Additionally, in the following there may be slight grammatical errors, as this article was written by a German tax expert. This does not detract from the quality of information.

Purchase Contract: Definition and Procedure

A purchase contract regulates the transfer of ownership. Legally speaking, one always buys a property, no matter whether it is developed or undeveloped. It contains basic conditions and terms to which both parties must adhere in the purchase process. The parties must both have legal capacity to make the purchase of a property. Note that this does not include the additional taxes which you will pay for the real estate transfer tax in Germany.

Important contract contents are:

• Information on buyer and seller
• Purchase object
• Description of the property
• Purchase price and terms of payment (date, partial amounts, etc.)
• Real estate transfer tax
• Economic transition and transfer of the real estate (date)
• Warranty regulations such as the buyer’s right of withdrawal in case of hidden defects
• Rental and leasing relationships
• Conveyance
• Preliminary remark
• Power of attorney for encumbrance
• Interest on arrears
• Special agreements, such as interior design or renovations
• Other

Legal basis: BGB

The contract is based on a legal consideration, i.e. what is given for the property. This can be money, but also any other economic good that is exchanged for the property. Of course, it will almost always be a certain amount of money, but the consideration could also be another property or the mere promise to pay later.

§ 433 Typical contractual obligations in the purchase contract

(1) The contract of sale obliges the seller of an item to hand over the item to the buyer and to obtain ownership of the item. The salesman has to provide the buyer the thing freely from material defects and lack of title.

(2) The buyer is obligated to pay the agreed upon purchase price to the salesman and to accept the purchased thing.

Extract: §433 German Civil Code (BGB; link in German)

Unlike the contract of sale of movable property, the purchase of real estate (and land or part of land) is not form-free. The regulation on this arises from § 311b of the German Civil Code (short: BGB).

The law requires that such type of contracts must be in writing in order to be valid. Accordingly, you need a notary to make the contract official. Shaking hands and verbal promises are not enough. This is to prevent fraud, a useful documentation process for both parties.

What are the Tasks of the Notary?

In general, the main focus or tasks of a notary are first of all

• Notarization of legal transactions
• Certification of signatures

This results in the following areas of law in particular for notaries:

• Real estate law, such as the notarization of property transfers
• Erbrecht, like the notarization of wills
• Family law, such as powers of attorney or marriage contracts
• Corporate law, such as the notarization of AGs or registration in the commercial register

Usually the notary is chosen by the buyer. At the first notary appointment you will need all important documents ready. The notary will prepare the purchase contract according to the specifications and templates of the buyer and seller.

Approximately one week after the notarization, buyer and seller will receive the notarized purchase contract.

Costs for the Purchase Contract at the Notary Public

The individual items include many individual items, such as the notarization of the purchase contract, which amounts to about 1,070 euros. In addition, there is the registration of the land charge with 435 Euro for the land registry and another 535 Euro for the change of ownership. In addition, there is a maintenance fee, signature certification, etc. In the end you will get out with about 3.700 Euro.

Costs for notary public / land register: ~ 3.700 Euro net

Transfer of Ownership after Full Payment

I want to emphasize this point once again:
Regarding cost allocation: Who pays what? You should make clear provisions on this in the purchase contract. As a rule, the buyer pays the costs for:

1. Fees for notary and land registry
2. Fees for necessary official permits
3. Commission of the real estate agent

As soon as the Purchaser has paid the land transfer tax to the tax office and the purchase price has been transferred in full, the notary public should also have received permission to cancel the “old” land charge.

Then the property is handed over and the land registry confirms the registration of the buyer as new owner and owner.

Make sure to take into account the many hidden and unknown costs when buying real estate in Germany

• Additional Costs with Real Estate Purchases in Germany

Special Features Apartment: Excursus

In the case of purchase of an apartment, the purchase contract contains additional elements:

• Basics as in the sales contract (above)
• Apartment number
• Community regulations, costs of maintenance of common property, elevators, etc.
• Co-ownership share, maintenance reserves for common property or investments for renovation
• Special property, further rooms like cellar, attic, garage, balcony, etc.
• Rights of use for common property
• Special rights of use, privileged use such as parking spaces
• Down payments, at New construction (not yet completed)

Our full guide to saving money on the German real estate market with tax optimization can be found here:

• Saving Money – Tax Optimization on German Property Investment

Please note, this article is written with a focus toward the German market, but very similar laws apply everywhere.

