Modernisation: Duty to Tolerate, Notice and Rent Increase
With a modernisation you usually have to tolerate the works – but afterwards the landlord may pass on only a limited share of the costs to the rent. Form and deadlines are decisive.
Modernisation or maintenance?
Modernisation measures (§ 555b BGB) improve the flat on a lasting basis – for example through energy-efficient refurbishment, new windows or the installation of a lift. Pure maintenance and repairs, by contrast, are not modernisation; their costs may not be passed on to the rent.
The announcement (§ 555c BGB)
The landlord must announce the modernisation in text form – as a rule no later than three months before the start, stating the nature, scope, start date, expected duration and the anticipated rent increase. A defective announcement can affect your duty to tolerate the works and the later increase.
Your duty to tolerate the works (§ 555d BGB)
As a rule you must tolerate modernisation measures. It is different if the measure or the anticipated rent increase would amount to an unreasonable hardship for you. You must raise this hardship objection within the deadline.
The rent increase after modernisation (§ 559 BGB)
After the modernisation the landlord may pass on part of the costs to the rent each year – currently a maximum of eight percent of the costs spent on the flat. In addition, a capping limit applies to the amount of the increase. Any included maintenance shares must be deducted.
How to check the modernisation and the increase
Check: Is there actually a modernisation at all? Was it announced properly? Have only the apportionable costs – excluding maintenance – been taken into account? Are the eight percent limit and the capping limit being observed?
Relevant law
Frequently asked questions
As a rule, yes (§ 555d BGB). An exception applies if the measure or the rent increase would amount to an unreasonable hardship for you; you must raise the hardship objection within the deadline.
A maximum of eight percent of the modernisation costs spent on the flat per year, additionally limited by a capping limit (§ 559 BGB).
As a rule no later than three months before the start, in text form, stating the nature, scope, duration and expected rent increase (§ 555c BGB).
No. Pure maintenance and repairs are not modernisation; their share must be deducted from the apportionment.
You can raise a hardship objection. Against the measure itself there is a right of defence only in the hardship cases provided for by law.
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