Operating costs: apportionable service charges, maintenance, water supply – explanation & definition
Operating costs – Which operating costs are to be paid by the tenant? And which ancillary costs do you have to take care of as a landlord? Which costs are apportionable and which are not, is defined by law. Find out more about the topic of operating costs and why you absolutely have to include them in the rental agreement!
Service charges: definition & explanation
Whether yield real estate or investment real estate, during the purchase of a house or an apartment there are always ancillary purchase costs. What many underestimate: The ongoing ancillary costs of owning a property. If you buy a rented property or do the initial letting yourself, you can pass on some of these incidental costs to the tenant.
Non-apportionable incidental costs: repair, maintenance & co.
You cannot pass on costs for craftsmen, maintenance and management to the tenant. After all, it is your responsibility as a landlord to ensure that the property meets modern safety standards and is rentable.
As the landlord, you must bear these costs yourself:
- Repair costs
- Maintenance costs
- Administrative expenses
- Bank charges
Apportionable service charges: The tenant pays
The apportionable ancillary costs are those that can be apportioned to the meter by you as the landlord. To avoid misunderstandings here, these should be agreed in the rental contract. This type of incidental costs are also called operating costs. Let’s take a closer look at them.
List of operating costs: (BetrKV) § 2
Operating costs are therefore constant ongoing public charges on the property. These are defined and regulated by law. Thus, any costs for the care and maintenance of the common areas and facilities fall into the category of apportionable service charges. Any costs for street cleaning, garbage disposal and for the chimney sweep are also paid by the tenant.
Here is a brief overview:
- Water supply
- Drainage
- Heating system and fuels
- Hot water system, supply and equipment
- Connected heating and hot water supply systems
- Passenger or freight elevator
- Street cleaning and garbage disposal
- Building cleaning and vermin control
- Garden maintenance
- Lighting
- Chimney cleaning
- Property and liability insurance
- Janitor
- Community antenna system
- Facilities for laundry care
- Other operating expenses
More about buying real estate: Operating costs
Are you buying a property that is already rented out or are you planning to rent out your newly purchased property? If you’ve never rented out a property before, you should definitely take a closer look at the different ancillary costs. Read even more on the subject here, on my new site for buyers, Immobilien-Erfahrung.de:
- Apportioning operating costs to tenants (external)