Find out how you can legally reduce your rent to ease the financial burden of defects in your home. From the legal basics to identifying defects and communicating with your landlord, this guide offers tenants a comprehensive overview.

Reducing rent: meaning, requirements, and legal regulations

A rent reduction is a legal right of the tenant if a defect significantly impairs the suitability of the apartment for its contractual use (Section 536 of the German Civil Code (BGB)). It takes effect automatically when the defect occurs and reduces the rent in accordance with the impairment of use.

• A rent reduction is a way for tenants to reduce their payment obligation if the apartment has defects that impair its use. However, this reduction must not be arbitrary, but must be in reasonable proportion to the defect.

• A prerequisite for a rent reduction is that the defect does not only impair the use of the apartment to a negligible extent (Section 536 (1) sentence 3 BGB). Examples include mold, heating failure in winter, or persistent loud noise.

• The right to reduce the rent arises from Section 536 of the German Civil Code (BGB), which states that the tenant only has to pay for defect-free use. This right exists regardless of whether the landlord caused the defect himself or not.

• The tenant must notify the landlord of any defects immediately (Section 536c BGB) so that they can be remedied. It is not necessary to set a deadline for the rent reduction to take effect, but it may be advisable to do so in order to document the process and secure any subsequent claims.

What defects justify a rent reduction

In order to determine the extent to which a rent reduction is justified, tenants must carefully check and document the existing defects in their apartment. These defects actually entitle the tenant to a reduction in rent.

• Not every inconvenience entitles you to a rent reduction, only defects that significantly impair the usability of the property (Section 536 (1) sentence 3 BGB). These can include, for example, significant noise pollution, moisture damage, or the failure of important technical equipment.

• Noise pollution from construction sites or neighbors may also justify a rent reduction, especially if it exceeds the local norm and noticeably impairs the quality of life.

• Missing or defective facilities that were contractually guaranteed, such as an elevator or functioning sanitary facilities, can also be grounds for a rent reduction.

• Any rent reduction must be proportionate to the defect. Tenants can refer to court rulings that have dealt with similar cases for guidance.

How to proceed legally

Once you have decided to reduce your rent, it is essential to take the correct steps to avoid legal problems. Please note the following steps.

• Before reducing the rent, you should immediately notify the landlord of the defect and document it in detail (Section 536c BGB). A deadline for rectification is not a prerequisite for the reduction, but it does make it easier to enforce further claims.

• If the landlord does not take any action within the set period, you can reduce the rent in accordance with the extent of the defect. The amount of the reduction should be realistic and can be estimated by comparing similar cases.

• Inform your landlord in writing about the planned reduction and explain why and to what extent you are reducing the rent. Clear and comprehensible reasoning avoids misunderstandings.

• Keep all correspondence and receipts relating to the rent reduction in a safe place. These can serve as evidence in the event of any legal disputes.

Reducing rent: risks and important precautions

While a rent reduction can provide financial relief, it also carries risks and disadvantages that should be considered. Find out about the potential risks in advance.

• An unjustified or incorrectly implemented rent reduction can lead to legal disputes with the landlord, which in the worst case could result in termination of the lease.

• If the rent reduction is not communicated properly, the landlord could consider the reduced rent as arrears and take legal action.

• There is a risk that the landlord will damage their relationship with the tenant and be less willing to deal with future concerns quickly or find solutions.

• Before reducing the rent, tenants should ensure that the defects, such as mold, are adequately documented and, if necessary, seek legal advice to avoid possible negative consequences.