Rental agreement, house rules and Co.: What landlords need to know

Created: 08/05/2022, 14:41

If you want to rent an apartment for the first time, you have to watch out for all sorts of pitfalls.

From the search for a tenant to the rental agreement to the house rules, there are a few things to consider.

Munich – If a condominium is rented out, a number of decisions have to be made in advance.

Among other things, it requires a reliable tenant and a good, legally secure rental agreement.

find tenants

Before the contract is drawn up, a suitable tenant must be found.

In addition to the so-called hard facts, such as an adequate credit rating, non-material factors that speak in favor of a tenant must also be taken into account.

For example, it should fit into the structures of the house.

Every apartment owner who rents out wants things to go well between their tenant and the other owners and that disputes don't have to be settled all the time.

It is obvious that it is not easy to secure this in advance.

declaration of division

Once a suitable tenant has been found, it must be clarified whether the declaration of division requires the co-owners or the management to agree.

If this is the case, consent must be obtained.

As a rule, the owners cannot refuse.

Renovated residential buildings in Prenzlauer Berg.

© Jens Kalaene/dpa-Zentralbild/dpa

rental contract

Once this formality has been clarified, it is time to draw up a rental agreement.

Basically, a rental agreement for a condominium is no different from one for an apartment in a rental building.

Nevertheless, there are a few things to consider that can help to avoid discrepancies in the first place.

It is clear that, in addition to the tenants and the property itself, the rental agreement also includes regulations on the amount of rent, termination and cosmetic repairs.

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In the case of form rental contracts, it is important to ensure that they are up-to-date and therefore based on the latest case law.

Incorrect formulations for cosmetic repairs, for example, can mean that the landlord has no claims at all and is left with the costs of painting, for example.

In addition to these things that are taken for granted, it has long been necessary to ensure that the distribution keys for “condominium rental contracts” match those of the homeowners’ association (WEG).

If reference was not made to the billing key of the WEG, the annual bill always had to be converted.

That was a lot of extra work.

This has been obsolete since the 2020 WEG reform.

If nothing to the contrary is regulated, the respective distribution keys of the apartment owners' association apply to rented condominiums.

However, dealing with usage regulations in the building is still problematic.

Homeowners' associations often have regulations on keeping animals or using the garden that are not enforceable under tenancy law.

At this point, it should be checked exactly what can and cannot be effectively included in the rental agreement.

If there are collisions, it is best to find a solution with the tenant in advance in order to avoid later disputes.

House rule

The issue of house rules can also be tricky when renting out.

If the house rules are part of the rental agreement as an appendix, they cannot be changed unilaterally afterwards.

That's good for the tenants.

Because: If the community of owners subsequently decides on new house rules, they cannot be assigned to the tenancy without the consent of the tenants.

It is therefore better for the owners not to make the house rules part of the rental agreement, but to display them, for example.

Then changes can also be made in retrospect, which the community of owners has decided.

transparency

It is not mandatory (but useful) to remind condominium tenants that they too have responsibilities to the community.

For example, they have to tolerate measures that serve to preserve common property and private property if they have been announced in good time.

Measures that go beyond maintenance must be tolerated if they were announced at least three months before the start.

Renting apartment owners often sit "between the chairs": on the one hand the apartment owners' association, on the other hand the tenants.

It should be borne in mind that it is not possible to put an effective provision in the rental agreement, according to which all resolutions of the community of owners that are intended to change the rental agreement are implemented.

Such a regulation is judged by the courts to be non-transparent.

From the perspective of the landlord, it should therefore be checked before the conclusion of the rental agreement which existing resolutions can be effectively included in the rental agreement.

Author: Maik Heitmann