Renovation Obligations: Understanding the GEG (Heating Law) in Germany

The 'Heizungsgesetz' (Heating Law) and the GEG (Building Energy Act) have changed the game for property buyers in Germany. If you buy a house built before 2002, strictly observe the energy certificate. A cheap purchase price can turn into a money pit if mandatory renovations are required by law.

1. Mandatory Replacements upon Purchase

As a new owner, you generally have a 2-year deadline to comply with certain standards. This often includes replacing standard oil or gas boilers that are older than 30 years. Additionally, uninsulated hot water pipes in unheated rooms and the top floor ceiling (if accessible) must often be insulated.

2. Subsidies (BAFA and KfW)

The good news is that the German state offers massive subsidies. If you switch to a heat pump or connect to a district heating network, you can get up to 70% of the costs reimbursed through KfW grants. Always apply for these subsidies BEFORE signing any contract with a renovation company.