MYHOME REAL ESTATE - THE ORIGINAL SINCE 2014
In a condominium owners’ association (WEG) in the Roth district, the property management company serves as the central point of contact between the owners, contractors, and government agencies. The 2020 WEG Reform reorganized the duties and rights of the property manager. Owners who are aware of their rights are better able to monitor the quality of management and take targeted action in the event of breaches of duty.
The WEG reform, which took effect on December 1, 2020, has significantly strengthened the position of the property manager while also more clearly defining its scope. Under Section 27 of the WEG (as amended), the property manager has comprehensive power of representation vis-à-vis third parties. He may enter into contracts, file lawsuits, and make payments on behalf of the community. Internally, however, he is bound by the resolutions of the owners’ meeting and the community bylaws.
The decision-making authority of the owners’ meeting was expanded by the reform (Section 19 WEG, as amended). At the same time, the administrator’s duties were defined more precisely: Section 27 WEG, as amended, lists the administrator’s statutory minimum obligations, which may be expanded by the management contract but not reduced. Agreements that fall short of the statutory minimum obligations are void.
Another new feature is the right to terminate the contract at any time (Section 26(3) WEG, as amended): Prior to the reform, termination could only occur for good cause or upon the expiration of the contract. Today, a simple majority resolution of the owners’ meeting is sufficient. The management contract ends upon termination, at the latest after 6 months. This provision gives owners’ associations an effective tool against unsatisfactory management services.
The Schwabach Local Court and the Roth Local Court have jurisdiction over WEG disputes arising in the Roth district; the Nuremberg-Fürth Regional Court serves as the court of appeals.
The statutory duties of the WEG administrator under Sections 27-28 WEG (as amended) cover a broad spectrum:
| Task | Legal Basis | Frequency |
|---|---|---|
| Convene owners’ meeting | Section 24(1) WEG | At least once a year |
| Prepare the budget | § 28(1) WEG | Annually, before the start of the year |
| Prepare the annual financial statement | § 28(2) WEG | Annually, after the end of the year |
| Implement resolutions | § 27(1)(1) WEG | Immediately |
| Manage the maintenance reserve | § 19 (2) No. 4 WEG | Ongoing, invest securely |
| Separate administrative assets | § 27 (5) WEG | Ongoing, separate account |
| Provide information to owners | § 27 (1) No. 7 WEG | Immediately upon request |
Source: WEG Act (as of the 2020 WEG reform + 2026 amendments), BGB, GNotKG table, Bavarian Justice Portal, Nuremberg/Fürth/Erlangen Land Registry, as of Q1/Q2 2026.
Beyond the statutory obligations, the management contract may stipulate additional services: technical property management, tenant placement, correspondence with authorities, damage management. These additional services are subject to a fee and should be clearly distinguished from the basic fee.
The property manager must keep the management assets-in particular the maintenance reserves and common area fees-separate from his or her own assets (Section 27(5) WEG, as amended). Management accounts must be identifiable as third-party funds; commingling with the manager’s own funds is prohibited. This provision protects the owners’ association from the risk of the manager’s insolvency: In the event of the management company’s insolvency, management funds that have been correctly segregated are excluded from the insolvency estate.
In addition, pursuant to § 27(1)(7) WEG (as amended), the administrator must, upon request, provide each condominium owner with information regarding the administrative records and grant access to the association’s books and documents. This right of inspection cannot be excluded by the administration contract; it is a statutory minimum standard.
The WEG administrator is liable to the community under general contract law (Sections 280 et seq. BGB) for culpable breaches of duty. The most common liability cases in practice:
Incorrect annual statement: If the manager incorrectly allocates costs, applies the apportionment formula incorrectly, or double-books expenses, the association or individual owners suffer financial losses. A claim for damages requires fault-negligence is sufficient.
Missed maintenance deadlines: If a property manager fails to address known defects (e.g., a leaky roof, a defective heating system) in a timely manner and this results in greater damage, he is liable for the worsening of the damage, which could have been avoided had action been taken in a timely manner.
