likely be prioritized moving forward. Understanding the growing prevalence of single-person households and the economic drivers behind the shrinking average apartment sizes may assist newcomers in navigating Germany’s evolving housing market [Source 1], [Source 2].
Additional context and details can be found in the original report on Tagesschau (https://www.tagesschau.de/wirtschaft/wohnung-flaeche-entwicklung-100.html) [Source 1].





