Partial sale property, private 2022 – Is it possible to sell parts of a house? Yes. The private partial sale of a property is of course possible. With the partial sale of a property, you are no longer the sole owner, but become a part owner, in a two-party community of owners. Learn here the first important facts about the advantage of the partial sale of real estate to private.
What is the advantage of partial sale?
You think about the partial sale of your property? In our guide we have already reported a lot about the partial sale of real estate and of course answered the question, is a partial sale of real estate useful? Selling to your own children, angel children – how does it work?
The great advantage of partial sale is the quick transfer of the purchase price. Finally, you save a lot of steps in the real estate sale. For example, a large part of the communication with potential buyers, the subsequent credit checks so that you find a serious buyer.
Partial sale to private possible?
In principle, the partial sale of real estate to private is possible. Anyone can acquire shares in your property and thus become a part owner. Basically also a good idea, after all, the sales price is transferred quickly. You surround the typical buyer search when selling real estate, if you have a direct contact for the partial sale.
Private sell via portal?
Not everyone has family, usually children, who buy off part of the property. What are the alternatives?
Most private buyers looking for offers via real estate portals will not accept a partial sale, but want to buy the entire property. If you want to sell a property in part, you should look for people in the immediate vicinity who might be interested in participating. In this case, you should contact one of the partial sale providers.
Partial sale apartment, house, land – all possible.
Example: share of 20% sold to children:
Right of residence and right of use: costs?
After the partial sale, you only need to agree on the use of the property.
What are the costs of the partial sale?
If you want to retain the sole right to live and use the property, the partial buyer will usually demand a usage fee from you, the so-called “usage fee”. Of course, in the case of a private partial sale, for example a partial sale to your children, you can agree that no usage fee has to be paid.
The usage fee is freely negotiable.
The typical user fee is approximately 3% p.a.
Providers usually charge 3-5% p.a.
Also in the guide on the subject of partial sale providers in comparison, we have already calculated the various user fees of the larger providers (financial companies). If you sell your property in part to a company, like such a financial company, then the usage fee is usually between 3% and 5% (of the sold share) per year.
Means simply, if you sell 100,000 euros of your property in part, you pay an annual user fee of 3,000 to 5000 euros.
Tip. Secure yourself, the usufructuary right
In all cases, however, you should protect yourself, especially with regard to your lifelong right of residence and right of use. The technical term for this is the so-called “usufruct”. The usufructuary right stipulates that you have a complete right to live in and use the property until the day of your death. Accordingly, you are independent of any decisions made by your future co-owners. Even if they are your children or grandchildren.
Purchase contract at the notary:
Taxes on partial sale to private
The name says it all, this tax is intended to limit speculation in the real estate market.
Speculation tax explained
With the speculation tax, the legislator says: If you buy a property, you may only sell it tax-free after X years – even in the case of a partial sale. X = years differs depending on whether you bought the property as an investment (rent it out) or live in it yourself (owner-occupied).
- Third party use – 10 years
- Self-interest – 3 years
Amount of speculation tax
The amount of the speculation tax always depends on the own tax rate. Thus, the speculation tax is quickly over 25% and for high earners also quickly 40%.
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Partial sale of real estate. The guide
You want to learn more about the partial sale of real estate? Then take a look here at my big guide, in which I really highlight all aspects, from the advantages, to the disadvantages, to possible alternatives, such as the mortgage loan or even the real estate pension. Of course, also everything on the subject of taxes in the partial sale. All experiences: