Partial Sale House: Sale in Old Age?! Disadvantages, Advantages, Experiences

Partial Sale of a House – Single-family house, Row house, Semi-detached house – an entire house and every other type of house – for many, the house eventually becomes “too big” and the money “too little”. A quick and uncomplicated solution is the partial sale of the house. Is a partial sale sensible? Whether selling in Berlin, Hamburg, Munich, Cologne or even “smaller” cities, you need to know a few things before deciding on a partial sale. A look at the advantages, disadvantages and costs (including alternative mortgage loans). You will also find an overview of the partial sale providers. Back to partial sale property.

“Selling half of the house”

Many people ask themselves, can I sell half of my house and still be the sole user? The simple answer is: Yes!

At the latest when the children have left the house, sometimes also the partner, your own house quickly becomes too big, sometimes even too large. You don’t want to separate either, yet you need money quickly. The solution for many: Partial sale.

In this guide, you will learn everything important for the first step in a partial sale.

• What is a partial sale?
• How much will I get for my house?
• What follow-up costs arise?
• Can I also sell everything later?
• …

Tip! The best provider for your house

I have compared the most important partial sale providers, their advantages, disadvantages and conditions for you! Whether it’s a freestanding single-family home, a semi-detached house, a row house or a special property. Simple, understandable and clear.

• Partial sale provider comparison

Detached Houses:

Row Houses:

Partial Sale of a House: What is that?

Let’s start with the definition of a partial sale of a house.

What does partial sale of a house mean?

As described in the article on partial sale provider comparison, when you sell a part of your house to a financial institution, you receive the proportional purchase price quickly, independent of banks or credit.

This makes you a co-ownership community of two parties.

Sell 10%, 20%, 50% of the House

The various providers buy house shares between 20% – 50%. With higher property values (seven-digit figures), sometimes only 10% of the house can be sold.

• Up to 1 million house value = 10-50%
• Over 1 million house value = 10-50%

Optionally, you can also plan the full sale in X years. More on this later.

Usage fee = rent for your house

After partial sale = you have to pay a usage fee

The financial company becomes a partial owner. You pay for this a monthly usage fee, so to speak “rent” for the part of your house that you have sold. This usage fee, depending on the provider, is approximately ~3% p.a. (per year). A simple, quick calculation of the usage fee.

• Usage fee (house): 3% p.a.

Formula for the usage fee (depending on the provider) per month:

• Monthly usage fee = 3% * purchase price (share) / 12
• = 3% * 100,000 / 12

Thus, you pay 250 euros per month.

Usage fee for 100,000 euros = 250 euros / month

As always, it depends on the provider. Find all providers here in the Partial purchase house: comparison.

This is how the financial company refinances itself.

Disadvantage? Usage fee vs. mortgage

Getting money quickly for your own house is a really attractive offer. That’s why you should take a second look at the various partial sale offers for houses. Why?

Those who go for the simple offer get money quickly. In return, you pay the monthly usage fee from now on. Many people use this offer because they think they won’t get a real estate loan. However, these are actually much cheaper! Currently, you pay only 1% p.a. here, instead of 3% or more, as with a partial sale.

Comparison partial sale / real estate loan:

• Partial sale / month = 250 Euro
• Loan / month = 85 Euro

So, to put it simply:

Real estate loan 66% cheaper!

It’s worth talking to your house bank and maybe 2 or 3 alternatives.

Do you have to pay taxes with a partial sale?

For the direct sale of a property, you only need to consider one tax, the speculation tax calculation. In short, the speculation tax applies when you buy a property and sell it again within 10 years. Accordingly, the timing of when your property is resold is important, even if it is a partial sale.

• Speculation tax

Partial sale of a property: Advantages, disadvantages, tax & Co.

Read more about partial sales here – An overview of usage costs, Advantages, disadvantages, the full sale, the calculated auction under inflation and a comparison, what is “cheaper”: partial purchase or the alternative real estate loan, especially the mortgage loan? Also taxes, sale from inheritance community, Divorce and much more. My recommendations for sellers!

• Partial sale of real estate
• Partial sale provider comparison