EMZETT.Rental contract: The most important points before signing
In short: Before signing a rental contract it pays to look closely at rent, service charges, deposit, term, notice periods and cosmetic repairs.
In more detail: The first rental contract of your own is often a big step, especially during training. As a minor you need your parents’ consent to conclude it. The contract binds you for months or years. Amounts and rules change; check the current status with the responsible body.
In Depth
Rent and service charges
- Base rent plus service charges (operating costs) make up the total rent. Check what is in the service charges: waste, water, caretaker, heating.
- Advance payment or flat rate? With advance payments there is an annual statement with a possible back payment.
- Rent brake and rent index: in many cities rent for new lettings may exceed the local comparative rent only to a limited extent.
- Electricity and internet usually run separately.
Deposit
The deposit may be at most three months’ base rent and may be paid in three monthly instalments. The landlord must invest it separately from their own assets. After moving out it is returned with interest after a reasonable checking period (often a few months).
Term and termination
- Open-ended is the normal case: the tenant can terminate with 3 months’ notice, the landlord needs a legitimate reason (for example own use).
- Fixed-term contracts are only permitted with a legal reason.
- Graduated or index rent fixes future rent increases in advance.
- For shared flats: main tenancy, sublease or all as tenants? That decides rights and liability.
Handover and cosmetic repairs
At move-in and move-out prepare a handover protocol with photos, note defects and meter readings. Clauses on cosmetic repairs are often invalid if they prescribe rigid deadlines or concern a flat handed over unrenovated. Have doubtful cases checked before signing: tenants’ association, consumer advice or legal counselling.
See also: Rental deposit, Checking the service-charge statement