Landlord responsibilities in Germany: what you can outsource and what stays with you

Most of the day-to-day work of letting an apartment in Germany can be delegated. The responsibility cannot. When you own a rented flat in a building with several owners, you hold two roles: landlord (Vermieter) towards your tenant, and member of the owners' association (Wohnungseigentümergemeinschaft, or WEG) towards the other owners. An administrator appointed by the association manages the building. A rental manager you hire can manage your apartment and tenancy. You remain the tenant's contract partner, you are bound by the association's decisions, and you sign your own tax return.

This guide sets out who does what, which decisions should stay with you, and what to ask before you sign a management contract.

German often uses Hausverwaltung for both. They are separate services with separate contracts.

WEG administration (WEG-Verwaltung). The owners' association appoints an administrator (Verwalter) to manage the common property: roof, façade, staircase, shared heating, building insurance and the maintenance reserve. The administrator represents the association (§ 9b WEG), prepares the annual accounts and asset report (§ 28 WEG) and convenes an owners' meeting at least once a year, normally with at least three weeks' notice (§ 24 WEG). Without a resolution, the administrator may act alone only on matters of minor importance or where action is needed to meet a deadline or avoid a loss (§ 27 WEG). Everything else is decided by the owners.

The administrator works for the association, not for you. It does not collect your rent, answer your tenant or prepare your tenant's operating-cost statement.

Rental management (Sondereigentumsverwaltung or Mietverwaltung). This is your own contract with a manager for your unit and tenancy: rent collection, tenant communication, repairs inside the apartment, the operating-cost statement and re-letting. Some firms offer both services, under two contracts with two fees.

Commercial managers of either kind need a permit under § 34c(1) no. 4 GewO, which requires professional liability insurance and 20 hours of training every three years.

Towards your tenant. The lease obliges you to provide the apartment in a condition fit for its agreed use and to keep it that way (§ 535 BGB). If a defect impairs that use, the rent is reduced by law for as long as it lasts (§ 536 BGB). If your manager or a tradesperson fails in a task you delegated, you answer for their fault towards the tenant as if it were your own (§ 278 BGB). Whether you can recover the cost from the manager depends on your contract with them.

Towards the other owners. Resolutions pass by a majority of the votes cast (§ 25 WEG) and bind you whether or not you attended. That includes the monthly service charge (Hausgeld) and any special levy (Sonderumlage). Where a structural change is approved by more than two-thirds of the votes cast and half of all co-ownership shares, every owner shares the cost, unless it is disproportionately expensive (§ 21(2) WEG). The association's minutes, accounts and planned works show much of this before you buy; see the checks to make before buying. You may attend, vote or give someone a proxy in text form. You also have the right to inspect the association's administration documents (§ 18(4) WEG).

Towards the tax office. Rental income goes on Anlage V of your own income-tax return. A tax adviser (Steuerberater) can prepare it, but you remain responsible for its content. See our Anlage V checklist.

The table shows a common allocation for a rented apartment in a WEG building. Your lease, the association's resolutions and your management contract determine the actual split.

You can pass operating costs to the tenant only if the lease provides for it, and only costs listed in the Operating Costs Ordinance (§ 556(1) BGB). You must account for the tenant's monthly advance once a year. The statement must reach the tenant within twelve months of the end of the accounting period. After that, you generally cannot claim a back-payment, unless the delay was not your fault. The tenant has twelve months from receipt to raise objections (§ 556(3) BGB).

In a WEG building, your statement depends on the association's annual accounts. A late association resolution does not stop your deadline from running. The Federal Court of Justice has held that a landlord of a condominium must generally still account within the year, and must show concrete efforts if relying on the delay being someone else's fault (BGH, VIII ZR 249/15, 25 January 2017).

Heating adds its own rules. Between 50 and 70 per cent of central heating costs must be allocated by measured consumption (§ 7 HeizkostenV). Where remotely readable meters are installed, occupants must receive monthly consumption information (§ 6a HeizkostenV). For heating with fossil fuels, the carbon-price cost is split between landlord and tenant according to the building's emissions, calculated with the annual heating statement (§ 5 CO2KostAufG).

