Who sells a condominium from a homeowners’ association (WEG) moves within a significantly narrower legal framework than when selling a freestanding house. Management approval under § 12 WEG, housing fee settlement, maintenance reserve, approved special levies, annual settlement — each of these points can shift the purchase price by several thousand euros or cause the notary appointment to fall through. This guide shows you what really matters — with concrete numbers, legal pitfalls, and a complete document checklist. Questions about the rating of your condominium or discreet sale? Contact us — non-binding and confidential.
Checklist: What you need to pay attention to in a WEG
Can I sell my condominium to anyone I want? In principle, yes — the freedom to sell is enshrined in the Basic Law. However: If the division declaration contains a restriction on sale under § 12 of the Condominium Act, you need the approval of the manager (or the community). This approval may only be denied for a valid reason — for example, if the buyer’s inability to pay can be proven.
The following overview summarizes the ten most important steps — from the initial intention to sell up to the handover:
Step
What to note
Typical effort / costs
Check the division declaration
Is there a restriction on disposal under § 12 of the WEG?
Self-check, possibly lawyer 150–400 €
Inform the property manager
In writing, with buyer details and planned notary appointment
2–4 weeks lead time
Obtain the property manager’s approval
Mandatory, if registered in the land register
100–300 € property manager fee
Compile WEG documents
Division declaration, minutes, financial plans, proof of reserves
Request from the property manager, often chargeable
Disclose renovation backlog & resolutions
Outstanding special levies, planned measures
Seller’s obligation — duty to inform!
Clear up housing charges arrears
Must be settled before the sale
Variable
Inform the buyer
Housing charges, reserves per m², resolutions
Part of the property listing
Regulate housing allowance settlement
Cutoff date regulation in the purchase agreement
Notary agreement
Notarially document the transfer of ownership
Notice of pending entry, land register amendment
Notary + land register approximately 1.5–2 % purchase price
Inform the property manager about the change of ownership
Forward the notary confirmation
1 day
Management approval under § 12 of the Condominium Act
The central special case when selling a condominium: If a restriction on disposal is recorded in the division declaration, the sale without the approval of the manager is voidable. The notary will only apply for the transfer of ownership at the land registry office once the approval is available.
When is approval required?
Only if the restriction is explicitly entered in the land register (section II). A look at the current land register extract — which you will need anyway for the sale — provides clarity. This clause is present in about 70–80 % of all German condominiums and is almost standard in Berlin and Munich.
When can the manager refuse?
Only for a significant reason — and this must be interpreted narrowly. Recognized reasons include:
Proven financial inability of the buyer (e.g. ongoing insolvency)
Planned improper use (commercial use in a purely residential building)
Concrete danger to the residents’ association
On the other hand, insufficient are: sympathy questions, nationality, number of children, occupation. A groundless refusal can be legally reviewed by the seller.
Costs of the administrator’s approval
Common are 100–300 € — regulated in the administrator’s contract. Who bears them? Usually the seller, but can be transferred to the buyer in the purchase contract. More details: Administrator’s contract.
Service charges, reserve fund & special levies — the financial pitfalls
Here, most sales fail due to lack of detailed knowledge. The rule of thumb: whoever is the owner at the time the decision is made is liable for the payment — regardless of when the money is actually due.
The reserve fund goes with the apartment
A common misconception: the reserve fund is settled between buyer and seller. Wrong. The reserve fund is community property and automatically follows the apartment — the seller does not receive it. What you should do, however: disclose the share of the reserve fund in the listing, as it affects the purchase price.
Example: In an 80-m² apartment with a total reserve fund of 50,000 € and a 1/20 ownership share, 2,500 € fall to your apartment. A well-funded reserve justifies a price increase of 1,500–3,000 €.
Special levies — who pays?
If the owners’ meeting decides on a special levy (e.g., 8,000 € per apartment for a new heating system), the rule applies: the debtor is whoever is registered in the land register on the day of the decision. If the decision was made before the sale, the seller pays — even if the installment is only due after the transfer of ownership. Solution: Explicitly regulate this in the purchase contract.
Annual settlement — arrears & credit balance
When selling in the middle of the financial year, the question arises: Who receives the credit balance, who has to pay arrears? According to the Federal Court of Justice’s case law, the owner who is registered in the land register at the time the decision on the annual settlement is made is liable — which is usually the buyer. However, buyer and seller can agree on a different distribution in their internal relationship (common practice: pro rata temporis).
Example calculation of service charges
An 80-m² apartment in an average large city development:
Total service charges: 350–500 €/Month
Of which maintenance reserve: 80–120 €/Month
Heating & hot water costs: 100–160 €/Month
Management & insurance: 60–100 €/Month
If the sale takes place on the 15th of a month: the seller pays the housing costs up to the handover date — after that, the buyer takes over. Important: The cut-off date is not the notary appointment, but the economic transfer (usually after the purchase price is paid).
Mandatory documents: What the buyer wants to see
A well-prepared buyer (or their lawyer) today demands more than just the floor plan. The following documents should be requested from the property manager before the first viewing:
Tip from practice: Explicitly ask the property manager about open renovation issues — roof, facade, elevator, pipes. Hiding these topics risks a challenge due to fraudulent misrepresentation after the sale.
Tax trap: Speculation period
Who sells a rented condominium within ten years of purchase pays speculation tax on the sales profit — with the personal income tax rate (up to 45% + solidarity surcharge). For owner-occupied apartments, the tax is waived if the apartment was occupied in the year of sale and in the two previous years.
Investor example calculation: Purchase price 350,000 €, sale after 7 years for 480,000 €. Profit 130,000 € → at a 42% tax rate approximately 54,600 € speculation tax. Whoever waits one year longer (fulfilling the 10-year period) saves the entire amount.
Transfer of ownership & handover
The formal transfer of ownership takes place in three steps: notarial certification of the purchase contract, notation of the transfer in the land register, and registration of ownership after payment of the purchase price. The economic transfer (benefits, burdens, risk) must be distinguished from this — it typically occurs with payment of the purchase price and handover.
After the registration of ownership, you should inform the property manager with a copy of the notary confirmation — this person will register the new owner, adjust the service charges, and send future statements to the buyer.
FAQ: Sell a condominium in the WEG
Do I have to introduce the buyer to the owners’ association?
No, a formal introduction is not required. The property manager checks the approval under § 12 of the Condominium Act based on the buyer’s data — a personal interview does not take place in practice.
Only if there is a legally defined or specified important reason in the division declaration. Sympathy, nationality or profession of the buyer are not acceptable reasons for rejection. An arbitrary refusal can be overturned in court.
Important reason required (e.g. inability to pay)
Legal review possible
Delay of 1–3 months
Who pays for the property manager’s approval?
Usually the seller. The costs are between 100–300 € and are regulated in the property manager’s contract. A different arrangement can be agreed in the purchase contract.
Standard: seller pays
Cost: 100–300 €
Deviation possible in purchase contract
Do I get the reserve fund back when selling?
No. The reserve fund is community property and remains with the apartment. However, it is factored into the purchase price as value-adding — a well-funded reserve fund justifies a premium.
No payout to the seller
Transfers with the apartment to the buyer
Value-adding in the purchase price
Who pays a special levy decided shortly before the sale?
The debtor is the owner on the day of the decision. If the decision was made before the transfer of ownership, the seller pays — even if the payment is due at a later date. Deviating regulations can be agreed upon in the purchase contract.</p>
