GermanyWhen is a fixed-term lease allowed in Germany?
A fixed-term lease is only allowed in Germany if the landlord has one of three legally defined reasons — personal use, major renovation or demolition, or subletting to a service provider — and must disclose the reason in writing at signing.
What the Law Says
German law strongly favors open-ended tenancies. Fixed-term leases (Zeitmietverträge) are exceptions — not the rule — and only permitted if strict statutory conditions are met.
Under German civil law, most residential leases must be open-ended (unbefristet). A fixed-term lease is only lawful if the landlord has one of three specific, objectively verifiable reasons listed in BGB § 575(1). These are not subjective preferences — they must be real, documented, and communicated properly.
First, the landlord must intend to use the property personally — for themselves, their family members, or members of their household — after the lease ends. Second, the landlord must plan legally permissible demolition, major structural alterations, or essential repairs so extensive that continuing the tenancy would seriously hinder the work. Third, the landlord intends to re-let the unit to someone who provides them with services (e.g., a caretaker), and crucially, must inform the tenant in writing — at the time the contract is signed — of this exact reason.
The law also protects tenants from abuse: any clause that weakens these protections (e.g., waiving the right to ask about the reason’s continued existence) is automatically void under § 575(4). If the landlord fails to confirm the reason’s validity in time — or if the reason disappears or arises too late — the tenant gains strong rights to extend the lease.
Statutory TextEin Mietverhältnis kann auf bestimmte Zeit eingegangen werden, wenn der Vermieter nach Ablauf der Mietzeit 1. die Räume als Wohnung für sich, seine Familienangehörigen oder Angehörige seines Haushalts nutzen will, 2. in zulässiger Weise die Räume beseitigen oder so wesentlich verändern oder instand setzen will, dass die Maßnahmen durch eine Fortsetzung des Mietverhältnisses erheblich erschwert würden, oder 3. die Räume an einen zur Dienstleistung Verpflichteten vermieten will und der Vermieter dem Mieter den Grund der Befristung bei Vertragsschluss schriftlich mitteilt.
— BGB § 575(1) — German Civil Code
What Courts Have Said
German courts strictly enforce the narrow scope of fixed-term leases and scrutinize whether landlords’ stated reasons are genuine and timely.
Although this case concerned unauthorized structural alterations in a long-term tenancy — not fixed-term leases — it reaffirmed the principle that tenant rights under the BGB (including those in § 575) cannot be undermined by informal agreements or unilateral landlord actions. The court emphasized that statutory tenant protections apply regardless of lease duration unless expressly and lawfully waived — which § 575(4) forbids.
What to Do
Before signing, ask the landlord to state in writing — on the lease or as an annex — which of the three BGB § 575(1) grounds applies, and provide supporting evidence (e.g., renovation plans, proof of intended personal use).
If the lease is already signed, you may send a written request up to four months before expiry asking whether the original reason still exists — the landlord must reply within one month.
If the landlord misses the one-month deadline, or confirms the reason no longer applies, you may demand an extension — either for the same length as the delay or, if the reason has vanished entirely, an indefinite continuation.
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Not legal advice. This article is general information based on publicly available sources, written for educational purposes. Laws change and individual situations vary. Consult a licensed attorney in your jurisdiction before acting on anything you read here. Last reviewed: June 2026.