Buy-to-let properties in Erfurt: Figures, districts and an honest calculation
Romolo Marini · 2026-10-13
Erfurt appears less frequently in conversations with investors than Leipzig or Dresden. Yet the Thuringian state capital has something that many East German cities lack: low vacancy, an unemployment rate close to the national average and a job market that attracts tens of thousands of commuters daily.
The flip side: Erfurt has rent control (Mietpreisbremse) and a reduced rent increase cap (Kappungsgrenze), and purchase prices are higher than in Halle or Chemnitz. Whether the calculation still works is shown by the figures.
01Erfurt in figures
| Key figure | Value | Source and date |
|---|---|---|
| Inhabitants (official) | 217,159 | Federal Statistical Office, 31/12/2025 |
| Change vs previous year | −1,634 (−0.7%) | Federal Statistical Office, own calculation |
| Forecast until 2040 | minor change | Bertelsmann Foundation, April 2024 |
| Households | 113,859 | 2022 Census, 15/05/2022 |
| Share of single-person households | 47.4% | 2022 Census, own calculation |
| Apartments | 120,849 | 2022 Census, 15/05/2022 |
| Vacancy rate | 4.3% (5,379 apartments) | 2022 Census, 15/05/2022 |
| Owner-occupancy rate | 22.2% | 2022 Census, 15/05/2022 |
| Unemployment rate | 6.7% (Bund 6.4%) | Employment Agency, September 2026 |
| Employees at place of work | 116,209 | Employment Agency, 30/06/2025 |
| Commuter balance | +27,571 | Employment Agency, 30/06/2025 |
| Students | approx. 10,000 | HVB Market Report, 2024 |
| Existing rent, average | €6.48/sqm | 2022 Census, 15/05/2022 |
| Offer rent, medium location | approx. €10.30/sqm | immoportal.com, October 2026 |
| Existing condominium, resale medium loc. | €2,200 to €2,900/sqm | HVB Market Report, July 2024 |
| Condominium, initial sale good location | €4,400 to €5,000/sqm | HVB Market Report, July 2024 |
| Rent control (Mietpreisbremse) | yes, until 31/12/2027 | Thuringian State Ordinance |
| Rent increase cap (Kappungsgrenze) | 15%, until 30/09/2029 | Thuringian Ordinance |
| Real estate transfer tax | 5.0% | Thuringia, since 01/01/2024 |
02Population and demand
Erfurt has grown almost continuously since 2002. Recently, this has turned: at the end of 2025, the Federal Statistical Office counted 217,159 inhabitants, 1,634 fewer than a year earlier. For Thuringia as a whole, the Bertelsmann Foundation expects a decline of around 11% until 2040. For Erfurt, Jena and Weimar, however, it expects only minor changes.
On the census reference date, 5,379 of 120,849 apartments were vacant (4.3%). Somewhat less than half of these were vacant for longer than a year. Experts quote the market-active vacancy, i.e., immediately rentable apartments, at only around 2%. For landlords, this means: a decent apartment usually finds a tenant quickly.
03Economy and job market
As the state capital, Erfurt thrives on administration, services and courts. In addition, there are logistics, which benefit from the motorway intersection and the ICE hub, and industry. In recent years, companies like Zalando and Amazon have set up logistics centres; in the semiconductor sector, X-FAB and Bosch are represented.
Erfurt is a place of work for all of Central Thuringia. A surplus of around 27,600 commuters is part of the demand that could move into the city. The unemployment rate was 6.7% in September 2026, close to the national average of 6.4%.
04Rents, purchase prices and rental yield
In Erfurt, existing rents and offer rents differ widely. According to the census, tenants paid an average of €6.48/sqm in May 2022. Newly offered apartments cost around €10.30/sqm in medium locations in October 2026, and around €13.30/sqm in good locations.
Purchase prices for existing condominiums in medium locations were €2,200 to €2,900/sqm in July 2024. New-build apartments in good locations were between €4,400 and €5,000/sqm.
