The key facts at a glance
- When you buy a condominium, you automatically become a member of the condominium owners' association (WEG). Since the 2020 condominium law reform, the association itself has legal capacity.
- Your apartment is separate property, while the building with its roof, facade and stairwell is common property. All owners decide on the latter together.
- The owners' meeting is the highest decision-making body: at least once a year, resolutions by simple majority, and every meeting has a quorum.
- With the monthly service charge (Hausgeld) and the maintenance reserve, the association finances the day-to-day running and the upkeep of the building.
- The property management company carries out the resolutions and organizes the association's everyday affairs. If the fit is no longer right, the meeting can remove it at any time.
On this page
What is a WEG?
When you buy a condominium, you acquire two things at once: your apartment and membership in the condominium owners' association, in German the Wohnungseigentümergemeinschaft, or WEG for short. It comprises all owners in the building. Membership arises automatically with ownership. You do not have to apply for it, and you cannot decline it either. That is not a burden but a strength: all important decisions about the shared building are made together and carried together.
Since the major condominium law reform, in force since December 1, 2020, the community of condominium owners (GdWE for short) itself has legal capacity (Section 9a of the German Condominium Act, WEG). It can therefore conclude contracts in its own name and appear in court. Externally, it is represented by the property manager (Section 9b WEG). Only for particularly far-reaching transactions, namely contracts concerning real estate and loans, does the manager need a resolution of the owners.
Good to know
You will come across the abbreviation WEG in two meanings: as the condominium owners' association (Wohnungseigentümergemeinschaft) and as the German Condominium Act (Wohnungseigentumsgesetz), which sets out the ground rules for how owners live and decide together. The context almost always makes clear which one is meant.
Separate property, common property and exclusive rights of use
The most important question in condominium ownership is: what belongs to me alone, and what belongs to all of us? The law distinguishes two spheres for this, plus one practical extra.
Separate property: your apartment
Separate property (Sondereigentum) covers the rooms of your apartment with everything that is not part of the building's structure: for example floor coverings, interior doors and non-load-bearing interior walls. You use and design this sphere yourself, and you also maintain it yourself.
Common property: the building as a whole
Everything structural and shared is common property (Gemeinschaftseigentum): the roof, the facade, load-bearing walls, the stairwell and the pipes and lines up to the apartment. As a rule, the windows belong to it as well. All owners decide on this sphere together.
Exclusive right of use: using alone
An exclusive right of use (Sondernutzungsrecht) gives you the exclusive right to use a part of the common property on your own, for example a section of the garden or a parking space. The area remains common property; only its use is reserved for you.
Why does this distinction matter so much? Because in everyday life it determines whether you can act alone or whether the association has a say. New flooring in the living room: your call. A new roof: the association's call. When in doubt, a look at the declaration of division helps; more on that in a moment.
Declaration of division and community rules
Two documents form the foundation of every WEG. The declaration of division (Teilungserklärung) legally divides the property into individual units. Each unit is assigned a co-ownership share, in German the Miteigentumsanteil or MEA. It describes the notional share your apartment holds in the overall property and later plays an important role in allocating costs.
The community rules (Gemeinschaftsordnung) are the "constitution" of your association. They govern, for example, how voting rights are distributed, according to which formula costs are allocated, and which special rules apply in your building.
Tip for new owners
Set aside one quiet hour for the declaration of division and the community rules. Many everyday questions (Who pays for what? How is voting done? What applies to the garden and the parking space?) answer themselves, and at the next meeting you will be talking on equal footing.
The owners' meeting
The owners' meeting is your association's highest decision-making body. This is where matters are discussed, voted on and resolved: the annual statement, maintenance projects, the management, and everything else concerning the shared building. It takes place at least once a year (Section 24 WEG), and invitations must be sent with at least three weeks' notice.
The most important rules at a glance:
- Every meeting has a quorum. Since the condominium law reform, it no longer matters how many owners show up. All the more reason to attend or to grant a proxy.
- A simple majority is enough. Resolutions are passed with a simple majority of the votes cast. Abstentions do not count.
- One vote per owner. The statutory default is the one-owner-one-vote principle: each owner has one vote, regardless of the size of the apartment. Your community rules may deviate from this.
- Representation is possible. Anyone unable to attend can be represented by proxy. That way your vote is not lost.
- Digital, too. Hybrid participation, with some owners joining online, is possible. Since October 2024, the association can even permit purely virtual meetings with a three-quarters majority, limited to a maximum of three years at a time.
Our advice: use the meeting actively. It is the place to ask questions, contribute your ideas and help shape the future of your building.
Service charge, annual statement and maintenance reserve
The finances of a WEG are clearly organized and easy to follow. Three terms are worth knowing.
The monthly service charge and the annual budget
The monthly service charge (Hausgeld) is the advance payment every owner makes to the association each month. It is based on the annual budget that the manager draws up for the year. By statutory default, the costs are allocated according to co-ownership shares (Section 16(2) WEG); your community rules may provide for a different formula. How high the service charge is varies by region, property and scope of services; there are no fixed reference values.
