Administrator practice rent cover: Part 10 - Obligation to notify modernizations before entry into force within 3 months after entry into force

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Seminar on the rental cover on February 17.02.2020, XNUMX
Part 1 - Direct Debits
Part 2 - “Accepting” rent payments
Part 3 - Everything not so hot because it's unconstitutional anyway?
Part 4 - Is only the landlord or the administrator liable?
Part 5 - Conclusion of new leases
Part 6 - Obligation to notify of key date rent immediately after entry into force without a period
Part 7 - Obligation to provide information about the circumstances of the calculation immediately after entry into force without a period
Part 8 - General information and submission obligation to the authorities immediately after entry into force without a period
Part 9 - Obligation to provide information about the circumstances of the calculation within 2 months of the entry into force
Part 10 - Notification of modernization prior to entry into force within 3 months after entry into force
Part 11 - What Happens After the Law Expires?
Part 12 - Rents cut in 9 months
Part 13 - What is a "Request" with fines?


Section 7 (1) MietWoG stipulates a notification obligation to the IBB for landlords if they increase the rent after the modernization has been carried out. If they do so and there is a modernization in the sense of the catalog in § 7 (1), the permissible rent, ie the cap limit, will increase by up to 1 euro. Conversely, this means that if the increase is not shown to the IBB, the lid limit does not increase. The rent increase would then be inadmissible.

According to § 7 para. 2 MietWoG (here Page 19) applies accordingly to modernization, the between the effective date and the effective date of the law. The rent increase is permitted from the entry into force of the law,

"If the notification is made within three months of this time."

This means that the modernization carried out does not lead to an increase in the limit value if the increase and notification to IBB are not made within three months of the entry into force.

lack of notification is illegal and threatened with fines

According to section 11 (1) no. 5 of the Renting Act, anyone acting contrary to section 7 of the increase not, not correctly, not completely or not in time. The threat of fines is the usual one. 500.000 euros.

Delimitation: difficult

Did you submit a building application in 2014, after it was approved, did you start financing in 2015 and send the modernization announcements to the tenants? let and all work carried out in 2017 does not increase the limit. If the work has been delayed and you were only finished after the cut-off date on June 2018, 3, this increases the limit value provided that the measures taken after the cut-off date are reported to the IBB on time.

What exactly does that mean? The law speaks of "modernization measures between the effective date and the entry into force of the law". If, for example, the craftsmen started work on the insulation in March 2019 and they were finished in July 2019, you will have to figure out the work that took place until June 18.06.2019, 18.06.2019, because these were not between the cut-off date and the effective date. Only those work ("Measures") that were carried out after June XNUMX, XNUMX fall within the time limit and could still be reassigned.

If you now think that this cannot be meant, then the reasoning for the law will unfortunately not help you. The draft dated November 28.11.2019, XNUMX still stipulated that it is not the measures that are important, but rather their allocation, i.e. when the rent increase is made (here Page 34). Indeed, this does not extend over several months, but the day of the letter of rent increase can be determined. In the version that has just been adopted, the reasoning only states that the change is "editorial in nature" (here Page 19). However, this is not true, it is a different legal arrangement. Now the period of the “measures” extends over months or years, so it cannot be defined to the day.

delimitation of content: difficult

As a result, the delimitation of content is difficult. It is not against the law according to § 11 that measure not to be reported between the effective date and the effective date, but the increase not to be reported on time after entry into force. However, if I understand the legal text correctly, the limit increases only in relation to the measures that were implemented between the key date and the entry into force, not in relation to previous measures.

This means that in the 3-month period after the MietWoG came into force, the modernizations from the period before it must have been completed and billed, and the modernization charges to the tenants must have been declared, because otherwise the increase will not be reported to IBB possible on time. If you take measures that continue for more than 3 months after the law came into force, the law text no longer seems to provide for an increase.

Another interpretation could be that it is not the letter of charge to the tenant (i.e. the rent increase) that matters, but the amount of the increase from the measures between the effective date and the effective date. You could determine this separately within the 3-month period and report it to the IBB, even if you cannot (yet) derive a modernization levy from the tenant because the measures have not yet been completed.

Recommendation: Apply the precautionary principle

If you had relevant measures implemented during the period in question, you should notify the IBB of the increase from this, even if you do not know which of these or to what extent is relevant. The IBB will not answer that either, there your ad only has to be accepted but nothing has to be processed, ie in case of doubt your ad will simply be filed there. But the display doesn't hurt anyway and maybe it actually helps with the limit value.

Which modernizations increase the limit?

According to Section 7 (1) MietWoG only the following:

  1. due to a legal obligation,
  2. for thermal insulation of the building envelope, the basement ceiling, the top floor ceiling or the roof,
  3. for the use of renewable energies,
  4. for energetic window renewal,
  5. for heating system replacement with heating system optimization,
  6. for elevator installation or
  7. for removing barriers by removing thresholds, widening doors or remodeling bathrooms

Other modernizations do not raise the limit.

So that the rental cover is good for something:

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