When a rent increase flutters into the house, financial worries increase for many people.
However, landlords must comply with legal regulations.
Post from the landlord often means that a hefty rent increase is pending.
But simply increasing the rent – landlords are not allowed to do that.
Whether, when and to what extent the rent may be increased is regulated in Germany by the Civil Code (BGB).
Rent increase only permitted once a year
The rent may therefore only be increased every twelve months, or at the earliest 12 months after moving in ("annual blocking period"). So if you received the last rent increase on August 1, 2022, the rent payment may not increase again until August 1, 2023 at the earliest.
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When a rent increase flutters into the house, financial worries increase for many.
© Lopolo/Imago
Rent increases are based on the cap limit: a maximum of 20 percent in three years
“The landlord may only ask for the comparative rent customary in the area.
That is the average rent that is currently being paid for comparable apartments at the place of residence.” The German Tenants’ Association (DMB) points this out on its website.
If residents have previously paid a relatively low rent, the rent must not rise to the comparable rent level in one fell swoop.
"There is a cap limit, within 3 years the rent may increase by a maximum of 20 percent," according to the DMB.
In areas with a tight housing market, the federal states may lower the cap to 15 percent.
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In the case of graduated rents and indexed rents, the rent increase is specified in the contract
So that landlords do not have to demand a rent increase every year, many agree on a graduated rent or index rent in the rental agreement right from the start.
Graduated rent:
The rent is increased in stages - the rental price increases by a certain amount in a fixed cycle.
No additional rent increases may be demanded here, for example because modernization measures have been carried out.
Index rent
: Here the rent is based on the current consumer price index in Germany, which reflects the average cost of living.
If the cost of living increases, the landlord can increase the rent.
On the other hand, if costs fall, tenants can look forward to a drop in rent.
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Before you agree to a rent increase, you should check the conditions carefully.
Tenant associations are on hand to provide advice.
If you want to terminate your rental contract, you should avoid a nasty trap.
List of rubrics: © Lopolo/Imago
