Legal · Glossary

WEGWohnungseigentümergemeinschaft

The community of owners that governs an apartment building

3 min read·Updated December 2024

A WEG (Wohnungseigentümergemeinschaft) is the community of owners in a building split into individual condos. If you buy an Eigentumswohnung, you automatically become a member.

How It Works

The WEG meets at least once a year (the Eigentümerversammlung) to vote on the budget, major repairs, modernisation projects, and house rules. Individual owners can be outvoted on shared matters, within the limits of the WEG-Gesetz.

Key Points

  • The WEG controls decisions about the building’s common areas
  • Its financial expression is the monthly Hausgeld, including a reserve fund (Instandhaltungsrücklage)
  • Reviewing the WEG’s reserve balance and meeting minutes is essential pre-purchase due diligence

Understand what ongoing ownership involves

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Lesson 2.5 · How property investment works in Germany

Ongoing ownership

Being a landlord: WEG, Hausgeld, and your duties.

Related Terms

Hausgeld(Monthly owners’ contribution)

Hausgeld is the monthly contribution a condo owner pays toward common-area maintenance, shared utilities, building insurance, and the reserve fund (Instandhaltungsrücklage). Part is umlagefähig (passable to the tenant), the rest stays with the owner.

Condominium(Eigentumswohnung)

An Eigentumswohnung is individually owned apartment unit within a larger building. Owners share common areas and pay monthly fees (Hausgeld) for building maintenance.

Property Management(Hausverwaltung)

Property management (Hausverwaltung) companies handle tenant relations, rent collection, maintenance, and legal compliance. Fees typically 8-15% of rental income.

Planning a purchase?

Buying in Germany adds roughly 7% to 12% on top of the purchase price.

Transfer tax

3.5% to 6.5% of the price, set by the state.

Notary & registry

About 1.5% to 2%, fixed by law (GNotKG).

Agent commission

Usually around 3.57% as the buyer's share.

Run your full numbers How buying works here

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WEG (Wohnungseigentümergemeinschaft) | Financemate Glossary