Sell pitch: Learn about the sale

Have you already checked whether you are allowed to sell your parking space? Here you will learn the difference between special ownership and special right of use.

Should you know the difference, scroll down directly to the sale: procedure

Special ownership and special right of use: Significance

The distinction between special ownership and special right of use has a big effect on sales – learn why here.

Let’s summarize the “special property” and the “special right of use” quite simply. In terms of renting, it makes no difference. But it does make a difference when selling.

Individual car parking spaces are usually common property.

Therefore, before selling, you must check whether you are allowed to rent your parking space as 1) an authorized user or 2) as a special owner, to rent or also to sell (simply, without the consent of the other owners).

Here you will learn when which case (1, 2) occurrence.

Quickly explained! When does what apply?

Legally (according to the Condominium Act [WEG]), the difference lies in the question a) above ground [special right of use] or b) below ground [special property]. There are exceptions to this, in the case of “closed” rooms, so above-ground garages can also be special property.

When is the sale of your pitch allowed and when not?

Special right of use quickly explained

In the case of the special right of use, no separate sale of the parking space is permitted – at least not without the consent of all owners at the owners’ meeting. The rental itself is exclusively at your discretion. For the sale you need, as said, the consent of the others.

Special right of use:

• Renting easily possible
• Sale only with the consent of all owners

Special property quickly explained

In the case of special ownership, a separate land register sheet is created for the parking space. This means that resale to third parties is possible without any problems.

Special property:

• Rental and sale to third parties easily possible

Regulated in the declaration of partition / partition agreement

When is there a special right of use and when is it special property?

The answer for a specific property can be found in the declaration of partition or partition agreement. Here it has been regulated by the owners’ meeting whether it is 1) special property or whether you “only” have a 2) special right of use to the parking space.

When, which case (in general) is present, regulates the residential property law (WEG). The first, crucial difference arises from the question, is your parking space:

1. Built above ground (parking lot)
2. Or in an underground car park

Above-ground parking spaces (parking lot):

Parking space underground(underground parking):

Exception above ground, enclosed spaces (garages), more on this in a moment:

Special right of use of the parking space

The special right of use, on the other hand, means that you as the owner may use certain parts of the common property alone. Accordingly, in the case of a special right of use, no separate sale of the parking space is permitted without the consent of all owners in the owners’ meeting.

Special right of use is called:

• Sole right of use
• No sale without the consent of the community of owners

Source: WEG §5

Special property at the parking space

As already learned, in the case of special ownership, a separate land register sheet is created for the parking lot, so that resale is possible.

According to the German Condominium Act (WEG), special ownership is largely equivalent to full ownership. Also important, especially for above-ground parking spaces, according to WEG § 3 para. 2, special ownership is only possible for enclosed spaces. This also makes a big difference to the question: Are you allowed to sell your parking space or not?

Special property is called:

• Closed rooms, according to WEG
• Resale possible without reconciliation

Source: WEG §3 (Law on Condominium Ownership and Permanent Residence Law [Wohnungseigentumsgesetz]).

Special property? Above ground / underground (underground parking)

Accordingly, what type of parking space is eligible for special ownership?

• Parking space in underground garage = Yes

Individual underground parking spaces are eligible for separate ownership. In this regard, WEG §3 states extra “Garage parking spaces are considered to be enclosed spaces if their areas are visible by permanent markings”.

Above-ground parking spaces are not eligible for special ownership.

• Parking above ground = No

Exception: Above ground and closed

Exception are here, according to WEG § 3 para. 2 “closed rooms”, such as garages and garage facilities.

The regulation is determined in the declaration of division, the community rules or agreement. If this is missing, all owners registered in the land register must agree to the special ownership (or special right of use).

Step by step: checklist sale

Should you be selling your very first pitch, you don’t have to stray far from the typical real estate sales procedure. The parameters are fundamentally the same, especially if your buyers are capital investors (rentals). It all starts with timing, which also brings you directly to the second question, sell with or without an agent?

Whether it is a parking lot or condominium, the principle is always the same when selling a property. You need to make the final sale decision, you needed the right documents, you need to have your property (parking lot) evaluated by a professional. And so that you are well prepared for your first parking lot sale, here is a comprehensive guide in 18 steps!

Learn everything important here in 18 steps!

Preparation: prepare property and sale

• Financial planning and timing of sale
• Hire real estate agent
• Records and documents
• Increase real estate value
• Determine offer price
• Create exposé

Sales phase: market property and find buyers

• Market real estate
• Contact with prospective buyers
• Filter and select prospective buyers
• Credit check
• Viewing dates
• Sales talk & purchase price negotiation

Sales processing: purchase contract until handover

• Draw up purchase contract with notary
• Notary appointment
• Land register entry and payment processing
• Handover of the property
• Notary fees & broker commission
• Pay taxes

Pitches: Statistics

Especially in Berlin, Düsseldorf, Frankfurt, Hamburg, Cologne, Munich, Stuttgart and other cities with a stable, rising trend in various areas (population, demographics, economy, etc.), parking spaces are in demand. Did you already know: Despite the “climate debate”, the sale of vehicles in this country is increasing every year.

