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Discrimination on the housing market is a widespread problem.

According to a representative survey commissioned by the Federal Anti-Discrimination Agency, approximately 15 % of all respondents who had been looking for a flat within the last ten years, had experienced discrimination on the grounds of race, ethnicity or origin.

This affects people with a migrant background in particular. According to the survey, one in three persons with a migrant background looking for a flat (35 %) reported racial discrimination. Often, a foreign-sounding name is enough to not be invited to a flat viewing. Sadly enough, openly racist flat advertisements also are still a part of everyday life. However, discrimination in the housing market is prohibited by law. People who are affected should get informed about their legal situation and should address instances of discrimination wherever it is possible.

A significant majority of those interviewed (83 %) are of the opinion that discrimination on the grounds of race, ethnicity or origin occurs rather frequently when looking for a flat in Germany. The housing market is therefore the area of life where most of those interviewed expect problems due to racial discrimination. Moreover, the respondents were asked about their personal opinion regarding immigrants as potential neighbours and tenants. Apparently, reservations about immigrants increase the further a situation reaches into the private sphere. For example, 29 % of those surveyed would be concerned or very concerned if a person who had immigrated to Germany moved into the neighbouring flat or house. 41 % of respondents have reservations about the idea of renting out a flat belonging to the interviewed person to an immigrant.

The Federal Anti-Discrimination Agency considers that several legal loopholes which encourage discrimination should be closed in order to prevent discrimination. Thus, the principle of non-discrimination in the General Act on Equal Treatment (German abbreviation: AGG) does not apply, for instance, where a special “relationship of proximity or trust” is entered into, for example by using housing on the same real estate. Moreover, housing associations, for instance, are allowed to treat people looking for flats differently “with a view to creating and maintaining socially stable population structures and balanced settlement structures as well as balanced economic, social and cultural conditions”. Both exemptions have also been criticised by the UN Commission on the Elimination of Racial Discrimination and by the European Commission against Racism and Intolerance (ECRI).

“The exemptions not only entail the risk of abuse and can offer justifications for racial discrimination, but also, in our view, clearly violate European law and must be abolished”, said Bernhard Franke, Acting Head of the Federal Anti-Discrimination Agency at the presentation of a legal opinion on the implementation of the EU Racial Equality Directive in the housing market.

Bernhard Franke was referring to a current legal opinion by jurists Prof. Thüsing and Dr. Vianden from Bonn. Among other things, the legal opinion proposes an amendment to the General Act on Equal Treatment (Section 19, Para. 5 General Act on Equal Treatment), in order to make it clear by law that high requirements must be made of a “special relationship of proximity or trust between the parties” if this is to lead to the protection of discrimination falling short of the protection of privacy.

FAQs on discrimination on the housing market

Frequently Asked Questions

  • Often people turn to our consultation centres when they have been subjected to racial discrimination or discrimination on grounds of ethnicity after, for instance, having been denied a viewing because of a foreign-sounding name. This lines up with the findings of a representative survey conducted by the Anti-Discrimination Agency in 2019, according to which around 35 % of all participants with a migrant background have already experienced discrimination on racial grounds or on grounds of ethnicity.

    But factors such as gender, religion, disability, age or sexual identity can lead to discrimination, too.

    When a couple seeking housing is turned away because they are not heterosexual, or if a person with a disability is treated worse than other tenants, this constitutes a case of unjustified discrimination. For instance, a person who was unable to carry their bike into the cellar due to a physical disability turned to us for advice. Although the property management is aware of the disability, they put up prohibition signs against parking bicycles in the courtyard and do not offer the tenant in question an adequate solution. Another client, a woman who wears a headscarf, reports that her landlady does not want visitors who wear headscarves to come to her house. But bisexual, trans*, young and older people, too, report being discriminated against when searching for housing or during their existing tenancy.

    In some cases, potential tenants are also turned away due to multiple discrimination grounds. With regard to racial discrimination on the housing market, for instance, there is evidence suggesting that visible religious affiliation, such as a Muslim woman wearing a headscarf, in combination with a foreign-sounding name, leads to candidates being turned away when applying for flats.

  • The General Equal Treatment Act (German abbreviation: AGG) protects you from racial discrimination when searching for housing as well as during an existing tenancy. The discrimination ban covers all areas from newspaper adverts to letting out through to the termination of a tenancy. The protection against ethnic discrimination is particularly extensive. It is impermissible, too, to discriminate against tenants on account of gender, religious affiliation, a disability, age or sexual identity. In these cases, however, the discrimination ban usually only applies when the lessor rents out more than 50 flats. This is known as bulk business. In the case of racial discrimination, however, tenants’ protection from discrimination is not limited to bulk business transactions.

    If, according to the AGG, your rights as a tenant are breached, you are entitled to have such discrimination cease or be desisted from. In addition, for up to two months after the event, you can claim damages or compensation.

    However, the AGGs protection from discrimination does not cover conflicts and situations of discrimination arising among neighbours, since no contractual relationship exists between neighbours. For such cases, some Federal Laender offer extrajudicial dispute settlement. To ease the burden on courts and reduce costs, independent arbitrators or arbitration boards are commissioned with settling neighbourhood conflicts. This way, the dispute can often be settled in a faster and less expensive and bureaucratic manner than before a court. Click here for an overview of arbitration services offered by the Länder.

    The General Equal Treatment Act (German abbreviation: AGG) stipulates that no one may be discriminated against when searching for housing, and lessors are urged to ensure this is adhered to throughout the process.

  • In many areas, the diversity of our society is also reflected in people’s housing communities. How can you, as a lessor, protect diversity, prevent conflicts and respect the legal principle of equal treatment?

