Modernization rent increase: How to protect your finances as a pensioner

Modernization rent increase: How to protect your finances as a pensioner

According to a report from www.focus.de, the case of a 75-year-old tenant was reported to whom a rent increase was announced due to a planned modernization. Since the rent is already 550 euros and the pensioner's net pension is only 1,350 euros, the rent increase would represent a heavy financial burden. However, the landlord suggests that the pensioner could do a mini-job to pay the rent. This is met with outrage and is criticized as an infringement on the tenant's personal freedom. The chairman of the Hamburg tenants' association emphasizes that the legal situation when it comes to modernization is complicated and that tenants can defend themselves against unreasonable hardship.

In view of the planned modernization of millions of houses in Germany in the coming years, such cases could increase. The legal regulations stipulate that landlords are allowed to pass on up to eight percent of the modernization costs to the annual rent, but a maximum of three euros per square meter within six years.

The recommended measure is to always have the modernization rent increases carefully checked, as landlords could try to pass on costs that cannot be passed on to the residents. It is important to note that landlords can only pay for the modernization themselves, not repairs. In many cases, the costs of an alleged modernization are not carefully checked, which is why tenants are always asked to check the invoices carefully. Case law sees a rent burden of 30 percent of income as a guideline for unreasonable hardship.

Given this information, it is important that tenants, especially older tenants with small pensions, are informed about their rights and options in the event of rent increases due to modernization. A close examination of the costs and advice from experts are crucial in order to avoid possible undue hardship.