The annual statement and the asset report
After the year ends, the manager prepares the annual service charge statement. Since the condominium law reform, what is resolved is the so-called settlement balance, meaning the additional payments or the adjustment of the advance payments made (Section 28 WEG). In practical terms: the statement shows whether you owe a top-up payment or whether your advance payments are adjusted.
In addition, the manager prepares an asset report every year. It shows the state of the maintenance reserve and the association's other assets. So you always know where your association stands financially.
The maintenance reserve
The maintenance reserve, formerly called the repair reserve, is the association's saved-up cushion for larger maintenance projects, for example on the roof, the heating system or the facade. It belongs to the association, not to the individual owner. A well-funded reserve means planning security: when a major project comes up, the money for it is already there.
Important when selling an apartment: the notional share of the reserve passes to the buyer together with the unit. There is no payout to the seller.
The owners' advisory board
The owners' advisory board (Section 29 WEG) is the link between the owners and the management: a small body drawn from the owners' own ranks that supports and supervises the manager. One of its most important tasks is reviewing the annual budget and the annual statement before the meeting votes on them.
Since the condominium law reform, the size of the board is flexible; the association can staff it in whatever way suits it. The work is an honorary role. And the worry about liability is smaller than often assumed: anyone acting without pay is only liable for intent and gross negligence (Section 29(3) WEG).
An advisory board is not mandatory, but it is a real asset for any association. If you have the time and the interest, the role is a good opportunity to actively shape your building and to work closely with the management.
What does the property management company do?
The property management company, in the statute the manager (Section 27 WEG), is the engine of your association's everyday life. It implements what the owners resolve and keeps the building running. Its core tasks include:
- Carrying out the resolutions of the owners' meeting
- Organizing the owners' meeting and keeping the collection of resolutions
- Preparing the annual budget and the annual statement
- Managing the association's bank accounts
- Commissioning tradesmen
Measures of minor significance may be taken by the management on its own. That keeps everyday life pleasantly uncomplicated: small matters are handled directly, while the big decisions stay with the owners.
And if the working relationship no longer fits in the long run? Then your association is not tied down: the owners' meeting can remove the manager at any time and without giving reasons, and the management contract ends no later than six months afterwards (Section 26(3) WEG). What a property management company costs, by the way, is covered in our guide to property management costs.
The right property management company for your property
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Your rights and duties at a glance
To finish, the essentials for your everyday life as an owner, summarized compactly.
Your most important rights
- Having a say: you attend the owners' meeting and vote on the resolutions.
- Proper management: you are entitled to have your association managed properly (Section 18(2) WEG).
- Inspecting records: you may inspect the association's management records (Section 18(4) WEG).
- Qualified management: you can demand that a certified property manager with an IHK examination be appointed (Section 26a WEG). Only very small, self-managed associations are exempt.
Your most important duties
- Paying the service charge: you pay your advance payments on time so the association can cover its costs.
- Respecting resolutions: resolutions that have been passed apply, even if you voted differently yourself.
- Being considerate: you show consideration for the other residents of the building.
- Maintaining your separate property: you look after the condition of your own apartment yourself.
With this basic knowledge, you are well equipped for everyday life in your association. Everything else is craftsmanship, and that is what a good property management company is for.
Frequently asked questions about condominium ownership
What is the difference between separate property and common property?
Separate property is your own apartment, meaning the rooms with their floor coverings, interior doors and non-load-bearing interior walls. Common property is everything structural and shared, for example the roof, the facade, load-bearing walls, the stairwell, the pipes and lines up to the apartment and, as a rule, the windows too. All owners decide on the common property together.
How often must an owners' meeting take place?
At least once a year. Invitations must be sent with at least three weeks' notice. Since the condominium law reform, every meeting also has a quorum, regardless of how many owners attend.
Can I be represented at the meeting?
Yes. You can grant a proxy and be represented at the owners' meeting. Depending on your association, hybrid participation is also possible, with you joining online.
What can I do if I disagree with a resolution?
A resolution can be challenged in court within one month. What to bear in mind is explained in our guide to the WEG and the law.
What is the maintenance reserve for?
The maintenance reserve is the association's saved-up cushion for larger maintenance projects, for example on the roof, the heating system or the facade. It belongs to the association. When an apartment is sold, the notional share passes to the buyer together with the unit; there is no payout.
Do I have to join the owners' advisory board?
No. The owners' advisory board is a voluntary honorary role and very useful for the association, but not an obligation. In addition, anyone acting without pay is only liable for intent and gross negligence.
May I inspect the management records?
Yes. Every condominium owner is entitled to inspect the association's management records. Simply ask your property management company.
What can we do if the management company performs poorly?
Raise problems openly first; much can be resolved in conversation. If nothing changes, the owners' meeting can remove the property manager at any time and without giving reasons. How the switch succeeds step by step is shown in our guide to switching property management companies.
Related guides
This overview was prepared with great care (last updated: July 2026), but it does not replace legal advice in individual cases. The law as well as your declaration of division and community rules are always decisive. For special situations, a law firm specializing in German condominium law (WEG law) can assist.