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Creating a Mietvertrag as a landlord (2026, §§ 535 ff. BGB)

Key points

Creating a Mietvertrag as a landlord (2026, §§ 535 ff. BGB)

The parties, the property, the rent with Nebenkosten, and the start date, that is the minimum (§§ 535 ff. BGB).

Agreements for more than a year have to be in writing because of § 550 BGB. The deposit is capped at three net monthly rents (§ 551 BGB), and a fixed term needs a ground allowed by law (§ 575 BGB).

§ 550 BGB

In 60 seconds

1

It must contain: the parties with full names and addresses, the property with address, floor and location, the rent as net rent plus Nebenkosten, and the start date.

2

An agreement for more than a year that does not meet the written-form requirement counts as concluded for an indefinite period (§ 550 BGB): the fixed term falls away.

3

A fixed term is permissible only on a ground allowed by law, which must be stated in writing when the contract is concluded (§ 575 BGB).

4

The deposit is capped at three net monthly rents and payable in three instalments (§ 551 BGB); the excess is void.

5

Stepped and index rents exclude a later increase under § 558 or § 559 BGB; in tight markets the rent brake additionally caps the starting rent (§ 556d BGB).

What the law says

Where a tenancy for longer than a year is not concluded in written form, it counts as concluded for an indefinite period; termination is permissible at the earliest at the end of a year after the property was handed over. In practice: a fixed term requires written form. Working translation; the German original is the binding text.

Avoiding void clauses

ClauseValid?
Rigid redecoration deadlines ("kitchen every 3 years, living rooms every 5")void (BGH)
Transferring running redecoration where the flat was handed over unrenovated, without compensationvoid (BGH)
A blanket end-of-tenancy redecoration duty regardless of conditionusually void
Flexible timing ("as a rule") where the flat was handed over renovatedregularly valid
Deposit above three net monthly rentsvoid as to the excess

On choosing between a stepped and an index rent, see Stepped or index rent.

What it means for each side

For tenants
  • Check all four essentials are there.
  • Make sure the deposit does not exceed three net monthly rents.
  • With a fixed term, the ground must be stated in the contract.
  • Have verbal promises written in.
For landlords
  • State the net rent and the Nebenkosten separately and in figures.
  • Keep to written form if you want to bind for more than a year.
  • State a ground for the fixed term when the contract is concluded (§ 575 BGB).
  • Do not use rigid redecoration deadlines, and never take a deposit above three net rents.

Common mistakes

Missing written form on a longer term

The agreement then counts as indefinite (§ 550 BGB), the fixed term falls away.

Fixing a term without a ground allowed by law

Without a § 575 BGB ground stated in the contract, an indefinite tenancy arises.

Demanding more than three net monthly rents

The excess is void; the rest stands.

Carrying over rigid redecoration deadlines

They are void, and with them the whole redecoration duty reverts to you.

What to do next

1

Enter all four essentials in full.

2

For a term over a year, keep to written form and state a ground.

3

Cap the deposit at three net monthly rents and allow the instalments.

4

Draft redecoration and small-repairs clauses flexibly and with caps, and in tight markets measure the starting rent against the comparable rent.

Frequently asked questions

What must a Mietvertrag contain?

At minimum the full names and addresses of all parties, a precise description of the property (address, location, size, included rooms), the rent including Nebenkosten, and the start date (§§ 535 ff. BGB). Terms on the Kaution, notice periods and Schönheitsreparaturen are common but not required for validity.

Does a Mietvertrag have to be in writing?

A residential Mietvertrag is valid even if oral. But if it runs longer than one year, § 550 BGB requires written form, otherwise it counts as open-ended and can be terminated normally after one year. In practice every Mietvertrag should be in writing.

How high may the Kaution be?

At most three net cold rents, meaning rent without the Nebenkosten advance (§ 551 Abs. 1 BGB). The tenant may pay the Kaution (security deposit) in three equal monthly instalments, the first due at the start of the tenancy (§ 551 Abs. 2 BGB).

Can I make the Mietvertrag fixed-term?

Only with a reason the law permits (§ 575 BGB): Eigenbedarf (own use), planned renovation or demolition, or letting to staff under a duty of service. The reason must be stated concretely and in writing when the contract is signed. Without a valid reason the contract counts as open-ended.

What is the difference between Staffelmiete and Indexmiete?

With a Staffelmiete (stepped rent, § 557a BGB), future rents are agreed in advance as fixed euro amounts. With an Indexmiete (index-linked rent, § 557b BGB), the rent tracks the consumer price index of the Federal Statistical Office. Both must be agreed in writing and exclude most other rent increases.

Which clauses in a Mietvertrag are invalid?

Invalid clauses include rigid Schönheitsreparaturen (cosmetic repair) deadlines and shifting ongoing cosmetic repairs onto the tenant when the flat was handed over unrenovated without compensation (BGH case law). An invalid clause simply drops out: the rest of the contract stays valid.

Sources

This page gives general information as at the date shown. It does not replace legal advice on an individual case.