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RENTING

Reader question: Can I Airbnb my German flat during Euro 2024?

The UEFA European championship will be taking place in 10 cities across Germany this summer. If you live in one of them, are you allowed to make a bit of extra cash by renting out your space?

Published: 18 March 2024 09:45 CET
Reader question: Can I Airbnb my German flat during Euro 2024?
File photo of Airbnb app. Photo: Gorm Kallestad/NTB/TT

Nearly three million football fans are expected to descend on Germany for the UEFA Euro tournament this summer. A total of 10 cities across Germany will field matches for the Euros.

This map on UEFA’s website shows the German cities where games will be taking place during the tournament, which runs from Friday June 14th to Sunday July 14th, 2024.

The event has many people wondering if they could earn some extra cash by renting out their homes to tourists. Here’s how you can prepare to rent out your home and stay in line with the rules. 

READ ALSO: Euro 2024: Germany to sell cheap train tickets for fans attending games

Can I put my home on rental platforms like Airbnb in Germany?

Yes, Airbnb is not outlawed in Germany. But depending on the state there may be some additional regulations to keep track of. 

What rules do Airbnb hosts in Germany follow?

All rental hosts are required to collect and retain information about guests who stay at your property for three months or less. Hosts can either purchase reporting certificates online or create certificates themselves to meet this requirement. If you retain the guest data yourself, you will be required to comply with all data protection laws like the European General Data Protection Regulation (GDPR). 

READ ALSO: What to know about renting out your home as an Airbnb in Germany

Depending on the state and city, local authorities may have additional requirements for rental hosts. 

The tournament kicks off in Munich. The Bavarian city’s regulations allow you to rent your primary home to guests for a combined total of eight weeks per calendar year without a permit. Still, you could run into trouble if more than half of the floor space is rented out without a permit.  

Berlin has strict regulations regarding short-term rentals. There are no limits for primary residences, but you are required to receive permission from district offices. The city introduced a registration system for anyone interested in renting out part of their home for a short term period. 

If less than half of the space will be rented out, you’ll need to update the relevant district authority of your plans to receive a registration number that you must include when advertising the property. You are required to obtain a permit if you plan to rent more than half of your home. 

READ ALSO: Could a landmark court ruling help solve Berlin’s housing crisis?

Hamburg also has implemented a registration system to monitor the number of holiday rental homes listed on sites like Airbnb. It doesn’t cost money to get a registration number, and you are allowed to rent out a room for eight weeks or less per year. 

Apartments in Hamburg's Eimsbüttel area.

Apartments in Hamburg’s Eimsbüttel area. Photo: picture alliance/dpa | Marcus Brandt

Can I rent out my flat if I don’t own it?

If you’re renting a property in Germany, subletting without permission can get you in trouble with the law. Tenants interested in subletting their room or apartment are required to get written permission from their landlord before they can rent their space on platforms like Airbnb and Homeaway. 

Do different rules apply to second homes?

Yes, second homes, or places you live in for less than half of the year are governed by different guidelines. 

In Germany, secondary residences cannot be rented out for more than 90 days per year. If you live in the flat you may be allowed to rent it out during periods of absence (i.e., when you are travelling), so long as you don’t change the main function of the home to renting. 

What about taxes?

German tax law requires rental income to be taxed alongside other incomes. If you receive income in Germany from short-term lets, you are legally required to report the income amounts and file a tax return. 

Still, there are a few exceptions. If your rental income in a year is below €520, there are no taxes charged. But if your rental income exceeds €520 then you will be taxed on the entire amount. Of note, tax only considers income to be the profit retained after expenses are deducted. 

If you don’t intend to make renting your property a habit, you may be able to classify the income as a “hobby” by the tax office. Under this classification, if you end up bringing in an income it doesn’t have to be taxed, but you also cannot claim any expenses or losses. This policy does not apply to unlimited rentals or properties charging rent at 66 percent of other local rent prices.  

Rental property may also be subject to VAT like any other business. But good news, if your rental income does not exceed €17,500 and you don’t expect to earn more than €50,000 in a year, you are not liable for VAT. 

What happens if you break the rules?

You can face eye watering fines of up to €500,000 depending on the state you live in. Some cities like Frankfurt are cracking down by employing full time “Airbnb hunters” to look for illegal listings of homes and furnished residences online.  

Note that laws are constantly changing, so be sure to check your state’s website for up to date information on short term rental regulations.

