Subletting Your Apartment in Germany: What the Law Says

Introduction

If you rent an apartment in Germany and have ever thought about subletting it — whether you're travelling abroad for a few months, going back home temporarily, or simply want to share costs with someone — you need to know the rules. Germany's Federal Court of Justice (Bundesgerichtshof) recently ruled against a Berlin tenant who sublet his apartment for twice the rent he was paying. The decision reinforces clear legal boundaries around subletting and has direct implications for expats and immigrants living in rented accommodation across Germany. Getting this wrong can cost you your apartment — and your legal standing as a tenant.

What the Court Actually Decided

The case involved a Berlin tenant who sublet his apartment to a third party at double his own monthly rent. Germany's highest civil court found this constituted an unlawful profit and sided with the landlord. The core issue was not the act of subletting itself — that is generally allowed under certain conditions — but the excessive surcharge applied on top of the tenant's own rent.

The ruling sends a clear message: subletting is a practical right, not a business opportunity. Tenants cannot use their apartment as a source of rental income above and beyond what they themselves pay.

The Key Rules on Subletting in Germany

Before you sublet any part or all of your apartment, there are several rules you must follow:

1. You need your landlord's permission. In most cases, you must ask your landlord (Vermieter) in writing before subletting. If you have a legitimate reason — such as a temporary work assignment abroad, a longer trip, or financial hardship — your landlord generally cannot refuse without good reason. However, subletting the entire apartment for extended periods is harder to justify than subletting a single room.

2. You cannot charge significantly more than your own rent. The court's ruling makes clear that you may only charge a proportionate share of your rent, plus potentially a small amount for furnishing or utilities. Charging double — or any excessive markup — is not permitted. A common benchmark is that the subletting fee should reflect a fair division of your actual costs, not a profit margin.

3. Short-term platforms (like Airbnb) are heavily restricted. Subletting via short-term rental platforms is regulated differently in Germany. Many cities, including Berlin, Munich, and Hamburg, have laws that prohibit or severely restrict using your primary residence for commercial short-term rental without a specific permit. Violating these rules can lead to heavy fines and eviction.

4. The main tenant remains responsible. Even if you sublet, you remain fully responsible for the rent and for any damage caused by the person you bring in. Your subtenant is your legal responsibility toward the landlord.

What Happens If You Break the Rules?

If you sublet without permission, or charge excessive rent, your landlord has grounds to terminate your tenancy. In serious cases — particularly where you profit significantly — courts have upheld evictions. Beyond losing your apartment, you could face a demand to return the excess rent you collected.

For expats, losing your tenancy can have additional complications if your registered address (Anmeldung) is tied to that apartment, as your registration must reflect your actual residence.

Practical Tips for Expats Who Need to Sublet

• Always ask in writing. Send your landlord a formal letter explaining your reason and the proposed period. Keep a copy.
• Charge fairly. Divide your rent proportionally. If you sublet one room in a three-room apartment, charge roughly one-third of your rent plus a share of utilities.
• Check your city's short-term rental rules before listing on any platform.
• Write a simple subtenant agreement even for informal arrangements, specifying rent, duration, and house rules.
• Consult a tenants' association (Mieterverein) if your landlord refuses permission and you believe the refusal is unjustified. They offer affordable legal advice and can support you.

Frequently Asked Questions

Can my landlord refuse to let me sublet?

Your landlord can refuse if they have a valid reason, for example if the apartment would become overcrowded, or if the proposed subtenant has behaved problematically before. However, if you have a legitimate personal or financial reason to sublet a room, an outright refusal without grounds may be challenged. A Mieterverein can advise you on your specific situation.

Does subletting affect my Anmeldung?

If you sublet your entire apartment and move out, you will need to update your Anmeldung to reflect your new address. Your subtenant may also need to register at the apartment's address. Anmeldung obligations remain regardless of the rental arrangement between you and your subtenant.

Can I sublet my apartment on Airbnb legally?

In many German cities, subletting your primary residence on short-term platforms requires a permit. Berlin, for instance, requires a so-called Zweckentfremdungsverbot exemption. Always check your city's specific rules before listing. Fines for violations can reach several thousand euros.

What if I sublet without telling my landlord and they find out?

This is a serious risk. Subletting without permission is a breach of your rental contract and can justify termination of your tenancy. In some cases, landlords have successfully evicted tenants for this. Do not sublet without permission, even informally or short-term.

Conclusion and Next Steps

Subletting your apartment in Germany is your legal right under reasonable conditions — but it comes with strict rules. The recent Federal Court ruling makes clear that turning your rental into a profit-making venture is not allowed. If you need to sublet, get your landlord's permission in writing, charge fairly, and make sure you understand your city's additional regulations.

If you are unsure about your rights or your landlord's response seems unreasonable, contact a local Mieterverein. Membership is usually affordable and gives you access to legal support that can make a real difference.

Source: The Local Germany