05Rules for landlords in Erfurt
Thuringia has determined Erfurt and Jena as cities with a tense housing market. Therefore, for landlords:
- Rent control (Mietpreisbremse): For a new tenancy, the rent may exceed the local comparable rent by a maximum of 10%. The ordinance applies until 31/12/2027.
- Rent increase cap (Kappungsgrenze): In an existing tenancy, the rent may rise by a maximum of 15% in three years, not 20%. It applies until 30/09/2029.
06Example calculation: a let apartment in Erfurt
Let's take Tobias, 39, single, with a taxable income of €60,000. He buys a used, let two-room apartment with 60 sqm for €156,000 (€2,600/sqm). The rent is €8.50/sqm, i.e., €510 per month.
| per year | per month | |
|---|---|---|
| Cold rent | €6,120 | €510 |
| Hausgeld, non-recoverable (management/reserve) | −€1,080 | −€90 |
| Interest (3.8% on €156,000) | −€5,928 | −€494 |
| Repayment (1.5%) | −€2,340 | −€195 |
| Cash flow before tax | −€3,228 | −€269 |
| Tax loss from letting | −€2,822 | |
| Tax saving (2026 tariff) | +€1,075 | +€90 |
| Cash flow after tax | −€2,153 | −€179 |
| of which repayment, building wealth | €2,340 | €195 |
Tobias pays an extra €179 per month after tax. Because he pays €195 in repayment, he is building wealth. If the actual rent is closer to current offer rents, the calculation looks better.
07Read more
- Buy-to-let property: advantages and disadvantages
- Taxing rental income
- Real estate transfer tax in Thuringia
FAQHäufige Fragen
Is an apartment in Erfurt worth it as an investment?
It depends on the purchase price, rent and financing. At €2,600/sqm and €8.50/sqm rent, you pay about 25 times the annual rent. Fully financed with 3.8% interest, you pay extra every month. For investors with equity and a long horizon, the low vacancy rate speaks for Erfurt.
How high is the rental yield in Erfurt?
At €2,600/sqm, the gross rental yield is between around 3.0% (census existing rent €6.48/sqm) and 4.8% (offer rent medium location around €10.30/sqm) depending on the rent. New-build apartments at €10.00/sqm achieve around 2.6%. After service charges, reserves and management, less remains.
How much does a condominium cost in Erfurt?
According to the HypoVereinsbank market report (July 2024), existing condominiums in medium locations cost €2,200 to €2,900/sqm, and €2,800 to €3,300/sqm in good locations. New-build apartments in good locations were between €4,400 and €5,000/sqm.
Which districts are suitable for investment in Erfurt?
The most in-demand are the Altstadt, Löbervorstadt, Brühlervorstadt and Hochheim. Andreasvorstadt is close to the university, Krämpfervorstadt to the main railway station. In estates like Roter Berg, prices are lower; there you should check the house and management particularly carefully.
Is there rent control in Erfurt?
Yes. For a new tenancy, the rent may not exceed the local comparable rent by more than 10%. The Thuringian ordinance applies to Erfurt until 31 December 2027. New builds first let after 1 October 2014 are exempt.
How high is the rent increase cap in Erfurt?
In Erfurt, a reduced rent increase cap of 15% applies. The rent may increase by a maximum of 15% in three years, and never above the local comparable rent. The ordinance applies until 30 September 2029.
How high is the real estate transfer tax in Erfurt?
Since 1 January 2024, the real estate transfer tax in Thuringia has been 5.0%, previously 6.5%. With notary and land registry, you arrive at around 7% purchase costs without an agent.
Is Erfurt growing?
Until 2024, Erfurt grew for a long time; in 2025 the population fell by 0.7% to 217,159. The Bertelsmann Foundation expects only minor changes for Erfurt by 2040, while Thuringia as a whole will shrink significantly.