Cost Allocation in Old Buildings: Tenants in Germany

As a tenant in Germany it is important to understand how landlords may allocate costs in old buildings, which deadlines apply and how to respond in time. This text explains in plain language which billing rules and legal bases are important, which documents you should collect and which formal steps help when objecting to or reviewing the service charge statement. The aim is to give you practical, easy-to-follow advice so that you as a tenant can assert your rights, avoid unnecessary payments and act correctly if needed.

What does cost allocation in old buildings mean?

Cost allocation refers to the distribution of operating costs and certain modernization costs to tenants. In old buildings, increased costs may arise from heating, maintenance or modernization; whether and how these costs may be allocated depends among other things on the landlord's obligations in the lease and the statutory provisions in the BGB and the Operating Costs Ordinance^[1][2].

Check deadlines and formal requirements

When objecting to a service charge statement or cost allocation, deadlines are crucial: tenants should check the statement promptly, justify objections in writing and respond within legal deadlines. Pay attention to the billing deadline and to formal details such as cost breakdown and the right to inspect receipts.

• Check deadlines: Pay attention to the deadline for billing and objection periods.
• Observe formalities: Request a full breakdown and the right to inspect supporting documents.
• Collect documentation: Keep receipts, proof of payment and photos.

How to object to the service charge statement

If you find inconsistencies, proceed in a structured way: request receipts, set a written deadline for submission and file a specific objection. If necessary, refer to relevant legal bases such as the BGB or the Operating Costs Ordinance when it comes to permissible allocations^[1][2].

1. Set a deadline: Give the landlord a reasonable period, e.g. 14 days, to present the receipts.
2. Object in writing: State the objection clearly with reasons and send it by registered mail.
3. Secure receipts: Attach copies of invoices, meter readings and proof of payment.
4. Final steps: If no agreement is reached, dispute resolution at the local court may follow.

What to do about modernization and cost allocation?

For modernization measures in old buildings, the landlord may allocate parts of the costs if the measure is legally permissible and properly announced. Check the modernization notice for deadlines, scope and possible rent increases; request detailed cost breakdowns and verify whether the measure is genuinely a modernization.

FAQ

Who decides whether costs can be allocated?

Whether costs can be allocated depends on the lease, the Operating Costs Ordinance and the BGB; in disputes a court often decides.

How long do I have to check a service charge statement?

Check the statement immediately upon receipt and file an objection within the period set by law or the lease.

Which documents may I inspect?

You have the right to inspect all invoices and supporting documents underlying the service charge statement.

How-To

1. Step 1: Receive the statement and note the deadline.
2. Step 2: Collect all payment receipts and meter readings.
3. Step 3: Send a written objection with reasons.
4. Step 4: Consider court clarification at the competent local court if necessary.

Key Takeaways

• Deadlines are decisive; act promptly.
• Collect evidence systematically and keep it organised.
• A formal written objection increases chances of success.

Help and Support

• Court search and information on civil jurisdiction
• German Civil Code (BGB) — Gesetze im Internet
• Operating Costs Ordinance (BetrKV) — Gesetze im Internet

1. [1] German Civil Code (BGB) — Gesetze im Internet
2. [2] Operating Costs Ordinance (BetrKV) — Gesetze im Internet
3. [3] Heating Costs Ordinance (HeizKV) — Gesetze im Internet
4. [4] Federal Court of Justice (BGH) — Information and case law