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Other practice areas

Tenancy law Augsburg, rent increases and notice

Rent increases, service charge statements and notice for the landlord's own use follow strict statutory requirements that many letters fail to meet. The Bavarian Tenant Protection Ordinance (Bayerische Mieterschutzverordnung) lists Augsburg as an area with an especially endangered housing supply; a lowered rent increase cap and the rent brake apply here. Augsburg Local Court has exclusive jurisdiction over claims arising from residential tenancies (§ 23 no. 2a GVG). We represent tenants and landlords in Augsburg.

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Rent increases in Augsburg and the 15 % cap

The landlord may demand consent to an increase to the local comparable rent once the rent has remained unchanged for 15 months (§ 558(1) BGB). The demand must be made in text form and justified by reference to a rent index, a rent database, an expert opinion, or at least three comparable flats (§ 558a BGB).

In Augsburg the lowered cap applies: within three years the rent may rise by no more than 15 % instead of 20 % (§ 558(3) sentence 2 BGB, annex no. 7.1.1 of the Bavarian Tenant Protection Ordinance). On a new letting the rent may not exceed the local comparable rent by more than 10 % (§ 556d(1) BGB, the rent brake). We calculate both limits for your contract.

Notice for the landlord’s own use and termination without notice

Ordinary notice by the landlord requires a legitimate interest. This is usually the landlord’s own use for themselves, family members or members of their household (§ 573(2) no. 2 BGB). The grounds must appear in the notice letter itself (§ 573(3) BGB). Only grounds that arose later may be added afterwards.

The landlord may terminate without notice for payment default. The arrears must cover two consecutive due dates and amount to a not insignificant part of the rent, or reach two months’ rent (§ 543(2) sentence 1 no. 3 BGB). If the tenant pays within two months of the eviction claim becoming pending before the court, this termination without notice becomes ineffective (§ 569(3) no. 2 BGB).

The tenant can object to an ordinary notice and demand continuation of the tenancy where ending it would amount to an unjustifiable hardship (§ 574(1) BGB). The objection must be made in text form no later than two months before the tenancy ends (§ 574b BGB).

Where a let flat is converted into condominium ownership, the acquirer may not give notice for their own use in Augsburg for ten years (§ 577a(2) BGB, § 1 sentence 2 of the Bavarian Tenant Protection Ordinance).

Reviewing rent reductions and service charge statements

A defect in the flat reduces the rent by operation of law, and a late service charge statement cuts off additional claims. Both rights depend on deadlines and evidence. We enforce them for tenants and review the statement itself for landlords.

Rent reduction for mould, noise and heating failure

Where a defect removes the flat’s fitness for the contractual use, the rent is not owed for that period; where fitness is merely reduced, the tenant owes an appropriately reduced rent (§ 536(1) BGB). This happens by operation of law. An insignificant reduction in fitness is disregarded.

The tenant must notify the landlord of the defect without delay (§ 536c(1) BGB). No particular form is required. If notice is not given, the tenant is liable for any resulting damage (§ 536c(2) BGB). We secure the nature and duration of the defect before you reduce the rent.

Deadline and typical errors in the service charge statement

The statement must be given to the tenant by the end of the twelfth month after the end of the accounting period at the latest (§ 556(3) sentence 2 BGB). After that the landlord is barred from additional claims, unless they are not responsible for the delay (§ 556(3) sentence 3 BGB).

Common errors are an incorrect allocation key and missing receipts. Administrative costs and the costs of maintenance and repair are not chargeable under § 1(2) BetrKV. In Augsburg we check your statement item by item.

Deposit and decorative repairs when moving out

Deposit and decorative repairs turn on the wording of the tenancy agreement. The Federal Court of Justice has declared standard-form renovation clauses invalid in several rulings, including for flats handed over undecorated without reasonable compensation. We review the contract text before you paint or settle accounts.

Amount and repayment of the deposit

The security may amount to no more than three times the monthly rent, excluding the service charge advance or lump sum (§ 551(1) BGB). The landlord must invest the sum separately from their own assets (§ 551(3) BGB).

After the tenancy ends the landlord is entitled to a reasonable period to assess matters. Its length depends on the circumstances of the individual case and can exceed six months (Federal Court of Justice, judgment of 18 January 2006, VIII ZR 71/05). There is no statutory deadline. We enforce repayment where the landlord delays without reason.

Invalid clauses on decorative repairs

Rigid timetables in standard-form tenancy agreements are invalid (Federal Court of Justice, judgment of 23 June 2004, VIII ZR 361/03). A clause requiring the kitchen and bathroom to be painted at least every three years obliges the tenant beyond the actual need for renovation and disadvantages them unreasonably (§ 307 BGB).

The standard-form transfer of ongoing decorative repairs is likewise invalid where the flat was handed over undecorated or in need of renovation (Federal Court of Justice, judgment of 18 March 2015, VIII ZR 185/14). This requires that the landlord granted no reasonable compensation. We review your clause before you move out.

Further information

These topics may also be of interest:

This information does not constitute legal advice in an individual case.

Tenancy law Augsburg, rent increases and notice

FAQ

Frequently asked questions: Other practice areas

Can my landlord simply raise the rent?
No. A rent increase must be formally justified, for example by reference to the Augsburg rent index, and must observe the cap of 20 % over three years. You have to consent to the increase; if you do not, the landlord must sue for your consent. Check every increase before agreeing.
How much rent reduction applies for mould?
The reduction depends on the extent of the mould and on the room affected. Reductions of 10 to 20 % are common for mould in one room, up to 50 % for extensive growth in several rooms. The condition is that you did not cause the mould yourself through incorrect ventilation or heating. The burden of proof on that point lies with the landlord.
Can my landlord give notice for their own use?
Yes, where they need the flat for themselves, close family members or members of their household. The notice must state the need specifically and observe the statutory notice period. You can object under the hardship clause (§ 574 BGB) where the notice would cause you particular hardship, for example because of advanced age, illness or the absence of alternative housing in Augsburg.
When must the landlord repay the deposit?
After the tenancy ends the landlord has a reasonable period of three to six months to assess matters. They may retain part of the deposit where service charge statements are still outstanding or justified damage claims exist. You need not accept unfounded delays or excessive deductions.
Do I have to redecorate when I move out?
Only where the tenancy agreement contains a valid clause on decorative repairs. Rigid timetables have been invalid since the Federal Court of Justice ruling of 2015. If you took the flat over undecorated, you generally do not have to return it decorated. Check your agreement before moving out.
What can I do about an excessive service charge statement?
First request inspection of the receipts (§ 259 BGB). Check the allocation key, the accounting deadline and whether all items are actually chargeable. Object within twelve months of receiving the statement. In Augsburg we help with the review and enforce corrections.

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