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TRAVEL NEWS

Reader question: What will EES mean for foreigners living in Europe?

The EU's new Entry & Exit System (EES) of enhanced passport controls is due to come into force later this year, but among many questions that remain is the situation for non-EU nationals who live in the EU or Schengen zone.

Published: 27 April 2024 07:59 CEST
Reader question: What will EES mean for foreigners living in Europe?

Currently scheduled to start in autumn 2024 (unless it’s delayed again, which is not unlikely) the EU’s new Entry & Exit System is basically an enhanced passport check at external EU borders, including a facial scan and fingerprinting.

You can find a full explanation of the new system HERE.

Travellers crossing an external EU or Schengen border for the first time will be required to complete EES ‘pre-registration’ formalities including that facial scan and fingerprinting.

There are, however, several groups exempt from EES and one of them is non-EU nationals who have a residency permit or long-stay visa for an EU country.

So if you’re a foreigner living in the EU or Schengen zone, here’s what you need to know.

Exempt

One of the stated aims of EES is to tighten up enforcement of over-staying – IE, people who stay longer than 90 days in every 180 without a visa, or those who overstay the limits of their visa.

Obviously these limits do not apply to non-EU nationals who are resident in the EU or Schengen zone, which is why this group is exempt from EES checks. They will instead be required to show their passport and residency permit/visa when crossing a border, just as they do now.

In its explanations of how EES will work, the European Commission is clear – exempt groups include non-EU residents of the Bloc.

A Commission spokesman told The Local: “Non-EU citizens residing in the EU are not in the scope of the EES and will not be subject to pre-enrollment of data in the EES via self-service systems. The use of automation remains under the responsibility of the Member States and its availability in border crossing points is not mandatory.

“When crossing the borders, holders of EU residence permits should be able to present to the border authorities their valid travel documents and residence permits.”

How this will work

How this will work on the ground, however, is a lot less clear.

Most ports/airports/terminals have two passport queues – EU and non-EU. It remains unclear whether the non-EU queue will have a separate section for those who are exempt from EES.

It does seem clear that exempt groups will not be able to use the automated passport scanners – since those cannot scan additional documents like residency permits – but should instead use manned passport booths. However it is not clear whether these will be available at all airports/ports/terminals or how non-EU residents of the EU will be directed to those services.

There’s also the issue that individual border guards are not always clear on the processes and rules for non-EU residents of the EU – even under the current system it’s relatively commonly for EU residents to have their passports incorrectly stamped or be given incorrect information about passport stamping by border guards.

Brits in particular will remember the immediate post-Brexit period when the processes as described by the EU and national authorities frequently did not match what was happening on the ground.

The Local will continue to try and get answers on these questions. 

READ ALSO What will EES mean for dual nationals

What if I live in the EU but I don’t have a visa/residency permit?

For most non-EU citizens, having either a visa or a residency permit is obligatory in order to be legally resident.

However, there is one exception: UK citizens who were legally resident in the EU prior to the end of the Brexit transition period and who live in one of the “declaratory” countries where getting a post-Brexit residency card was optional, rather than compulsory. Declaratory countries include Germany and Italy.

Although it is legal for people in this situation to live in those countries without a residency permit, authorities already advise people to get one in order to avoid confusion/hassle/delays at the border. Although EES does not change any rules relating to residency or travel, it seems likely that it will be more hassle to travel without a residency card than it is now.

Our advice? Things are going to be chaotic enough, getting a residency permit seems likely to save you a considerable amount of hassle.

Delays 

Although residents of the EU do not need to complete EES formalities, they will be affected if the new system causes long queues or delays at the border.

Several countries have expressed worries about this, with the UK-France border a particular cause for concern.

READ ALSO Travellers could face ’14 hours queues’ at UK-France border

Where does it apply?

EES is about external EU/Schengen borders, so does not apply if you are travelling within the Schengen zone – eg taking the train from France to Germany or flying from Spain to Sweden.

Ireland and Cyprus, despite being in the EU, are not in the Schengen zone so will not be using EES, they will continue to stamp passports manually.

Norway, Switzerland and Iceland – countries that are in the Schengen zone but not in the EU – will be using EES.

The full list of countries using EES is: Austria, Belgium, Bulgaria, Croatia, Czechia, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, and Switzerland.

Therefore a journey between any of the countries listed above will not be covered by EES.

However a journey in or out of any of those countries from a country not listed above will be covered by EES.

You can find our full Q&A on EES HERE.

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