Last year alone, there were 2.92 million new passenger car registrations (source: KBA). According to the KBA, the vehicle population in Germany increased by a full 1.1 million vehicles compared to the previous year’s reporting date to approximately 66.9 million vehicles registered in Germany, a full +1.6%.

66.9 million registered vehicles in Germany

Don’t worry, you will get your parking space sold! The only question is: How much is your parking space / garage worth?

Here again are figures on the sale of passenger cars:

Der Beitrag Parking space / parking space / garage for sale: Valuation, condition, with or without broker + checklist erschien zuerst auf ℄ Real Estates.

Discreet, anonymous selling: shopping mall

You are probably looking for a reputable office or a real estate agent that will put your shopping center on the market discreetly and anonymously.

Do you want everyone to know about the sale and your asset growth?

Selling anonymously means selling off market, with a specialist estate agency.

This means that in the off market you specifically address private investors and buyers, well-known families, their family offices, real estate funds in Germany and abroad. Depending on the group of buyers or the specific buyer for whom the special offer is most interesting.

In the very first step, only one person learns about the sale. The majority of properties are sold immediately, discreetly and anonymously, without any other person or institution knowing about it. The basis for this is of course always a solid valuation.

Creditworthiness, financial proof, purchase offer, all this is often available within 14 to 30 days.

Thus, we act as a real estate agency quite differently than the classic real estate agent, through which otherwise typical condominiums, townhouses and single-family homes are sold.

With us, marketing does not go broad, but extremely specific to individuals who are known from the personal network.

This extremely accelerates the sale of real estate. Especially due to the shortage of supply. This exclusivity also allows new leeway in negotiations.

Location, location, location: A, B or C

Location is what counts when selling real estate. Of course, this also applies to shopping centres. Therefore, a property valuation is not as simple and typical as it would be for a house or apartment building.

Other factors also play a role in the sale of shopping malls. For example, a central and important value factor for the property is the development and forecast for the location, in micro-location and macro-location. What opportunities does the location offer as it is and if it is further developed?

Initial Value Factors:

• Location, substance, figures and letting
• Development / forecast for microlocation
• Development / forecast for macro location

Tip. Value factor underground parking.

Underground, above ground, there are a few factors to consider besides the property and the substance.

Accordingly, the asking price is not calculated as usual from the factors: location, size and layout. Forecasts for the future are also a value factor for shopping centres. Of course, as well as the current tenant situation, existing contracts and so on.

Accordingly, the sale is more complex in the whole subject.

Selling real estate: 1×1 for sellers

For all those selling your first property, for example through an impromptu inheritance, here’s another article that summarizes selling real estate in simple steps.

Procedure, controls and errors…

How does a real estate sale typically go? If you own a shopping center, you’re usually familiar with trading real estate. But sometimes it comes unexpectedly, as through a real estate inheritance.

Not everyone anticipates the death of a loved one in advance, sometimes even an unknown person. If there is no direct descendant, many choose the children of siblings, or closer relatives.

Real estate sale in detail

First-time sellers have many, basic questions:

• What is the process for selling real estate?
• What do you start with, what do you need?
• How long does it take?
• Who is the right contact person?

For all these questions and of course much more, e.g. mistakes when selling real estate but also the taxes that come to you as a seller, we have answers here. Read our big guide on the subject:

• Real estate sale: procedure, taxes and mistakes

Sell commercial property

This little guide is a bit more advanced. Here you will learn a few more basics about commercial real estate and of course various aspects of the sale.

• Sell commercial property

Der Beitrag Selling a shopping centre in an A-B-C location: commercial property, land and procedure – Guidebook erschien zuerst auf ℄ Real Estates.

Selling land: Agricultural land, meadow, acre & Co.

You may have already read our great guide on selling land, or perhaps you have read more specific guides, for example on selling woodland land.

For those who are dealing with the matter of land sale for the first time, the question surely arises:

• How do I sell my agricultural land?
• Which step do I start with?
• Who advises me, prepares expert opinions & Co.

Here are a few pointers for selling farmland, agricultural land and other, more specific land. You can also read more about the process, mistakes and risks, as well as taxes when selling land.

Sell privately or with a professional?

The question is answered relatively quickly. There are various parameters that influence the selling price. These include, for example, the property valuation, as well as a solid and capital-strong buyer network, but also negotiating skills. After all, it is not “only” about a condominium, but about more complex, agricultural usable areas, with all the addition around soil expertise, forecasts and development possibilities.

Minimize effort, maximize profit

Selling agricultural land privately, for example through real estate portals, not the best idea.

1. What do you do with all the requests?
2. What documents, papers and expert opinions do you need?
3. Who sends info and makes phone calls for questions?
4. Who really has the credit rating and willingness to buy?
5. How many surveys do you want / need to do?
6. Who prepares and conducts the negotiations?
7. …

From credit rating (creditworthiness) to viewing appointments and negotiations: Time is money. Therefore, in this country 70% + sell with the help of professionals, such as an estate agent.