A rental manager can do this work. You still carry the consequence if it is late or wrong.

• Energy certificate. Show it to prospective tenants by the viewing and hand over a copy once the lease is signed (§ 80(4) and (5) GModG). Commercial adverts must state key figures from it (§ 87 GModG). The Building Energy Act (GEG) was renamed the Building Modernisation Act (GModG) in July 2026.
• Deposit. At most three months' cold rent. Keep it separate from your own money in a bank account paying the usual interest for savings with three months' notice. The interest belongs to the tenant (§ 551 BGB).
• Move-in confirmation. Tenants must register their address within two weeks of moving in, and you or your representative must confirm the move-in within the same period (§ 17 BMG, § 19 BMG).
• Smoke alarms. Both state building codes require them, and the deadlines for existing apartments have passed: 31 December 2020 in Berlin (§ 48(4) BauO Bln) and 31 December 2023 in Saxony (§ 47(4) SächsBO). Keeping them working falls to the occupant unless the owner takes it over. Your association may have a building-wide arrangement.
• Starting rent. In Berlin, Dresden and Leipzig, the rent brake limits the rent for a new letting. Base the figure on the rules in force at the time, not on an advertised market rent.

Delegation works when the limits are written down. Keep these decisions with you:

• choice of tenant and the lease terms;
• any rent increase;
• reminders beyond the routine, termination notices and legal proceedings (see what happens if your tenant stops paying);
• repairs above a fixed amount per job;
• your vote at the owners' meeting, including on planned works.

Ask for a regular statement of rent received and money spent, with invoices. If rent passes through the manager's account, ask whether it is a separate trust account.

Put these to every provider you consider, including Alpha Minoris, and ask for the answers in writing.

1. Fees. What is the monthly fee including VAT? What costs extra: re-letting, attending owners' meetings, court proceedings, preparing the operating-cost statement?
2. Commissions. Does anyone else pay you in connection with my purchase or my apartment: the seller, a developer, a bank, an insurer, tradespeople? An adviser paid by the seller has an interest in the sale. A credit intermediary must disclose any payment it receives from the lender (Art. 247 § 13 EGBGB).
3. Provider relationships. Do you own, or have ties to, the WEG administrator, the seller or the tradespeople you use?
4. Licensing. Do you hold a § 34c GewO permit for residential property management or brokerage, or a § 34i GewO permit for mortgage brokerage? § 34i intermediaries appear in the public intermediary register. There is no public register for § 34c permits, so ask for the permit and the insurance certificate.
5. Tax work. Who prepares my Anlage V? Commercial help with tax matters is restricted to authorised persons (§ 5 StBerG).
6. Escalation. Who responds to a burst pipe at night, and how quickly? Who decides when to involve a lawyer?
7. Document access. Can I see the lease, statements, WEG documents and invoices at any time? What happens to them if we part ways?
8. Termination. What is the notice period, and how are documents, keys and the deposit handed over?

The lease, association resolutions and your management contract are usually in German, and the German text is what counts. A translation is a useful aid, but it does not change what you signed or voted for. For anything affecting money, deadlines or termination, make sure you understand the clause, and take legal advice where it is unusual.

What is the difference between Hausverwaltung and Sondereigentumsverwaltung?

In a condominium building, Hausverwaltung usually means the WEG administrator, appointed by the association for the common property. Sondereigentumsverwaltung is your own contract for your apartment and tenancy. Neither replaces the other.

Do I have to attend the owners' meeting?

No, but its resolutions bind you either way. If you cannot attend, read the agenda, then vote through a proxy in text form or join online if the association allows it.

Can I be a landlord in Germany while living abroad?

Yes, with a rental manager, a reliable contact for the WEG and clear approval limits. The legal responsibility stays with you, and tax questions arise in both countries. See what happens to your German rental property if you move abroad.

Who is responsible if my manager misses the operating-cost deadline?

You are, towards the tenant. You may lose the back-payment. Whether you can recover it from the manager depends on your contract.

Does outsourcing make a rental apartment passive?

It reduces the hours, not the decisions. Expect to review statements, approve larger repairs, vote on building works and prepare your tax records each year.