Cost Allocation Guide for Tenants in Germany

Many tenants in Germany face rising service charges and unclear cost allocation keys. This practical guide explains in plain language how allocation keys work, which allocation methods are common, and what to check when reviewing the operating costs statement. You will get concrete action and documentation steps, guidance on deadlines and examples of wording to use when asking your property manager or landlord questions. The goal is that you, as a tenant, know your rights, avoid unnecessary costs and, if necessary, react formally and within deadlines.

What is a cost allocation key?

An allocation key determines how operating costs are distributed among tenants. Common keys are living area, number of persons or consumption. Which key is permissible follows from the lease and the Operating Costs Ordinance.^[1]

Typical allocation keys and their consequences

• Proportional by living area: common and comprehensible for fixed heating and cleaning costs.
• By number of persons: often used for waste or water charges, but problematic when residents change.
• By consumption: usual for heating or hot water costs, but requires separate meters.
• Flat rates: agreed in the lease, can be advantageous or disadvantageous for tenants.

Reviewing the operating costs statement

When reviewing, proceed systematically: compare total costs, check supporting documents and verify that the applied allocation key matches the lease. Request copies of receipts in writing if missing. Check correct accounting periods and correct allocation of advance payments.

Formal steps and deadlines

• Send a written inquiry to the landlord within 30 days of receiving the statement.
• Request and copy receipts so you can verify and document them.
• Do not ignore pending additional charges; if justified, payment can be deferred or reduced.

Which official rules and laws apply?

The Civil Code (BGB), especially §§ 535–580a, is central for tenancy law.^[1] The Operating Costs Ordinance (BetrKV) sets binding rules for cost distribution.^[2] The Heating Costs Ordinance (HeizKV) applies to heating costs.^[3]

If no agreement is possible

If there is a dispute about the statement or allocation key, the local court (Amtsgericht) is the usual contact for tenancy disputes; appeals go to higher courts and the Federal Court of Justice.^[4] Document all steps, keep deadlines and submit objections in writing.

FAQ

What can I do if the allocation key is not in the lease?

If no agreement exists, statutory rules and customary distribution apply; ask your property manager in writing for the basis of the statement.

Can the landlord change the allocation key retroactively?

A change is only permissible if contractually provided or agreed by both parties; a unilateral change by the landlord is usually not possible.

What deadlines apply for objections to the statement?

Object in writing immediately after receipt; statutory exclusion periods may vary, respond within a few weeks.

How-To

1. Read the statement carefully and note total costs and the accounting period.
2. Request receipts: ask for copies of the original invoices within 14 days.
3. Formulate written objections and send them to the landlord by registered mail or email with read receipt.
4. Consider legal advice and, if necessary, filing a claim at the competent local court.

Help and Support / Resources

• [1] BGB §§ 535–580a — gesetze-im-internet.de
• [2] Operating Costs Ordinance (BetrKV) — gesetze-im-internet.de
• [4] Federal Court of Justice — bundesgerichtshof.de

1. [1] BGB §§ 535–580a — gesetze-im-internet.de
2. [2] Betriebskostenverordnung (BetrKV) — gesetze-im-internet.de
3. [3] Heizkostenverordnung (HeizKV) — gesetze-im-internet.de
4. [4] Federal Court of Justice — bundesgerichtshof.de