Testament – Inherit the assets correctly

Without a testament, the estate will be distributed according to the provisions of the legal succession. However, this is not always in the interest of the testator. If a will exists, the assets can be distributed differently than the law requires and non-blood relatives can also inherit. The making of a will is therefore not only important to regulate the last will and testament exactly, but also to avoid disputes in the family.

• Learn more about: Correctly inherit
• Exemptions and Inheritance Tax

The Content – What can be regulated in a will?

A will overrides the legal succession and can thus determine a new succession. The testator determines who is to take over the inheritance. If several persons are named, the assets are usually divided according to quotas. Writing a will also allows the testator to leave individual items to certain persons, such as a car, jewelry or real estate. However, these are legally not considered as inheritance but as bequest. To avoid disputes about the estate, the estate can be distributed in a will in such a way that no points of contention can arise.

Setting up – the notary helps

Wills can be drawn up with or without a civil law notary. If a will is drawn up without a civil law notary, a few things must be taken into account. The author must be at least 16 years old and “testable”, i.e. in full possession of his mental powers. The testament must be written by hand, because printouts written on the computer are not sufficient as a valid testament. If the will is several pages long, each page should be numbered, stapled together and each page should be dated and signed in a uniform manner. A unique heading, such as “Last Will and Testament” or “My Last Will and Testament” is recommended to make the purpose of the writing clear.

If, however, a will is drawn up with the help of a civil law notary, this means that the testator has verbally recorded his last will and testament with a civil law notary. This is particularly important when real estate is part of the estate, because either a certificate of inheritance or a notarial will is required for transfer to the land register. If a notarial will exists, the heirs are spared the costly and time-consuming inheritance certificate procedure.

Assigning Real Estate in a will – avoiding community of heirs and disputes

If there is no will and a property is part of the estate, it becomes the property of the heirs. In most cases, a community of heirs is then formed in which no one can dispose of the inheritance alone. When such a property is sold, all heirs must agree. This fact can often lead to disputes within the community of heirs. In addition, the costs incurred for a notarial will are usually only half as low as the costs for a certificate of inheritance that the heirs have to pay if no will exists. In a will, the last will and testament can regulate the last will and testament about the real estate in detail and save disputes and unnecessary costs for all parties involved.

Debts in your estate – Protect your private assets

The heir to an estate takes over not only the assets but also the liabilities of the deceased. In general, an heir must reject a debt inheritance within six weeks, otherwise the heir is liable for the debts with his private assets. If it is clear from the outset that it is a debt inheritance, the inheritance can be rejected within the six-week period. If it only becomes apparent later that the estate is burdened with debts, an application for bankruptcy can be filed. The private assets of the heir are thus protected and the debts must only be repaid from the estate.

The traps – What to pay attention to

Particularly when it comes to the question of how best to inherit the estate, mistakes often occur in the correct implementation that limit the last will and testament.

No will

Without a will, the legal succession automatically takes effect. This can lead not only to disputes within the family, but also to the fact that loved ones are left empty-handed

No replacement heir

If the designated heir is already deceased at the time of death, the legal succession takes effect, which is not always in favour of the testator. The nomination of a substitute heir is therefore very important to avoid legal succession.

Non-marital partners

Non-marital partners must be clearly named in the will, as they are left empty-handed according to the legal succession

No children

Childless married couples without a will do not inherit completely to the remaining spouse, but also to parents or siblings. If the spouse is to administer the estate, this must be named exactly.

No clarity

A testament should always clearly state what the last will and testament is. If it is not clear how the estate is to be treated, errors may occur.

Legal succession – this happens without a will

If the deceased leaves children and a spouse, the spouse receives half of the assets according to the legal succession. The other half is divided between the children. If the deceased has no children, the spouse receives 75 percent of the assets and second-order relatives, such as siblings or parents, receive the remaining part of the inheritance.

In general, the spouse always inherits. Apart from this only heirs of one order can inherit, for example the children. If there is a first-order heir, such as a child, no one inherits from the second or third order.

Please also inform yourself about the topic: compulsory part in the inheritance!

Statistics: Inheritance in Germany

Here you can see inheritances and donations in Germany. The survey ranges from 2008 to 2018 and shows that over 110,000 inheritances are distributed annually. Great potential for dispute if the community of heirs does not agree.

You can find more statistics at Statista

How much money is inherited?

Since 2014, Hamburg in particular has been the leader in Germany. Hamburg is currently at the top with 167.80 euros. In no other city is so much inherited. With a population share of 2.19% of total Germany (1.82 million of 82.79 million), a total volume of 305,731,600 Euro is inherited annually.

