Guides & blog

Guides & blog

Rental agreement – what notice period applies?

Rental agreement – what notice period applies?

At some point, as a tenant, you may want to move out of your apartment. At the latest then, you will ask yourself: What notice period actually applies to a standard tenancy? And what deviations from standard agreements are permitted? Are there any other details you need to consider when terminating a tenancy for an apartment or house? Are there differences depending on whether you want to terminate the tenancy as the tenant or the landlord wants to end the agreement?

Statutory Notice Period: The Basis Is Tenancy Law

Housing is subject to special statutory protection. Therefore, key details concerning the duration of tenancy agreements are defined in the German Civil Code (BGB). This also includes the notice period.

Section 573c BGB regulates the statutory notice period for standard tenancies. Accordingly, the notice period for tenants is three months.

Termination must be given in writing. No specific form is required. However, it is advisable to consider the following points:

  • The place and date must be stated.
  • All landlords must be named as addressees.
  • The word termination must appear in the subject line.
  • In larger properties, the apartment should be identified (e.g., “5th floor, right”).
  • The termination date must be stated.
  • The letter must be signed by all tenants named in the tenancy agreement.
  • A registered letter with delivery confirmation is ideal, as otherwise there is no proof of delivery.

Termination is not valid if you give notice orally, by fax, or by email. This also applies if corresponding oral agreements existed.

Observe the Notice Period!

A notice period of three months applies. Notice of termination of the tenancy agreement must reach the landlord by the third working day of the first month of the notice period and then applies to the end of the month after next. This means: If, for example, the letter arrives on March 4 and that day is a Tuesday, this is sufficient because of the intervening Sunday. In this case, the apartment can be terminated effective May 31. If, on the other hand, the notice reaches the landlord later (the mailbox is sufficient), the tenancy agreement automatically runs for one month longer. If March 4 were a Friday, for example, the apartment would not be terminated until June 30.

There are exceptions to the three-month notice period:

  • If minimum rental periods are stipulated in the agreement, the earliest termination date is the last day of the Minimum rental period. The minimum rental period (the so-called “exclusion of termination”) may be up to four years.
  • The contract may stipulate a shorter notice period for the tenant, but it must be at least 14 days. However, this option applies only unilaterally to the tenant. A longer period is excluded as disadvantageous to the tenant.
  • If a contract is concluded for a fixed term, the tenancy ends automatically. No notice of termination is required. However, both parties may agree to an open-ended tenancy agreement at the end of the term.

A special notice period applies in the following cases:

  • Modernization measures: If the landlord announces extensive modernization or renovation measures, the tenant may terminate the tenancy with two months’ notice. However, this must involve significant interference with the use of the dwelling.
  • Rent increase: In the event of any rent increase, the tenant may terminate the tenancy effective at the end of the month after next.
  • Upon the death of a tenant, a spouse or registered civil partner living in the dwelling automatically enters into the tenancy. This person may declare their withdrawal within one month of the death. The tenancy agreement then ends automatically. In other cases, the heirs enter into the agreement. This does not affect the continuation of the agreement if there are additional contracting parties (for example, in a shared apartment).

In addition, a tenant may, under certain conditions, have grounds for termination without notice. These include, for example:

  • The dwelling cannot be used because there is no front door or the keys have not been handed over.
  • There is a health hazard caused, for example, by mold or substantial structural dilapidation. These grounds must be proven and a prior warning must have been issued.
  • The landlord intentionally violates the tenant’s privacy by, for example, entering the living space without authorization.

Caution: The assessment of such special grounds may vary considerably from case to case. In case of doubt, a court must decide on the legality of the termination without notice.

What notice periods apply to landlords?

Different notice periods apply to landlords. Once again, the special protection of housing is at the heart of the legislature’s requirements. Therefore, termination is generally permitted only if special reasons are stated.

Unlike for tenants, the notice period for landlords changes over time the notice period. The longer a contract has already been in force, the longer the period for terminating it. The following statutory periods apply to landlords:

  • For leases of up to five years, a period of three months applies.
  • For leases between five and eight years, a period of six months applies.
  • For leases that have already lasted longer than eight years, the statutory notice period is nine months.

If an older contract still stipulates a longer notice period, this applies only to the landlord. A shorter period is excluded as a disadvantage to the tenant. Like tenants, landlords may also cite special reasons that justify a different period:

  • Furnished rooms rented under a sublease can be terminated by the 15th of the month for the end of that month.
  • The landlord may terminate company housing with one month's notice if, firstly, the tenant is no longer an employee of the employer and, secondly, another employee needs this housing.
  • Termination without notice is possible if the tenant is two months behind on rent or seriously disturbs the peace of the house (proof required; a prior warning is advisable).
  • If the landlord lives with the tenant in a single-family or two-family house, they may terminate the lease without stating reasons. In this case, however, the statutory period is extended by three months (after eight years of the lease, for example, a period of twelve rather than nine months consequently applies).

Important: Tenants may object to a termination. § 574 BGB cites cases of hardship as grounds (pregnancy, disability, impending homelessness, etc.). These must be examined by the court.

Notice period for commercial leases

The periods mentioned apply only to private residential premises. In the case of a commercial lease, the contract is freely negotiable. If no specific provision regarding the notice period has been stipulated, § 580 a BGB applies. For a customary rent defined by month, a period of six months and termination by the third working day of a quarter apply. For weekly or daily rent calculations, a calculation period in advance applies as the notice period (for example, termination one week before the end of the following week).