Real estate law

rent reduction

When and how tenants can assert claims for rent reduction

A tenancy can be affected by various disruptions that significantly impair the use of the residential or commercial property. In such cases, tenants can claim a rent reduction under certain conditions. But which defects entitle them to a rent reduction, how is it calculated, and what steps are required?

Table of Contents

Prerequisites for a rent reduction

A rent reduction requires that the suitability of the rented property for use is significantly impaired. Classic examples of such defects are:

  • Heating and hot water failure
  • Moisture or mold growth
  • Noise pollution (e.g., from construction sites or neighbors)
  • Defective plumbing facilities
  • Pest infestation
  • Power outages
  • Construction work in the house or in the surrounding area

Crucial is that the defect was not caused by the tenant himself and that it is not merely insignificant.

Steps to assert a rent reduction

Document defect

The first step is a detailed documentation of the defect. This can be done through photos, videos, witness reports, or measurement logs (e.g., for noise or moisture).

Notify the landlord in writing

The tenant must inform the landlord of the defect immediately and set a reasonable deadline for its remedy. For this purpose, a written notice of defects should be issued with a deadline and reference to a rent reduction.

Calculate rent reduction

The amount of the rent reduction depends on the extent of the impairment. In practice, deductions are made as a percentage of the total rent. Some benchmark values:

  • No hot water: 10-20 %
  • Heating Failure in Winter: 20-50 %
  • Mold infestation: up to 100 %, depending on the severity
  • Noise pollution: 5–30 %, depending on intensity

pay rent under protest

Tenants should be careful and not unilaterally reduce the rent. Instead, it is recommended to continue paying the rent under reservation and to demand the refund or offsetting of the reduced amounts afterwards.

Conclusion

A rent reduction is an important tool for responding to significant defects. Precise documentation, timely notification of defects, and, if necessary, legal advice are crucial, because landlords often fail to respond or reject rent reduction claims. Anyone who reduces the rent hastily risks legal disadvantages and should therefore always proceed with caution.

For further information and individual consultation, please Anela Blöch and your team at any time at office@atb.law or by phone at 01 39 12345 available.

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