• Population share Hamburg 2.19%
• Inheritance in Germany (comparison year) 109,635; statistically 2,401 inheritances in Hamburg
• Total inheritance (Hamburg / year) 305,731,600 Euro

Sell your inheritance? House prices in Germany

Here you can see the cities with the highest prices per square meter for condominiums in a comparison of 2010 and 2018* (in euros per square meter).

1. 1. Munich (Bavaria) with 8,342 euros per square meter; from 6,737 euros per square meter in 2014; increase of 1,695 euros per square meter in 4 years
   2. Stuttgart (Baden-Württemberg) with 5,925 euros per square meter; from 4744 euros per sqm in 2014; increase of 1,181 euros per sqm
   3. Frankfurt am Main (Hesse) with 6,060 euros per square meter; from 4,373 euros per square meter in 2014; increase of 1,687 euros per square meter
   4. Freiburg im Breisgau (Bavaria) with 4,943 euros per square meter; from 4,740 euros per square meter in 2014; increase 203 euros per square meter in 2014; increase 203 euros per square meter in 2014

1. Ingolstadt (Bavaria) with 4,969 euros per square meter; from 4,287 euros per sqm in 2014; increase 682 euros per sqm

You can find more facts and figures on this topic at: Statistics Heritage.

The most important questions: Will and correct inheritance

In order to avoid family disputes and ignorance about the estate, it is important to settle the inheritance during your lifetime. Our experts have answered all important questions on this subject for you.

When is a donation tax-free?

Parents can give their children something from their inheritance and this is tax free. This possibility facilitates the inheritance taxes that are due on the inheritance. Parents may give their children a tax-free gift of 500,000 euros, while the amount is limited to 20,000 euros. .

Can I sign over my child to my house?

If you would like your child, or one of your children to receive your property, you can sign over the property while you are still alive. However, this is considered a gift, which is why your descendant will own ten percent of the property with every year you live after the gift.

How is an inheritance divided without a will?

Without a will, the inheritance is distributed according to the legal succession. In the first place, this succession takes into account the spouses and children. Other relatives are usually not taken into account.

What does the transfer of a house cost?

The cost of transferring a house depends on the value of the property. As a rule, the value is determined by the comparative value method.

Is a donation taxable?

A gift is taxed in the same way as an inheritance, but the same tax allowances apply to gifts as to inheritance.

What is meant by a gift?

A gift is a donation by which someone enriches someone else from his or her assets without demanding a monetary contribution.

Sell land: drain

In all areas, the location is what counts most, not only when selling your developed or undeveloped property. With sale of an apartment, sale of a house but also when you sell your multi-family house, the location is a central valuation factor for the selling price of your property. Selling privately or “free of charge” and without an agent carries risks and makes the sale as well as the entire transaction (valuation until notary and contract of sale) prone to errors. Selling real estate needs a good network of buyers, often real estate is not presented publicly, but only internally as off market property.

When selling a property, similar questions arise as with a house sale. However, there are also some other points worth mentioning here. With a property it is to be paid attention to whether it concerns building land or building valuation land. In the latter case, the land must first be developed by the respective municipality. Only when there are connections for water, gas, electricity and sewerage, may construction work be done on the property. Building plots are usually more valuable than building land.

A professional exposé and meaningful pictures are the basis for selling a property. By listing the data and photos you establish the first contact to prospective buyers and lay the foundation for requests for viewings. If your description does not contain enough information or if the pictures leave questions unanswered, the interest will be lost or you will have to expect a large amount of individual questions.

Procedure in short form: Pictures until credit check

Another important point is the sales-related documents. Procuring them costs a lot of time, money and nerves. But without the important documents you cannot offer your property, so you cannot leave this part of the organizational tasks out. To simplify the sale and to offer your house with all relevant documents, it is worthwhile to engage an estate agent.

If your property attracts interest, potential clients will be waiting for a quick response and assume that you can be reached by phone and online.

With your assignment to real estate agents, you transfer all tasks from preparation to the sales phase to the conclusion of the contract to an expert who will take care of the brokerage of your property and who will find a suitable buyer for your property.

Foreword – Free tip? Yes!

