Modernisierung: your rights as a tenant

What the landlord must announce before a Modernisierung (modernisation work), how much your rent can go up and which deadlines apply to you.

BildProof RedaktionUpdated 9/28/20262 min readGermany
In short

After a Modernisierung, the landlord can raise your rent by 8 % of the costs per year, capped at €3/m² over six years. Check the announcement straight away, and report any real hardship in text form by the end of the following month.

The rules for a Modernisierung

The key rules are in a few sections of the law. These six points are worth knowing.

  1. 1

    Three months' notice

    The landlord must announce the work in text form at least three months ahead (§ 555c BGB).

  2. 2

    You usually have to allow the work

    You normally have to allow a properly announced Modernisierung (§ 555d Abs. 1 BGB).

  3. 3

    If the work is a hardship for you

    Tell the landlord about a real hardship in text form by the end of the month after the announcement arrives.

  4. 4

    The rent can go up afterwards

    After the work, the landlord can add 8 % of the costs per year to your rent (§ 559 BGB).

  5. 5

    The cap

    Your monthly rent can rise by at most €3/m² within six years because of this, or by at most €2/m² if your rent is under €7/m² (§ 559 Abs. 3a BGB).

  6. 6

    You can leave early

    If the landlord asks for a higher rent, you can end the lease early (§ 561 BGB).

Why this matters

Under § 555d Abs. 3 BGB, you must tell the landlord your hardship grounds in text form by the end of the month after the announcement arrives. After that, they only count if you missed the deadline through no fault of your own.

General information, not legal advice.

Frequently asked questions

Do I have to allow the Modernisierung?

You normally have to allow a properly announced Modernisierung (§ 555d Abs. 1 BGB). If the work would be a real hardship for you, tell the landlord in text form by the end of the month after the announcement arrives.

How much can the rent go up after a Modernisierung?

The landlord can add 8 % of the costs for your flat to your yearly rent (§ 559 BGB). The increase is capped at €3/m² over six years, or €2/m² if your rent is under €7/m².

What must the modernisation notice (Modernisierungsankündigung) contain?

The notice must state the type, scope, start and duration of the work, the expected rent increase and the future operating costs (§ 555c BGB). If any of this is missing, the deadline for your duty to allow the work does not start.

More on this

Also in this topic: Checking a Staffelmiete or IndexmieteIs your Indexmiete increase correct? How to checkMietpreisbremse check: are you paying too much rent?All guides: Rent & rent increases

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