As Germany's capital city, Berlin is home to over 3.6 million people and so the city is incredibly crowded.
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So why is Berlin cheap? Short answer: history. Berlin had a population of over four million in the 1930s – and yet it still hasn't recovered that level of population, nearly one hundred years on. There was the devastation of WWII, division during the Cold War, and the chaos of immediate reunification in the 1990s.
In conclusion, Berlin is indeed a remarkably walkable city. Its well-connected public transportation system, impressive infrastructure, and numerous points of interest within walking distance make it an ideal destination for exploring on foot.