All my tips in this guide are free of charge for you. As real estate agents we mediate properties starting from 1 million euro Verkerhswert, under the category luxury real estates. We are happy to give you tips and tricks for your sale, free of charge, explained in detail and step by step. Also pay attention to our links, here you will find more detailed information on the individual topics. Should you wish to sell your property with us: Do you know what our unbeatable advantage is? We independently reach more than 250,000 readers per month, which means 3 million people per year. We are independent from common real estate portals and reach a solvent, special target group. In addition, we offer internal buyer groups and investors in our Off Market area, to whom you have no access via usual offers. Read more here: Real estate agents.

Sell land: Built-up & undeveloped

Just like the sale of a house, the value of the land is also determined. As a rule, the municipalities determine the so-called standard land values every two years, which have resulted from the sales of other plots of land. However, these standard land values are not binding for the sale. The location and transport connections of the land also play an important role in pricing. Building plots in sought-after residential areas achieve higher prices. Also those plots of land that are oriented to the south have a higher sales value. Then you have to find a buyer. Nowadays, this usually happens online.

Basic questions when selling

Before going deeper into the subject matter, laws and the like, we first deal with more general questions: How much tax is payable on the sale of real estate? What do you need to sell land? Is it possible to sell land without a notary? Is the sale of land taxable?

Let’s start with potential buyers or interested parties. In the end, they finally decide whether to refuse, accept or even outbid a purchase price.

Checklist: What do buyers want?

When searching for a suitable prospective customer, the following aspects can be taken into account:

• Type of land
• Use possibilities
• Plot size
• Inclination of the property >/li>
• Urban or rural location
• Transport connections

Use options: Building land, field or forest land

The nature of the property also determines its possible uses. Is it building land, agricultural land or forest land. The size of the land is usually given in square meters. In the case of large agricultural areas, hectare specifications are common. The slope of the land is meant by the gradient of the land. This is especially the case with slopes.

Plots of land located in cities offer different possibilities of use than plots of land in rural areas. This is especially true for the type of development. In addition, transport connections also play an important role. It is of primary importance mainly for building sites or commercial properties.

Arable land or built-up area in the city center:

Visualization: new construction project after sale.

Checklist: Prepare land sale

Selling a property in the hectic of everyday life is quite demanding: planning and thoughts as well as discussions, as you will see in the next two checklists for preparation in house selling.

Owner questions before the sale

Time expenditure, appointments, creditworthiness and inspection. As a real estate agent, you know how much work is involved in selling a property.

Here it is particularly about experience in real estate trade, in order to avoid risks and errors in the house sale in the apron.

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The company is also actively involved in marketing the land. The right platform must be found or not, keyword off market real estate. In addition there is the time planning for the sales, from preparation over advertisements, photos, portals, answering prospective customer inquiries, date arrangement for inspection, examination of the soil quality of the potenziellen buyers or investors, purchase price negotiations, sales contract, taxes and much more besides.

9 simple steps for selling a house:

1. How well do you personally know about the sale of houses?
2. Have you sold a house before?
3. Can you create a meaningful advertisement (online and print)?
4. How do you rate your negotiating skills in local pairings?
5. Would you like to let any unknown person into your property?
6. Do you want everyone to know about your sales intentions? Tip: Our Off Market Real Estate
7. Are you ready to deal with the legal requirements necessary for the sale of the house?
8. Are you willing to take over the time and work involved in marketing your house yourself?

Tip! Buyer network and investors

One reason why many decide to use a real estate agent is, besides risk minimization, the buyer network. Particularly with properties, we recommend that you market your property not only regionally!

Real estate investors are looking for interesting objects, including in particular plots in sought-after locations, but also in locations with development potential.

Negotiations will be more intensive, but the profit from the sale of your property can increase accordingly, worthwhile.

What is my property worth?

This question is at the very beginning. To publish an offer, you need a price for the land. But determining the offer price is not that easy. In addition to the basic material value of the property (if your property is developed), other factors are also included in the selling price.

The market value determination as the foundation of the sale

In this respect, a valuation is the focus and lays the foundation for a price that corresponds to the object, the storage-relevant information and the infrastructural embedding.

Based on the determined market value, you can rule out the possibility of overvaluing the property or advertising it at a price that is below the real value.

Due to the rising real estate prices, you should have the valuation carried out directly before the sale and refer to information on the market value that is not known to you and that dates back several years.

Smooth processing of the property sale

Your advertisement is published and generates interest. Now the sale of the property enters a phase in which perfect organization and scheduling become important. Viewings must be planned, timed with you and the prospective buyers, carried out and evaluated.

