Damage to apartments and rent arrears exceeding €25,000. More than 18 months until an apartment can be re-let after an eviction lawsuit. Don't let your property become a nightmare. We'll give you tips on what to look out for and what options you have in an emergency.
We would like to offer landlords tips and advice on how to protect themselves against rent defaults and vandalism. The lengthy legal proceedings and interactions with bailiffs during evictions cause considerable stress for affected property owners.
A savvy tenant who refuses to pay rent can successfully drag out the process indefinitely. From the initial eviction lawsuit until the apartment is actually available for re-letting, often more than 18 months pass. Rent arrears and damages to the apartment frequently amount to €25,000 or more.
As a landlord, you also have options available to you that you can use before, during and after entering into a tenancy agreement.
Obtain information about the tenant
Information about the prospective tenant should be obtained even before the lease agreement is signed.
Information can be obtained from Creditreform or Schufa, or by completing a questionnaire about the tenant's personal details (tenant self-disclosure). Information from the previous landlord is also very useful.
Following the new regulations of the legal framework, tenants can also obtain information from Schufa themselves and present it to their landlord or property manager.
The first month's rent is due before the apartment is handed over
The first rent payment can be due before the apartment is handed over. Honest tenants shouldn't have a problem with that.
Convenient for you as a landlord: If this rent is not paid, the landlord does not have to hand over the apartment.
Issue a warning in good time
In cases of late or missing rent payments, the landlord should not only send a reminder to the tenant but also issue . Even after the first late payment, termination of the lease can be threatened if the tenant fails to pay on time in the future.
A termination notice issued in the case of repeated violations is not rendered invalid even by full payment of the outstanding rent.
Cancel quickly and correctly
Termination without notice is possible if the tenant is in arrears for extended periods and the amounts owed reach two months' rent.
It is largely unknown, however, that termination of a tenancy is also possible if the tenant is in arrears by an amount slightly more than one month's rent for two consecutive months. This means that in this case, the landlord does not have to wait two months, but only until the beginning of the second month. Landlords and property managers can therefore save considerable time.
A termination without notice should always be accompanied by a standard termination notice. While payment of the outstanding amount renders the termination without notice ineffective, it does not invalidate the standard termination. Precise wording of the termination notice is crucial.
Communication as the key
In case of late payment, the landlord should always first seek a conversation with the tenant in order to find solutions in a timely manner and not unnecessarily harden the lines of conflict.
It may be possible to reach an amicable payment agreement. Professional commercial landlords have had very positive experiences with proactive measures against tenants who are late with rent payments, and have been able to significantly reduce arrears as a result.
The landlord should also first arrange for their own lawyer to contact the tenant and their lawyer.
A settlement – even in court proceedings – is always faster and often also more cost-effective than an eviction process with subsequent enforcement measures.
Documentary proceedings
If the tenant does not claim a rent reduction, a quick judgment on rent claims can be obtained in summary proceedings, especially since the tenant usually does not proceed to further proceedings.
Shorter eviction period
You only have to grant a grace period for vacating the premises if current rent is being paid.
In the eviction process, in order to avoid a long eviction period, reference should be made to the decision of the Higher Regional Court of Stuttgart 13 U 89/06 of July 7, 2006: According to this, granting a period for eviction is unreasonable if the payment of the current rent for the duration of the eviction period is not guaranteed.
Berlin eviction
If an eviction has to be enforced by way of compulsory execution, the model of the so-called "Berlin eviction" can be chosen.
In this process, the landlord, as the owner of the apartment, is taken into possession by the bailiff and then arranges for the eviction himself. This can save costs and significantly speed up the proceedings.
This method of eviction has been declared permissible by the courts.
Direct transfer of rent to landlord
If the recipient of basic income support benefits (formerly: social welfare office) cannot ensure that the funds are used appropriately for accommodation and heating, the rent can be paid directly to the landlord. With the tenant's consent, this can be agreed upon in advance.
Tenants receiving social assistance should be urged to ensure that the security deposit is also covered by that agency. This should be clarified before the lease agreement is signed.
Rental deposit against tenants who skip out on rent
Landlords or property managers can refuse to hand over the apartment to the tenant if he does not simultaneously pay the first installment of the security deposit.
Instead of a cash deposit, landlords and property managers can also agree with the tenant on a modern form of security deposit secured by a guarantee or insurance policy. This has the advantage for the tenant that they don't have to tie up any cash for the deposit. In addition, an independent credit check of the tenant is carried out. The landlord receives the full deposit immediately before the apartment is handed over. The landlord thus receives double security and therefore good protection against tenants who don't pay rent.
We can help you solve these problems.
Please note that we cannot and may not assume any liability for the information on this page, especially since this information is not intended to constitute legal advice. In case of legal problems, legal advice can and should only be sought from qualified lawyers.