Unauthorized Withdrawals: The misuse of community funds is a criminal offense (breach of trust under § 266 StGB) and gives rise to civil claims for damages. Owners should regularly review the management account’s bank statements and request clarification for unclear entries.
No or Inadequate Administrator Insurance: Professional condominium association administrators are generally covered by financial loss liability insurance. Condominium associations should require proof of such insurance when entering into a contract. Without this insurance, claims for damages may come to nothing in the event of the administrator’s insolvency.
> If you would like to know how management quality and the state of maintenance affect the market value of your property in the Roth district, use the valuation tool from leadmarkt.ch - data-driven and with no obligation.
In practice in the Roth district-an area characterized by owner-occupied homes and smaller condominium associations-changes in property managers are less common than in urban metropolitan areas, but are sometimes unavoidable in cases of breach of duty.
The resolution to remove the manager must be passed at the owners’ meeting. The invitation must list the removal as a separate agenda item; a surprise dismissal without prior notice may be contestable. Following the dismissal, the previous property manager remains in office for a maximum of 6 months to ensure an orderly transition. During this time, they must hand over all documents, accounts, and keys to the homeowners’ association or the new property manager.
For the selection of a new property manager, it is recommended to: obtain at least three quotes from different management companies, verify references and membership in the VDIV (Association of Real Estate Managers) or DDIV (Umbrella Association of German Real Estate Managers), confirm proof of professional liability insurance, ensure a clear contract with defined services and compensation, and establish provisions for the handover of documents and accounts upon the end of the term.
The District of Roth, with its district seat of Roth, is a typical Franconian outlying area of the Nuremberg metropolitan region. The real estate landscape is characterized by single-family homes and smaller multi-unit buildings with two to six residential units. Many of these condominium associations are managed by the individual owners themselves (self-management), which is legally permissible but places special demands on the expertise of the self-managing owner.
External property management firms in Roth and Schwabach, which also cover the Nuremberg area, often offer their services for very small complexes at flat rates of 25-45 euros per unit per month. For condominium associations with fewer than four units, the market is limited-in such cases, it is often advisable to specifically seek out management firms that specialize in very small complexes. The shortage of professional managers for small condominium associations is a well-known problem in the Roth district.
The quality of management services plays a significant role in maintaining the property’s value. A condominium association with well-maintained records, timely financial statements, and a well-funded maintenance reserve achieves significantly better sale prices than a comparable property with patchy management. Informed buyers request access to the last three annual financial statements, the current budget plan, and the minutes of the most recent owners’ meetings before making a purchase.
The 2020 HOA reform has strengthened the position of owners vis-à-vis the property manager: the ability to remove the manager at any time, clear lists of duties, and stricter transparency requirements create better oversight opportunities. Owners who actively monitor the situation-by reviewing annual statements, examining bank statements, and familiarizing themselves with management contracts-can identify breaches of duty early on and take action against them.
Before deciding on maintenance measures, it’s worth taking a look at the valuation tool from leadmarkt.ch - it takes the state of maintenance into account and shows you how the market situation in the Roth district affects the value of your property.
Not every resolution passed by the owners’ meeting is legally valid. If a resolution violates the WEG or the community bylaws, owners can challenge it. According to Section 45 of the WEG, the action to challenge the resolution must be filed with the competent local court within one month of the meeting-in the Roth district, the Roth Local Court is the competent court of first instance.
Typical grounds for contesting a resolution include: procedural errors in the invitation (insufficient notice, missing agenda items), lack of a quorum, violation of the principle of equal treatment among owners, or resolutions that are unfair to individual owners.
A resolution that is void must be distinguished from a resolution that is subject to an action for annulment. Void resolutions are ineffective from the outset-even without an action for annulment. A resolution is void, for example, if it violates a statutory prohibition or interferes with the fundamental structure of the WEG (e.g., the compulsory sale of a right of exclusive use without the consent of the entitled party).
In the Roth district, where many WEGs have emerged through long-standing private management, knowledge of these regulations is particularly important. Owners who wish to check a property management company or co-ownership association for illegality should keep a close eye on the one-month deadline for actions to contest resolutions.