If an applicant expresses serious interest, the real estate agent checks his creditworthiness and obtains the self-disclosure including a confirmation of financing. By checking the financial background of potential buyers at an early stage, it can be ruled out that problems will arise shortly before the contract is signed.

Tip! Sell Off Market (not public)

Off Market means that your property sale will never be publicly visible. Your property will only be recommended to an internal, solvent group of buyers with an ideal constellation. Off market sales are especially claimed by prominent persons who want to keep the sale as well as address, photos and much more secret. Also private persons fall back on the service, for example if the family should not know anything about the upcoming sale or the neighbourhood. For such a discreet, off market sale you need a renowned real estate agent with a good network. Your advantage: Nobody will know about the sale.

• Sell Off Market

Valuation: Realistic prices increase the revenue

There are many questions to answer, the best answer is to have an expert at your side for the real estate valuation.

Which price is appropriate and realistic for your property, with or without real estate? If the purchase is not too long ago, the purchase price at that time can be a first indication. Comparable properties from the online offers of the regions can also provide a vague estimate.
If the value is too high, the property can “burn”, because it remains too long on the market and something seems to be wrong with the property.

Often the price is lowered, which means that the actual revenue potential of the land is lost – you are missing out on good money. This is also confirmed by a study conducted by the savings banks in cooperation with FlowFact AG and the IIB Dr. Hettenbach Institute. The study found a connection between marketing duration, sales price and marketing price. The study confirmed that the proceeds are greater and the marketing duration shorter if one relies on a realistic estimate when evaluating the property.

Thus, the professional assessment by experts of the market value of the property is highly recommended for a smooth sales process.

• Valuation by appraisers or experts (real estate agents)
• Revenue potential loses through price reduction, with too long insertion

Market value, mortgage lending value and real value

Different property values are used as the basis for valuation. The most important are the market value, the mortgage lending value and the real value. In principle, the market value, also known as the market value, is determined in a property valuation or real estate valuation.

Frequently used methods for determining the value are taken into account:

• Objective value
• Loan value
• Unit value
• Ground standard value
• Soil value

What valuation method for my object? Property + real estate

Three standardized methods are permitted for determining the value of the property by experts and appraisers: comparative value method, real value method and capitalized earnings value method. Which method makes sense when depends on the property. If it is a property, different valuation methods are used than for a building. Different valuation methods are also used for owner-occupied and rented properties. In the case of objects in compulsory auction, the value appraisals of the real estate can be viewed at the responsible local courts – often online. In this case, the owner’s consent is not required and any interested party can view such an appraisal free of charge.

Property Value Ordinance (ImmoWertV)

Until 1988, real estate valuation was based on the German Valuation Ordinance (WertV). In 2010, this was replaced by the German Real Estate Value Ordinance (ImmoWertV). The new law is intended to standardize valuation once again. With the adoption of the new regulation, the legislator also had foreign investors in mind. The ImmoWertV regulates binding terms and procedures for privately commissioned and publicly appointed experts. It is also binding for expert committees for real estate valuation.

The ImmoWertV distinguishes between the:

• Valuation of real estate and the
• Value determination of buildings

Good reasons for an evaluation by experts

If the property value is of interest, the market value must be determined. If the property is to be sold, if a divorce is pending or if inheritance matters are involved, the market value of the land is taken as a basis. The market value is also the basis for the value to be negotiated when granting loans and other forms of asset distribution. In case of a division of real estate assets (divorce, community of heirs) a price range is unsuitable. For this reason, a concrete sum must be stated when valuing real estate within the framework of market value assessments. This market value refers to the date determined in the expert opinion.

In the case of a sale of land, the precise value is less decisive and often the determined value of the land is quantified with a price range. When selling land and buildings, the regional market and supply and demand play an important role. Depending on the sales strategy, the comparative or market value determined is used differently. A basic distinction is made between sales at a fixed price and sales of land by means of a bidding process. The “perceived value” of the property should never be included in the marketing basis. If the selling price is higher than the market value, the buyer has to provide much higher equity than necessary.

Valuation of developed and undeveloped land

With the comparative value of the IPV, an offer price can be determined more precisely. In contrast to the comparative value, which is compiled by the real estate agent, the market value is the exact price that a property can probably achieve on a certain key date. What is included in the market value is regulated in the Building Code (BauGB). In order to determine the market value of a property, the location, condition, equipment (in the developed state), but also legal circumstances are taken into account. The term market value is used synonymously.

