Germany: checking the utility costs statement, deadlines and heating

What belongs in the statement

A tenant bears operating costs only if landlord and tenant agreed on it (BGB § 556 para. 1). Operating costs are the costs that ownership of the property, or the intended use of the building, causes the owner on an ongoing basis; § 2 of the Operating Costs Ordinance lists seventeen types, from land tax through water, heating, lift, waste, building cleaning, garden care and lighting to building insurance and the caretaker.

Not included are administration costs, for example for the property manager, and maintenance and repair costs, that is, repairs and renewals (BetrKV § 1 para. 2). Advance payments may only be agreed at a reasonable level (BGB § 556 para. 2).

The two deadlines

The advance payments must be settled every year. The statement must be sent to the tenant by the end of the twelfth month after the end of the statement period at the latest: for calendar year 2025, therefore, by December 31, 2026. If it comes later, the landlord can no longer demand a back payment, unless he is not responsible for the delay. He is not obliged to give partial statements (BGB § 556 para. 3).

You have a deadline of your own: you must tell the landlord your objections to the statement by the end of the twelfth month after receipt at the latest. After that you can no longer raise them, unless you are not responsible for the delay. So note when the statement reached you. Both deadlines count in months: the first starts at the end of the statement period, the second when the statement reaches you.

How the costs are allocated

Unless you agreed otherwise, operating costs are allocated by share of living area; costs that depend on a measured consumption, by consumption (BGB § 556a para. 1). Example: you live on 70 of 560 m², that is 12.5 percent; with €12,000 of costs by area you bear €1,500.

For heating costs, the Heating Costs Ordinance requires that at least 50 and at most 70 percent be allocated by measured heat consumption and the rest by living or usable area (HeizkostenV § 7 para. 1). With €9,000 of heating costs, 70 percent by consumption and a consumption share of 10 percent, that is €630 by consumption and €337.50 by area. If it is not settled by consumption, you may reduce your share of the heating and hot water costs by 15 percent (HeizkostenV § 12 para. 1).

Receipts, back payment and advance payment

You may inspect the receipts the statement is based on; the landlord may provide them electronically (BGB § 556 para. 4). The landlord must also observe the principle of economic efficiency (BGB § 556 para. 3): striking items compared with the previous year are a reason to ask.

With the example values, a share of €2,917.50 and €2,640 of advance payments give a back payment of €277.50. After a statement either side may adjust the advance payment by a statement in text form to a reasonable level (BGB § 560 para. 4): in this example that would be about €243 a month.

When the statement is wrong

A claim by the landlord for a back payment requires that the statement came in time or that he is not responsible for the delay: so check the deadline first and then the individual items. Check the period, the cost types, the allocation key, the areas, the advance payments and the heating costs. Tell the landlord your objections within the deadline, preferably in writing and with the items you dispute. If you are unsure, a tenants’ association or a tenancy lawyer can help.