The WEG administrator is elected by resolution of the owners’ meeting. The management contract typically runs for three to five years but may be terminated at any time by a simple majority resolution if there is good cause (Section 26(3) WEG). Since the 2020 WEG reform, each individual condominium owner also has the right to petition the competent court to remove a manager if there is good cause-without a prior resolution by the community.
In the practice of the Roth district, valid reasons for dismissal frequently include: serious billing errors, failure to forward collection fees, maintaining the management account in the administrator’s own name for years instead of in a trust account, or conflicts of interest (e.g., if the administrator simultaneously contracts tradespeople in which he has a financial stake).
An action for dismissal brought by an individual owner is directed against the owners’ association as a body. It is filed with the Roth Local Court. In practice, it is advisable to first persuade the association to pass a resolution for dismissal-this is faster and more cost-effective than court proceedings. A written complaint to the administrator, combined with the announcement of an extraordinary owners’ meeting, often proves effective.
Furthermore, pursuant to Section 26(3)(5) of the German Condominium Act (WEG), the property manager may be dismissed at any time by a simple majority vote without cause. The association is only obligated to pay compensation within the limits specified in the property management contract-provided there was no just cause for the dismissal, the association must compensate the property manager for the remaining term of the contract.
Prepared by the my-home.de editorial team in collaboration with regional real estate analysts. Data as of: Q1/Q2 2026.
Pursuant to Sections 27-28 of the German Condominium Act (WEG), the condominium manager must implement the resolutions of the owners’ meeting, ensure the proper management of the common property, prepare the budget, draw up the annual financial statement, and invest the condominium’s assets safely. In addition, the manager must convene the owners’ meeting at least once a year.
Yes. Under Section 26(3) of the Condominium Act (WEG), as amended (since the 2020 WEG reform), the property manager may be removed at any time by a resolution passed by a simple majority. The property management contract terminates automatically upon removal, no later than six months thereafter.
The condominium manager is liable to the association for damages resulting from culpable breaches of duty-such as incorrect billing, missed deadlines, unauthorized withdrawals of funds, or failure to implement approved measures.
The budget is a forecast of the community’s expected income and expenses for the coming year. It must be prepared by the property manager and approved by the owners’ meeting-usually at the annual meeting held before the start of the fiscal year.
The budget is a forecast (target), while the annual statement is a review (actual) of the past fiscal year. The annual statement shows actual income and expenses and includes individual statements for each owner, indicating any balance due or credit.
Responsible Editorial
myhome Redaktion
Note on content
This guide article serves as general information about the real estate market in Nuremberg and the surrounding region. It does not replace individual tax advice, legal advice, or expert valuation in specific cases. For binding information, please contact a tax advisor, attorney, or certified appraiser.
Market data, prices, and statutory provisions may change at short notice. Despite careful research, we assume no liability for the accuracy, completeness, or timeliness of the content.
Article as of March 10, 2026
Get a free, non-binding valuation - in person or online.
Carport Setback Requirements under the Bavarian Building Code (BayBO) Neumarkt 2026: An overview of Section 6 of the BayBO, exemptions, rules for border garages, common conflicts, and permitting practices.
Read more
Property Transfer in Neumarkt 2026: An Overview of the Notary Process, Land Registry Entry, Purchase Price Due Date, Costs, and Typical Timelines for Buyers and Sellers.
Read more
Geothermal Drilling Project in Feucht 2026: Overview of Water Law Permits in Bavaria, the Bavarian Water Act (BayWG), Water Protection Areas, the Application Process, and Costs.
Read moreWe're where your property is - across the entire metropolitan region
To guarantee maximum speed in valuation and marketing, we have fully digitized our processes. We advise you exclusively and personally by phone or video call. On-site appointments at your property of course still take place in person. Visits to our headquarters in Weißenburger Str. by prior appointment only.
Talk directly with an expert.
Call - 0911 / 88 18 73 80Send us your inquiry via WhatsApp.
WhatsApp messageWe'll get back to you within 24 hours.