Sell privately?! Risk private sale

Time is of the essence. If you are not under pressure to sell, excellent. Then you may be able to make a mistake or two. But who wants to do that? Here is a recent example of a client who wanted to sell his property in Berlin. Private.

Example of agricultural land in the Berlin hinterland

Here is an example of a client who approached us, a typical case. It was an area in the Berlin area that was to be sold. The mistake in brief: private sale without sufficient credit check or financing confirmation from a bank. The result: months of delay and abandonment.

The seller has advertised privately on a known portal. Promptly came many messages, but almost all conversations ran into the void. Weeks passed.

Error: Insufficient creditworthiness and verification

After months, finally found a person who had the will and the credit rating – supposedly. So after the site visit talk about checking the financing, by the buyer’s bank and wait. Again, a few weeks pass.

Then you get after further weeks a feedback from the buyer and/or prospective customer that the financing was rejected with the first bank, therefore now with a second house bank one inquires. You wait.

After another few weeks passed, he still had no confirmation of financing from a bank, no preliminary purchase agreement, and no notary appointment.

Conclusion – pressure and frustration:

Suddenly there is more and more pressure to sell, and at the same time frustration rises.

You wouldn’t believe how many private sellers have this exact story happen to them.

That’s why over 2/3 of the properties are sold with professionals on the side (brokers and the like).

Professional land trading for agricultural land

Preparation is the key so that you do not lose months in the sale of A and B locations, and even years in C locations.

Preparation is the key: even with agricultural land

However, the work starts much earlier, which is another reason why working with a broker is advantageous.

Tip on the broker’s commission! Privately, the law currently provides that 50/50 is shared (buyer, seller). In commercial trade you can also put 100% on the buyer.

So, in principle, in the commercial trade it does not even cost you money. For this you get the network when it comes to a reputable real estate dealer.

• What documents and papers do you need?
• Which groups of buyers are you addressing with this particular property?
• Do you want everyone to know you want to sell your farmland?
• Should everyone know the value (your asset growth)?

Discretion: neighbours, envy and competition

In addition to the time factor (= money), for many sellers of agricultural land is also important that your property is made discreet, anonymous. From competition in the region to family, the neighbors or even receiving large sums of money. There are several reasons why a majority of sellers want to sell anonymously and discreetly.

Personal network: buyers and investors

Professional property trading looks quite different, of course. Here it is not about marketing in real estate portals, personal buyers are adressed, investors, funds but also foreign investors groups.

Investors from abroad: Profitable business

Foreign investors for a farmland? Yes! Many are looking for good returns and capital investment in this country. Due to the attractive returns in this country, but also the good soil quality and water quality (groundwater and water sources) in general, there are also very many investors from near and far abroad looking for land.

The big advantage for you as a seller, here the money sits a little looser than in the country – simply said.

Central for this is of course again a renowned real estate agency.

Exclusive is fast: supply and demand

Another strong advantage for you on the seller side:

Deals are being closed much faster.

Why? The properties are traded exclusively and the offers are made only to individuals. This exclusivity ensures the scarcity of supply and thus increases the demand on the customer side.

Time is money! Especially wealthy customers do not want to waste time

Wasting time, in which, for example, several interested parties are at one property. Business should be done quickly.

Find a real estate agent: Renowned office or from the region?

Therefore, consider working with a regional real estate agent who does what everyone does: Posting your farmland widely on all real estate portals. After that, hundreds of people will write, there will be many conversations, emails, plus phone calls. Very much time passes, few really have the creditworthiness, the will, as described before.

The process of finding a farmland takes months, sometimes even years.

Time is money! Addressing investors

Here is another psychological aspect that gives you advantages in off market trading:

When professional investors or their employees see that properties are listed on real estate portals, the question immediately arises: Why? Why has the property not found a buyer? No one would even continue to deal with this object. After all, there are thousands of advertisements. Who is supposed to see through all of them?

Family offices, real estate funds, etc.

Family offices, real estate funds and others therefore speak directly with renowned real estate offices and have only exclusive properties presented to them. Then everything goes very quickly.

In the off-market area, you will find the big family names, i.e. family offices, real estate funds, other institutions, which are approached individually and specifically, depending on the purchase profile.

This is all called off market trading.

Selling farmland: Procedure, taxes and tips

Would you like to learn more about selling agricultural land? Then take a look at our detailed guide on the subject of selling land. Here we talk about the concrete procedure, in all the individual phases of the sales process. You will learn more about the typical mistakes that are made when selling and of course everything about taxes when selling land.

• Sell land

Agricultural land / field with spring?

Selling a water well – appraisals, brokers, negotiations, process and taxes, there are also many questions when selling a water well. Is now the right time for you to sell? And if so, what is the most effective way to sell? Water is a scarce resource. Even though over 71% of our planet’s surface is water, there are fewer and fewer productive, clean water sources. Low supply, high demand: don’t just think regional buyers, think mutual funds and yes, food companies too. For that, you need a broker with an exclusive network. Whether a sole proprietor or a water cooperative, learn about the matter of selling here.

• Sell field with spring

Der Beitrag Sell agricultural land: Arable land, soil and other, agricultural land erschien zuerst auf ℄ Real Estates.