Answer · Housing and rental contracts

How much deposit can a German landlord ask for?

For a residential tenancy, the deposit may not exceed three months' basic rent — the rent without heating and other running costs. You are entitled to pay it in three equal monthly instalments, the first when the tenancy starts. A landlord asking for more than three months' basic rent, or for the whole sum in advance, is asking for something the law does not allow.

Last verified: 19 September 2026 · Arrival

At a glance

Legal ceiling
Three months' basic rent (Kaltmiete)
Payment
May be split into three monthly instalments
Excluded from the base
Heating and other running costs
Held
Separately from the landlord's own money, and it earns interest
Returned
After the tenancy ends and any claims are settled

Why the base is the Kaltmiete, not what you transfer each month

German leases usually quote two figures: Kaltmiete, the rent for the flat itself, and Warmmiete, that rent plus the advance payment for running costs such as heating and water. The deposit cap is calculated on the Kaltmiete only.

That is why a deposit can look smaller than three months of what you actually pay. If a landlord calculates three months of Warmmiete, the deposit is above the legal limit.

How the deposit is held and returned

  • The landlord must keep it apart from their own assets, typically in a dedicated deposit account.
  • It earns interest, and the interest belongs to you.
  • After you move out, the landlord may keep what is needed for unpaid rent, agreed repairs or an open utility settlement.
  • There is no fixed statutory deadline for the return; landlords commonly hold part of it until the annual utility bill is settled.
  • Keep the handover protocol and photos from both move-in and move-out — they are the evidence if a deduction is disputed.

Common mistakes

  • Calculating the cap on the Warmmiete instead of the basic rent.
  • Paying a deposit in cash without a receipt.
  • Accepting a request for more than three months' rent because the market feels competitive.
  • Moving in without a handover protocol, which makes later deductions hard to challenge.

What happens next

  • Confirm in writing whether you are paying in one sum or in three instalments.
  • Ask for the deposit account details or written confirmation that it is held separately.
  • File the lease, the handover protocol and the deposit receipt together — you will need them when you leave.

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Related questions

Can I refuse to pay the whole deposit before moving in?
Yes. The law gives you the right to pay in three equal monthly instalments, starting at the beginning of the tenancy. You do not need the landlord's agreement for that.
Does the cap apply to furnished or short-term flats?
The cap applies to residential tenancies. Short-term and specifically furnished arrangements are sometimes structured differently, so read what the contract actually calls the payment and get advice if it exceeds three months' basic rent.
What if the landlord keeps the deposit without explaining why?
Ask for an itemised statement in writing. Tenants' associations and consumer advice centres handle this situation routinely; this page is general information, not legal advice on your individual case.

Official sources

Last verified: 19 September 2026

This page is general information about a German administrative process. It is not legal, tax or immigration advice and it does not replace a decision by the responsible authority. Rules, fees and processing times change, and practice differs between cities and offices — always check the official source linked above for your own case.

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