Partial sale of property privately: House, Apartment and Plot
Partial Sale of Real Estate, Private – Can you sell parts of a house? Yes. The private partial sale of real estate is of course possible. When selling part of a property, you are no longer the sole owner, but become a co-owner, in a two-party ownership community. Learn here why a private partial sale of your real estate can be worthwhile. Find all the details here on Immobilien-Erfahrung.de: Partial Sale of Real Estate Privately. Who pays how much? Find all partial sale providers compared here.
What is the advantage of a partial sale?
Are you considering the partial sale of your real estate? In our guide, we have already reported extensively on the partial sale of real estate and, of course, answered the question: is a partial sale of real estate sensible? Selling to your own children, grandchildren – how does that work?
The big advantage of a partial sale is the quick transfer of the purchase price. After all, you save yourself many steps in the real estate sale, for example, most of the communication with potential interested parties, as well as the subsequent credit checks to find a serious buyer.
Partial sale to private individuals possible?
Selling a portion of real estate privately is certainly possible. Anyone can acquire shares in your property and thus become a co-owner. If you have found a direct contact for partial sales, you can save yourself the time typically spent searching for buyers, as you would when selling an entire property.
Selling Privately via Portal?
Not everyone has family members, usually children, who would buy a part of the property. What are the alternatives?
Most private buyers who search for offers through real estate portals will not accept a partial sale, but rather want to buy the entire property. If you want to sell part of a property, you should look for people in your immediate surroundings who might be interested in an investment. In this case, you should contact one of the partial sale providers.
Tip! The Best Partial Sale Providers
In this overview, I have compiled the most important partial sale providers for you, comparing their advantages, disadvantages, and conditions! Simple, understandable, and clear.
Partial sale of Apartment, House, Plot – everything is possible.
Example: 20% share sold to children:
Right of residence and right of use: Costs?
After the partial sale of your house you only need to agree on the use of the property.
What costs arise from the partial sale?
If you want to retain the sole right to live in and use the property, the partial buyer will ask you for a usage fee, known as the usage charge. Naturally, in a private partial sale, for example, a partial sale to your children, you can agree that no usage charge needs to be paid.
Although the usage charge is negotiable, how much should you expect in case you have to pay it?
Providers usually ask for 3-5% p.a.
In our guide on the topic Partial sale providers compared, we have already calculated the different usage charges of the larger providers (financial companies). If you sell part of your property to a company, such as a financial company, the usage charge is typically between 3% and 5% (of the sold share) per year.
In simple terms, if you sell 100,000 euros worth of your property, you pay an annual usage fee of 3,000 to 5,000 euros.
Tip! Secure yourself with the right of usufruct
In all cases, you should, however, protect yourself, especially regarding your lifetime right of residence and usage rights. The technical term for this is called Nießbrauch. The Nießbrauch right determines that you have a complete right of residence and usage of the property until the day of your death. Accordingly, you are independent of all decisions made by your future co-owners. Even if they are your children or grandchildren.
The Nießbrauch right grants you lifetime residence and usage rights to the property
Taxes on private partial sales
The name says it all, this tax is meant to restrict speculation in the real estate market.
Explaining the speculation tax
With the speculation tax, the legislature says: whoever buys a property may only sell it tax-free after X years – even in the case of a partial sale. X = the number of years varies depending on whether you bought the property as an investment (rent out) or live in it yourself (own use).
Speculation period:
- Foreign use – 10 years
- Own use – 3 years
Amount of speculation tax
The amount of speculation tax always depends on your tax rate. As a result, the speculation tax can quickly exceed 25% and for high earners it can quickly reach 40%.
Partial sale of property: The guide
They want to learn more about the topic of partial sale of real estate? Then take a look at my comprehensive guide here, in which I really cover all aspects, from the advantages, through the disadvantages, to possible alternatives, such as a mortgage loan or also a real estate pension. Of course, everything about taxes in a partial sale is also included. All experiences:
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