Federal Court of Justice ruling on discrimination against expats in the housing market

Imagine you're looking for an apartment for your family and, after a friendly inquiry, you immediately receive the reply that unfortunately, no more appointments are available. Normally, this would be a common occurrence in an overheated housing market—were it not for the nagging feeling that it's because of your name. For Humaira Waseem, this feeling became a certainty when she conducted an experiment. While she consistently received rejections under her Pakistani name , doors opened immediately as soon as she introduced herself as "Julia Schneider" or "Mrs. Schmidt." Even her husband's and sister's attempts confirmed the pattern: German names earned invitations, while names with a migrant background were met with standard rejection letters.

Everyday discrimination when looking for housing

What Humaira Waseem experienced is not an isolated incident, but a daily reality for thousands of people in Germany . It is a form of systematic discrimination that often remains hidden because it is difficult to prove. However, in this case, the victim fought back. After the Darmstadt Regional Court had already awarded her €3,000 in compensation under the General Equal Treatment Act (AGG) , the Federal Court of Justice in Karlsruhe is now dealing with the case (see press release no. 186/2025 regarding file number I ZR 129/25 ). This marks the first time the debate about discrimination by real estate agents has reached Germany's highest civil court.

Federal Court of Justice ruling on discrimination in housing search

At the heart of the legal dispute lies the question of who should actually be held accountable for this racism. The real estate agent is attempting to shift responsibility to the landlord , on whose behalf he claims to be acting. However, if this line of reasoning were to become widespread, a dangerous loophole in the law would emerge. Since apartment seekers in practice communicate almost exclusively with real estate agents or property management companies, discriminatory behavior would effectively go unpunished if the intermediaries themselves could not be held liable. A crucial bright spot in the proceedings is the Federal Court of Justice's (BGH) assessment of so-called "testing" procedures. The judges clarified that such targeted comparative applications—like the one Ms. Waseem conducted— are admissible as clear evidence in court when proving a violation of the General Equal Treatment Act (AGG) . This sends an important signal for the rule of law: Those who wish to prove discrimination must not be thwarted by bureaucratic hurdles.

Conclusion: Discrimination against expats in housing search before the Federal Court of Justice

This case clearly demonstrates that the General Equal Treatment Act finally needs some teeth. It's not enough to guarantee equal opportunities on paper; violations must have tangible consequences so that real estate agents and landlords fundamentally rethink their practices. Humaira Waseem, who was born in Germany, describes the pain of being rejected solely because of her name before anyone even got to know her. Her courage in pursuing this legal avenue is a necessary step forward. It's about more than just a sum of money – it's about sending a clear message that origin should never determine whether someone has a roof over their head or not.