Tenant Guide: New Value vs. Actual Value in Germany

As a tenant in Germany it is important to understand how new value (Neuwert) and actual value (Zeitwert) affect compensation or reimbursement for damage, repairs, or insurance claims. This guide explains in plain language when landlords or insurers apply new value or actual value, what consequences this has for your security deposit, repair costs and claims, and which steps you can take as a tenant to stay financially protected. You will get practical tips on evidence, deadlines and official forms and learn when a court such as the Amtsgericht or higher instances may decide. The goal is to help you compare intelligently and make budget-friendly choices.

What Neuwert and Zeitwert mean for tenants

New value means the price to buy an item new today; actual value deducts age and wear. For tenants this means: in an insurance case new value can lead to higher reimbursement, while actual value can reduce payments. Rental relationships are often affected by the condition of the apartment and existing furnishings — therefore check the condition in writing before moving in and document damages immediately.

Practical consequences and examples

Examples show how new value or actual value affect outcomes. If a new stove must be replaced, new value covers the cost of an equivalent new appliance; actual value reduces for age and use, which may mean higher co-payments. For furniture damage from water, household insurance often pays new value depending on the tariff and time limits.

Costs and security deposit

• Check whether landlords may deduct repair costs from the deposit or if insurance covers costs.
• Request estimates and photos as evidence for repair needs.
• Send written notices to the landlord so that defect-related deadlines are documented.

Forms and deadlines

Important forms include the application for legal aid (Prozesskostenhilfe), power of attorney for legal representation, or formal enforcement applications. Civil procedure rules set deadlines; tenancy claims are governed by the BGB §§ 535–580a ^[1]. Respond within set deadlines to avoid losing rights.

FAQ

When does household insurance pay new value instead of actual value?

It depends on the tariff and contract terms; some policies pay new value within certain timeframes, afterwards only actual value.

Can the landlord deduct repair costs from the deposit unilaterally?

Only if costs are justified and proven; as a tenant you can request receipts and alternative offers.

Which court handles disputes?

The first instance is often the local court (Amtsgericht); higher instances include the regional court and the Federal Court of Justice for precedents ^[2][3].

How-To

1. Document the damage: photos, date and witnesses.
2. Submit a written damage report to the landlord and your household insurer.
3. Apply for legal aid (Prozesskostenhilfe) with the official form if needed.
4. If disputed: file suit at the competent local court or hire legal counsel.

Key takeaways

• New value usually offers higher protection; actual value may lead to reductions.
• Early documentation and estimates strengthen your claim.
• Review insurance terms and compare policies before signing.

Help and Support / Resources

• Bürgerliches Gesetzbuch (BGB)
• Zivilprozessordnung (ZPO)
• Federal Court of Justice (BGH) — Decisions

1. [1] Bürgerliches Gesetzbuch (BGB) — gesetze-im-internet.de
2. [2] Zivilprozessordnung (ZPO) — gesetze-im-internet.de
3. [3] Federal Court of Justice (BGH) — bundesgerichtshof.de