    The lessors’ scope of action with regard to the wording of flat adverts, the conclusion of contracts, the tenancy itself and the termination of a contract is defined by legal requirements. There is, for instance, a legal obligation for lessors to avoid discrimination on racial grounds or on grounds of ethnicity, gender, religious affiliation, a disability, age or sexual identity in these areas.

    Neutral wording of flat adverts and rental contracts
    As a lessor, you should formulate your flat adverts and rental contracts as neutral as possible to avoid any form of discrimination. If certain criteria are necessary, it is vital to examine their origin and justification meticulously. Moreover, it makes sense particularly for larger lessors such as residential housing companies to actively promote and support diversity in order to avoid discrimination and conflicts.

    Our consultation centre is often contacted by people complaining that they are turned away when searching for housing because of their foreign-sounding name or – in case of Muslim women – because of their headscarves. These reasons must not play a role for tenancies or rental interactions that fall within the scope of the General Equal Treatment Act (German abbrevtaion: AGG). This also includes indirect grounds, such as addressing a flat advert to “German speakers” only, since such a criterion may constitute indirect discrimination on grounds of ethnicity.

    Caution when dealing with exemptions from the principle of equal treatment
    There are, however, exceptional cases where lessors are allowed to differentiate in their tenants’ treatment. A lessor, whose mother lives in the apartment building he rents out, could, for instance, post a flat advert in which older tenants are preferred. Since the rental property is inhabited by a close relative, lessors are allowed to make distinctions between tenants. Although it is impermissible to discriminate against tenants on grounds of gender, religious affiliation, a disability, age or sexual identity, in these cases, the discrimination ban usually only applies when the lessor rents out more than 50 flats. This is known as bulk business. Tenant’ protection from discrimination is not limited to bulk business transactions in the case of racial discrimination or discrimination on grounds of ethnicity.

    Another exemption under the General Equal Treatment Act (German abbrevtaion: AGG) exists for lessors who wish to ensure a balanced pattern of settlement as well as balanced economic, social and cultural conditions. However, this applies, at best, to large lessors such as residential housing companies, who are committed to a social urban development and housing policy. In addition, this exemption entails the risk of being exploited to justify discrimination on racial grounds.

    Appointing an anti-discrimination officer
    An open anti-discrimination culture that is promoted and encouraged from the top will benefit lessors, neighbours and tenants. The GESOBAU housing company, for instance, proactively created the position of an anti-discrimination officer to have a contact person in place for tenants to turn to when they experience a possible instance of discrimination. At the same time, the company explains the legal basics of the General Equal Treatment Act (German abbrevtaion: AGG) on its website to inform tenants about their rights.

    And there are other ways, too, for lessors to express their support of marginalised groups. The GAG Immobilien company, for instance, has shown its support of the LGBTIQ* community by building 34 housing units for the ‘Villa Anders’ (alternative villa) housing project in Cologne.

    Using your house rules to send out a signal against discrimination
    To foster a non-discriminatory renting environment, you can also address discrimination with a clause in your house rules. The HOWOGE company, for instance, emphasises in its house rules that it tolerates neither “discrimination on the basis of origin, skin colour, name, religion, language or lifestyle; nor bullying, threats or harassment”. The GEWOBAG company even goes beyond that, “obliging” tenants “to be tolerant and good neighbours, regardless of gender, type of domestic partnership, descent, language, country and origin, faith, religious or political opinions”. A similar clause can also be found in the house rules of the Berlin-based residential property construction company Stadt and Land mbH. With the explicit obligation to behave in a non-discriminatory manner and the listing of the individual grounds, the lessors inform their tenants about their rights and send out a clear signal.

  • People searching for housing often find it hard to prove they were discriminated against. Indeed, there are still cases of overt discrimination – when flat adverts are formulated in an explicitly discriminatory way, for instance. However, the reasons why those seeking accommodation do not receive an appointment for a viewing or a rental contract are often indiscernible to them. In many cases, discrimination on the housing market occurs under false pretences, such as when lessors incorrectly claim a flat was already taken. In consequence, those concerned do not perceive the discrimination, are insecure about the discriminatory nature and hence shy away from filing a complaint.

    If you suspect you were unjustly discriminated against on the housing market, you should seek consultation. Initial legal consultation on discrimination in the housing market is provided, for instance, by the Federal Anti-Discrimination Agency. The lawyers of our consultation team can inform you of your rights in a case of discrimination on the housing market, explain whether and how you may assert your rights and seek an amicable settlement of the conflict. However, there are also many local agencies where you can seek advice. In case you are looking for a consultation centre near you, you can click here for our advice centre search (only available in German).

  • Paired testing enables you to find out whether your suspicion of having been subjected to discrimination while you were looking for a flat was justified. If, for instance, you call a residential housing company with a foreign accent and they tell you the flat was already taken, while a friend without a foreign accent calls up shortly afterward and gets a viewing appointment – this would suggest discriminatory behaviour.

    So paired testing enables circumstantial evidence to be gathered that could suggest a certain behaviour may indeed constitute discrimination. In case of a lawsuit, such evidence can be presented before a court. If you consider taking this approach, you should seek the support of a consultation centre regarding the testing as well as when it comes to asserting your claims.

  • For more information, please see our “Fair mieten - fair wohnen” (fair renting – fair living) guidelines (only available in German), which can inform you about discrimination on the housing market, focusing on discrimination with regard to ethnicity as well as on racial grounds. The leaflet explains the mechanisms, underlying causes and consequences of discrimination, informs you about the legal situation and provides a detailed list of various approaches you can take if you are among those affected.

    For more information on testing procedures, see also our “Arbeitshilfe zur Durchführung reaktiver Testings (Guidance on conducting reactive testing)” (only available in German). This leaflet not only provides you with case examples, but also with step-by-step guidance on how to conduct and document paired testing in a legally sound manner.

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