Deposit (Kaution) Not Returned? Your Rights as a Tenant

The legal basis of the rental deposit

The rental deposit (Kaution) serves the landlord as security for potential claims arising from the tenancy. Under § 551 BGB, the deposit may amount to no more than three months' net base rent. The landlord is obliged to hold the deposit separately from their own assets in a special deposit account — with standard interest. This interest belongs to the tenant.

When must the landlord return the deposit?

After the tenancy ends, the landlord has a reasonable period to consider whether justified claims exist. Case law puts this period at three to a maximum of six months. For the Nebenkosten (utility/operating costs) statement, the landlord may retain a reasonable partial amount until the final statement — as a rule, no more than three to four months' worth of the advance utility payments.

A general period of twelve months, as some landlords claim, is not supported by case law. You should demand your deposit back within six months at the latest.

Which deductions are permitted?

The landlord may only retain the deposit for justified claims:

• Rent arrears: Outstanding rent payments from the ongoing tenancy
• Damage beyond normal wear and tear: Damage that goes beyond contractual use (e.g. holes in doors, damaged floors)
• Outstanding utility back-payment: Only if the statement is still pending and a back-payment is likely
• Cosmetic repairs (Schönheitsreparaturen) not carried out: Only if the relevant clause in the rental contract is valid

These deductions are not permitted

Many landlords deduct amounts that are not legally tenable:

• Normal wear and tear: Minor traces of use on walls, worn carpets, or yellowed wallpaper are not grounds for deductions.
• Invalid renovation clauses: If the rental contract contains rigid deadline rules for cosmetic repairs, these are invalid under BGH case law.
• Excessive cleaning costs: A broom-clean handover is sufficient. Professional cleaning costs may only be deducted in the case of significant soiling.
• Flat-rate deductions without evidence: Every deduction must be specifically justified and documented.

How to reclaim your deposit

Proceed systematically to get your deposit back:

• Written request: Send a letter by registered post with a 14-day deadline. Refer to the expired consideration period and demand repayment of the deposit including interest.
• Check the handover protocol: If no defects were recorded at the flat handover, the landlord has little room for deductions.
• Send a reminder: If the landlord does not respond, send a second letter announcing legal action.
• Legal action: If the landlord remains inactive, you can sue for the deposit in court. For amounts up to 5,000 euros, the local court (Amtsgericht) has jurisdiction.

Mind the limitation period

The claim for repayment of the deposit becomes time-barred after three years (§ 195 BGB). The period begins at the end of the year in which the claim arose. So do not wait too long to enforce your claims.

Conclusion: Don't let yourself be stalled

Many tenants wait months or even years for the return of their deposit. Don't let yourself be stalled: set clear deadlines, document everything in writing, and don't shy away from legal action. KlarMiet can check your rental contract for invalid deposit clauses and help you enforce your claims.