Security deposit refunds in Germany can take up to 6 months. This delay is due to:
- Thorough Damage Inspection: Landlords need time to inspect the property.
- Repair and Maintenance Work: Repairs or maintenance may extend the process.
- Final Utility Bill Settlement: Utilities like heating and water are often billed annually, so landlords wait for final statements to ensure no outstanding costs. This is the most common cause of delays.
- Legal Protections for Landlords: The six-month period allows landlords to check for unpaid rent or fees and cover tenant liabilities.
- Administrative Processing: Paperwork, calculations, and property management procedures can take time.
Although six months is the legal maximum timeframe, deposits may be returned earlier if no issues arise.