Finding apartments, flats and condos in Germany

German rental contracts and agreements are not standardised. However they underlie general legal assumptions. If certain sections and articles do not comply with German law, you may simply ignore these. In the case of a dispute, it may even be to the advantage of the renting party if a proprietor lists clauses that are not in accordance with governing law.
In any rental contract for accommodation, these few important points are worth keeping an eye on:

Check the baseline information

1. You and any other person who plan to live in your rented household should be listed in the agreement.
2. Make sure that the apartment or house is precisely described in terms of its address, size (square meters), number of rooms and accurately lists any additional features ie. a built-in kitchen, closet etc.

Standard versus time-limited rental contracts

3. Contrary to a most standard rental agreement (Standard-Mietvertrag), a time-limited contract (befristeter Mietvertrag) should state the exact reason for its limited time duration. Note that such agreements may be to the detriment of the renting party. A befristeter Mietvertrag is not as flexible as a standard agreement by German law. For example, you cannot terminate the agreement before its expiration, nor can you extend it if the owner does not agree. By the way, a rental agreement that states a minimum stay of up to 4 years usually falls into the category of a standard rental agreement – see next point.
4. A standard rental agreement may be terminated by either party with a three-month advance notice. However, according to German law, the owner of the home (landlord) must prove that the accommodation is needed for personal use.
   Sometimes a standard rental agreement may state a minimum stay (up to 4 years is allowed). This is of course negotiable before sign off. Please be aware however that a 3-month termination notice is not possible by either party during the agreed minimum period.

Fixed monthly rental costs and extra charges

5. Most rental agreements are broken out by a fixed monthly rent (Kaltmiete / “cold rent”) and extra charges like heating and water. These charges are known as Nebenkosten or Betriebskosten in German. Together these two components constitute the full rent (Warmmiete / “warm rent”). Monthly, full rental payments thus include both the fixed rent as well as a prepayment for all the extra charges. Once a year (mostly during the middle of the following year) the proprietor will send you an exact statement (Nebenkostenabrechnung) of the actual extra charges with supporting documents listed against all your prepayments of the past year. Depending on your consumption, you will either receive a refund or be required to settle any back payments. In case you’re unsure that the extra charges accurately reflect actual consumption, ask the landlord for a copy of last year’s statement to check.
6. Please note that electricity (Strom) is mostly not included in the monthly extra charges (Nebenkosten). Instead, you need to sign up with a provider of your choice to ensure that your new home lights up and all your electrical appliances work. Similarly, a fixed-line telephone connection is not included in the Nebenkosten. Sometimes cable TV may be included in the extra charges, but not always. It’s probably best to get a triple-play telephone/cell-phone + TV + Internet package from a provider that operates in the vicinity. In both cases (electricity and/or phone+TV+Internet), it’s worthwhile checking portals such as Verivox or Check24 to find the best provider for such services. By the way, the Berlin apartment on offer includes all charges. This means that everything is included with a single, monthly prepayment.

Your obligations upon termination

7. Almost all rental agreements include sections that detail renovation obligations when moving out and decorative repairs during the period of rent. Many cases have ended in German courts between disputing parties. As a result, a plethora of inconsistent recommendations exist and lead to much confusion in the market. To keep things simple, here’s a rule of thumb which is sure to avoid later conflict: Make sure that the house or apartment is fully renovated before signing the agreement and detail any shortcomings you find in written and signed form before moving in. When you move out, make sure your temporary abode is in the same state as you found it when you moved in ie. fully renovated. That’s mutually fair. If the contract states any decorative repairs (Schönheitreparaturen) by the renting party after elapsed time intervals during the rental period, you can simply ignore these. After all, you plan to return the home in the same state as you found it.

Know your “Hausordnung”

8. Last but not least, please ask your agent for the Rules of the House (Hausordnung). This is usually a document of several pages that list basic policies on resting times, things to note if pets are allowed, keeping pots, plants and barbecue gear on your balcony, and other guidelines that encourage amicable relations within the house community.

A lengthy contract may seem overwhelming to any newcomer to Germany. Yet, rest assured, it is the basis for a trustworthy relationship between tenant and owner, and clearly outlines rights and obligations with respect to neighbouring parties in the same building.

Usually your estate agent will furnish you with a rental contract. As a reference, you can find a sample rental contract template for download at no charge on the Internet. Use Google Translate for an English version of the sample rental contract.