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Key features of rented real estate in Germany include:
Rental Contracts
Tenants in rented real estate sign rental contracts, which outline the terms and conditions of their tenancy. Rental contracts typically specify the monthly rent amount, the duration of the lease, rights and responsibilities of both the landlord and tenant, and other relevant details.
Rent Regulation
Germany has strict rent regulations in place to protect tenants and ensure affordable housing. In some areas, there are rent caps that limit the amount by which landlords can increase rent, and these caps can vary depending on the region.
Tenancy Protection
Tenants in Germany benefit from robust tenancy protection laws, which provide security of tenure and limit the reasons for which a landlord can terminate a lease. Renters have legal rights and recourse in case of disputes with landlords.
Property Types
If you’re wondering which type of real estate makes the most sense, factors vary, but generally, micro-apartments up to 60m², new constructions, listed heritage properties, and eco-friendly homes prove to be the most lucrative investment options in Germany.
Rental Market
Germany’s rental market is diverse, with rental prices varying significantly based on factors such as location, property size, condition, and local demand. Major cities and urban centers often have higher rental costs compared to rural areas.
Property Management
Some landlords manage their rented properties directly, while others may enlist the services of property management companies to handle tenant relations, maintenance, and rent collection.
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