With the entry into force of the new EU General Data Protection Regulation (GDPR) on May 25, 2018, the previously applicable Federal Data Protection Act (BDSG) was revised or replaced. In the future, all property managers, housing companies and property managers will have to observe some new data protection guidelines. Disregard can lead to heavy fines, as the recent example of the real estate group Deutsche Wohnen shows. GDPR compliance often seems difficult - EverReal is changing that!
14.5 million euros - the real estate group Deutsche Wohnen is supposed to pay this huge sum because it has not adhered to the guidelines of the new GDPR. The Berlin data protection authority had waived the fine because some of the personal data of tenants, such as Social and health insurance data, could still be viewed and processed.
Paul Voigt, partner at the international business law firm Taylor Wessing and GDPR expert, says: “The high fine imposed on Deutsche Wohnen shows that the German data protection supervisory authorities are applying their fine concept, which was published only a few weeks ago, in practice. (...) The fine against Deutsche Wohnen was just the beginning. "
Due to the new regulations of the EU with regard to data protection, there will be some points to be observed in the future when dealing with tenant and interested party data. Every property manager or property manager collects personal data of his prospective tenants and tenants, such as Self-assessment, proof of income or Schufa information. For this reason, the new rules apply to owners and landlords as well as to large housing companies and property managers. Disregarding these points can lead to severe GDPR penalties, as the example of Deutsche Wohnen shows.
The following points must be observed from now on:
Anyone who collects data from their tenants or interested parties, such as Information on creditworthiness must first obtain the consent of the persons concerned if he wants to save and process this data for a longer period of time. This applies to completed forms as well as to all email communication.
In future, only the data relevant to order fulfillment may be collected. This means that it is no longer permissible to collect as much data as possible about a tenant or prospective tenant, even if this data may be needed again at a later point in time. Whoever collects data must check whether this data is also relevant for the current step of the rental.
If the process of real estate leasing does not come to a successful conclusion with an interested party, landlords or companies are obliged to delete personal data that are no longer relevant. Likewise, if a tenancy ends, the landlord's right to process and use personal data also ends. The “principle of data minimization and the principle of necessity” results in the obligation to delete tenant data after the end of the contract within a certain time frame.
Whenever data is reprocessed, tenants and interested parties must be informed about what is happening with their data. If possible, this should be done in writing and in plain language.
No matter what type of data is collected, since May 25, 2018, data collectors have been obliged to guarantee encryption when transmitting data.
Compliance with the GDPR is often a complex and time-consuming task for real estate companies, brokers, property managers and landlords. In order to minimize these administrative efforts, we took all security and data protection regulations into account when developing our EverReal platform.
The following points have been implemented for GDPR compliance:
The timing of data and documents can be set as required by our customers. For example, it is possible to request only certain data before the viewing appointment or after the viewing appointment. As a result, EverReal offers a great deal of flexibility in order to also meet internal company requirements.
EverReal automatically deletes all data from interested parties and applicants who have not been selected as a new tenant, thus adhering to the “principle of data minimization”. The deletion period preset in the EverReal software is six months for digital self-disclosures and submitted documents. Here, too, our customers have the option of making their own settings according to internal company guidelines. The deletion processes work completely automatically on the basis of the set deletion period.
All interested parties and applicants will be automatically informed about the upcoming deletion. If users do not want their data to be deleted, they can use an “opt-in” to save their data for future applications.
Users (prospects) have the following options when they log into their account and click on their profile:
Independent deletion of your data
Independent deletion of your search profile
Independent deletion of your user account
We secure all data by using the highest encryption standard when transferring data and files. All user entries are encrypted and transmitted to our server.
In order to guarantee data security, we only use servers that are located in Germany. All servers are subject to the highest security standard (ISO 270001 certified), meaning that your data and that of your customers are not only secure during transmission, but are also protected against loss and unauthorized access on our servers.
Together with EverReal you reduce your risk of possible fines by disregarding the General Data Protection Regulation. If you would like or need further information about our product, please contact us!
At this year's ZIA Energy & Innovation Congress, EverReal, together with MEAG MUNICH ERGO AssetManagement, will present how PropTechs and established asset managers can cooperate successfully in practice - using the example of a letting solution developed by EverReal that revolutionises the entire letting process.
The letting of dwelling is a complex affair: Exposés provide, prospective customer inquiries answer, the credit-worthiness of potential tenants examine. Whether you are real estate owners yourselves or as house and housing management the interests of landlords and tenants represent: Manual processes in the letting costs a lot of time.