Buy-to-let properties in Mannheim: what the 2026 figures say

Andriy Bezborodko · 2026-10-13

You are looking for a major city in Baden-Württemberg where apartments are not as expensive as in Stuttgart, Heidelberg or Freiburg. Mannheim is then worth considering: a city of squares, industrial and port location, university, ICE hub between Frankfurt and Stuttgart.

Demand is there. Only about 1% of apartments are available at short notice according to the municipal housing market monitoring, and more than half of all households consist of one person. Existing condominiums cost an average of €3,650/sqm in 2025, around 14% less than in Stuttgart (€4,226/sqm).

However, buyers in Mannheim also pay a lot in relation to rent, and the rules for landlords are set to change in 2027. Here you will find the official figures, a comparison of nine districts and an honest calculation for an existing and a new apartment.

01Mannheim in figures

The table summarises the data this page is based on. Each row names source and date.

02Population and demand

At the end of 2025, 329,998 people lived in Mannheim with their main residence. If one counts secondary residences, the figure was 333,778. The city reached its peak in 2016 with 336,368 residents. Since then, it has grown again, and in 2024, 2,107 more people moved in than moved away.

For landlords, the household structure is important. Of 179,498 households, 95,614 consist of only one person, i.e., 53.3%. On average, only 1.8 people live in a household. Small apartments are correspondingly in demand.

In terms of new builds, Mannheim has a special situation. New quarters are being built on former military areas of around 520 hectares, the largest of which is Franklin in the northeast. In total, the city reports over 10,000 apartments are under construction or planned. However, only 640 apartments were completed in 2024, after 1,385 the year before, because the large conversion areas are increasingly being built upon.

The city expects further growth in the long term. Its population forecast expects around 338,000 inhabitants at the place of main residence by 2044, an increase of 2.8% compared to 2024. This is supported by immigration, as more people die than are born.

03Economy and job market

Mannheim is the economic centre of the Rhine-Neckar metropolitan region. At the end of 2025, 202,281 employees worked in the city, while only 138,159 lived there. The commuter balance in mid-2025 was +63,740. Many people who work in Mannheim live in the surrounding area.

Mannheim is more strongly influenced by industry than most university cities. Large plants are operated by Roche, John Deere and Daimler Truck, among others, supplemented by the inland port, the University Hospital and many service providers. This brings well-paid jobs but makes the city more dependent on the economic cycle and structural change in industry.

The unemployment rate in the district of the Employment Agency Mannheim was 8.2% in September 2026. According to the agency, many people are becoming unemployed directly from employment.

Then there are the universities: the University of Mannheim with its focus on economics and social sciences in the palace, the Mannheim University of Applied Sciences and the Cooperative State University. Students and young professionals seek small apartments primarily in Innenstadt, Oststadt, Schwetzingerstadt and Lindenhof.

04Rents, purchase prices and rental yield

In Mannheim, there are three rental figures you should distinguish:

The rental mirror is qualified, i.e., created according to scientific principles and recognised by the city council. Its average rose by 8.4% compared to the predecessor. Nevertheless, listings are almost 30% higher. Almost a quarter of all rental offers were above €14/sqm in 2024.

Regarding purchase prices, the expert committee recorded 976 resales of condominiums for 2025, with an average of €3,650/sqm, 4.4% more than in the previous year. 187 new-build apartments were sold in initial sales for an average of €6,345/sqm. Small existing apartments up to 45 sqm cost an average of €3,712/sqm in 2024, slightly more than medium sizes.

The purchase price factor is thus between around 26 and 33 years' rent, the gross rental yield between 3.0% and 3.9%. Which value counts for you depends on whether you buy an apartment with an older rental contract or let it yourself. With an existing tenancy, the rent is often closer to the rental mirror than to the listing.

05Rules for landlords in Mannheim

Mannheim is currently not on the list of municipalities that Baden-Württemberg has classified as a tense housing market. The applicable ordinances expire on 31/12/2026.

• Currently no rent control (Mietpreisbremse): For a new tenancy, no upper limit of 10% above the comparable rent applies. Limits are set by the market and the prohibition of excessive rent (Mietpreisüberhöhung).
• Currently 20% rent increase cap (Kappungsgrenze): In existing tenancies, the rent may rise by a maximum of 20% in three years, and only up to the comparable rent.
• Planned from 2027: According to a draft released for consultation on 22/09/2026, Mannheim is to be included in the ordinances from 01/01/2027. Then, rent control and an increase cap of 15% would apply until 31/12/2029.

06Calculation example: a let apartment in Mannheim

Let's take Daniel, 46, employee, single, with a taxable income of €75,000. He buys a let two-room apartment with 60 sqm, built in 1970, for €219,000. That is €3,650/sqm, exactly the average for existing apartments in 2025 according to the expert committee. The tenant pays €9.19/sqm, the average of the rental mirror, so €551.40 per month. The purchase costs are paid from equity, the purchase price is financed by the bank.

Daniel thus pays an extra €293 per month after tax. €274 of this is repayment. Without repayment, a small minus of around €19 per month remains. The calculation is tight because the rent here is at the rental mirror level, but the purchase price is at market level.

For comparison: a new-build apartment in Mannheim

What changes if Daniel buys a newly built apartment? We take 45 sqm at the average price for initial sales 2025: €6,345/sqm. This results in €285,525.

The depreciation in the first year is more than three times as high (€12,117 instead of €3,606). After tax, Daniel pays €152 extra per month, less than for the existing apartment. Before tax, the minus is larger, the square metre costs around 74% more, and the gross yield is 2.7% instead of 3.0%.

07Opportunities and risks in Mannheim

Opportunities: Growing population forecast, job engine of the region, only 1% short-term vacancy. Risks: Dependance on automotive industry, high entry prices, and rent rules (rent control/cap) from 2027.

08Sources

All sources accessed on 13/10/2026.

• City of Mannheim: Population forecast 2044; Housing Market Monitoring 2025
• State Statistical Office Baden-Württemberg: Labour market September 2026
• Expert Committee for Property Values Mannheim: Property Market Report 2026
• Baden-Württemberg rental limitation ordinance (draft 2026); own calculations, status 13/10/2026.