Tenants: Modernization & Costs in Germany 2025

Modernization & Cost Allocation 2 min read · published September 07, 2025

What tenants need to know

Energy modernizations often lead to announcements, higher ancillary costs or modernization levies. As a tenant in Germany you have rights under the Civil Code, especially §§ 535–580a, and ways to check calculations and deadlines.[1] Also inform yourself about the Heating Costs Ordinance when distribution of consumption or heating costs is affected.[2] In disputes about termination, eviction or disagreements, the local court (Amtsgericht) usually decides; procedural rules are set out in the Code of Civil Procedure.[3]

Keep all correspondence, receipts and photos of the apartment stored safely.

Practical steps before negotiations

  • Check the announcement deadline and dates carefully.
  • Request the modernization notice in writing with a detailed cost breakdown.
  • Verify which costs the landlord may pass on to tenants under §559 BGB.
  • Collect receipts, photos and invoices as evidence.
  • Arrange a discussion with the landlord and document any agreements in writing.
Respond promptly to announcements, otherwise time-limited rights may be lost.

If calculations are unclear, a personal cost breakdown is worthwhile: proportional allocation, depreciation shares and allowable administrative or financing costs are often subject to review. If necessary, request invoices and financing plans.

What to watch for with rent increases

Landlords cannot arbitrarily pass on modernization costs. Check the amount of the levy, when the increase starts and whether hardship exceptions apply. If calculations are incorrect, tenants can file an objection or consider rent reduction if the use of the apartment is impaired.

Clean written documentation increases your chances of success in objections and court proceedings.

FAQ

What is a modernization notice and how far in advance must it be given?
A modernization notice describes planned measures and costs; deadlines are governed by §555c BGB and must be communicated in writing.[1]
Which costs may the landlord pass on to me?
Under §559 BGB certain modernization costs may be allocated to tenants proportionally; financing and administrative items are limited and reviewable.[1]
Where should I turn if negotiations fail?
First try mediation or conciliation; if the dispute continues, the local court (Amtsgericht) decides, and actions proceed under the Code of Civil Procedure.[3]

How-To

  1. Read the notice thoroughly and note deadlines and claimed costs.
  2. Check deadlines: when does the measure start and by when must you respond.
  3. Request invoices, calculations and proof in writing.
  4. Calculate your potential cost share or have the calculation reviewed.
  5. Hold a clarifying discussion with the landlord and document outcomes by email or letter.
  6. If deadlocked, consider legal action at the competent local court.

Help and Support


  1. [1] Bürgerliches Gesetzbuch (BGB)
  2. [2] Heizkostenverordnung (HeizKV)
  3. [3] Zivilprozessordnung (ZPO)
Bob Jones
Bob Jones

Editor & Researcher, Tenant Rights Germany

Bob writes and reviews tenant law content for various regions. They’re passionate about housing justice and simplifying legal protections for tenants everywhere.