In a property valuation, the land value is determined. The determination of land value is based on the comparative value method and the use of suitable standard land values. In accordance with the German Federal Building Code (BauGB), expert committees must be formed to calculate the land values. These expert committees are composed of independent experts as well as an employee of the tax authorities.

• Tips & details: valuate property

The value of the building site

For the evaluation of building plots, the standard soil values provide a point of reference. The standard values indicate how much a square meter of space in a certain location costs on average. Concrete characteristics of the property are not included in the standard land values. Since only an average of the regional location is used for evaluation, the standard land values can deviate greatly from the actual value of the property.

In order to determine the value of the building site, it is necessary to inspect the extract from the land register. This excerpt, which is available from the land registry, contains all entries in the land register for the property and corresponds to a history of the property. However, only the seller is entitled to request the extract from the land register. The extract from the land register ensures that the seller has corresponding rights to the property and is actually allowed to sell it. If several entitled persons are registered, they can only sell their respective shares. Existing restrictions regarding the use of the land are also entered in the land register extract (e.g. land can only be built on for residential purposes). For buyers and sellers, the land register excerpt is indispensable for the valuation, division or sale of the land or property.

Another important point in the valuation is the location of the land or property. Criteria for the valuation are:

• The macro location, i.e. the region or the city district
• The microlocation, the immediate neighborhood of the property

The evaluation takes into account, for example, the neighborhood’s social milieu and its infrastructure. Even if good transport connections to shopping, school and industrial areas are not planned until the future, this can already have an impact on the property valuation.

Property valuation in the focus of investors

In addition to the standard valuation, the profitability of a plot of land or a property is of particular interest to investors. The profitability of a property refers to its development in future years. Since the boundary parameters of a property and the valuation made on a reporting date can change at short notice, only an estimate of the expected profitability is possible. The “location” factor also receives special weighting in this estimate. In a study, “Die Welt” (German newspaper) has taken into account the development of the macro locations of all German districts until 2030. A further focus of future performance is the “renovation backlog”, provided that above-average maintenance measures are expected. If the marketing of your property is to be aimed particularly at investors, further criteria are required to assess the investment offer. In addition, the form and framework of the financing are also important for investors in a property valuation. In addition, the reputation of the project developer is also important.

Taxes on land sale: Overview

Taxes are payable on every sale. Of course this also applies to real estate.

Acquisition tax, speculation period, sales tax, trade tax

Since 2012, taxes of 25 % are due on the sale of land. This applies to the profit made from the sale of a property. In principle, a speculation period of ten years also applies here. The profit is calculated as the difference between the acquisition costs and the sales proceeds.

There is no sales tax on the sale of land. Trade tax is only payable by businesses if the purchased property is counted as business assets.

In the case of large plots of land on which no construction projects are possible, a division is also advisable. In some German federal states, however, special official approval is required for the division of a property. The public building authorities or a civil engineer can provide information on this.

Building right: Later development of a property

The building law is the basis for a later development of a property. For this the building authority needs some documents like:

• Marking
• Floor
• Flat piece
• Outline
• Legal charges
• Registered building loads
• Information about adjacent properties

Marking: Real estate cadastre

A markung is a unit of area that can be found in the real estate cadastre of a municipality. The demarcation describes the ownership of a plot of land and is registered in the land register. The term cadastral plot designates an open area, usually an agricultural area.

A parcel of land is an officially surveyed part of an area. An outline sketches the respective plot of land in terms of area.

Grundschuld (former mortgage): Legal encumbrances

The legal encumbrances on real estate include first and foremost the mortgage, the land charge, the annuity charge, the life annuity, the easement, the usufruct and the real charge. The mortgage used to be a common form of loan security. Banks in particular have used these possibilities to secure loans.

In contrast to a mortgage, the land charge is independent of a claim to be secured. The annuity charge is a different type of land charge and secures payments. However, these payments do not repay the debt, but are rather to be considered as interest payments.

Leibrente, usufruct and rights

In the case of the life annuity, a piece of land can be used as collateral. The life annuity as such is a contract under the law of obligations, which can be enforced in given cases. An easement stipulates that a neighbor may use the land or that the land owner may not carry out certain things on his land. This is mainly the case with transit permits or when a building ban is to be registered.

The usufruct regulates the use of the land. The usufruct gives the usufructuary all rights as the land owner. Only a sale is prohibited. Real estate includes all actions to which the owner of the land plot commits himself. A real charge enables a creditor to auction the land.

Building development in settlement:

Large construction site industrial park:

Costs, expiry and land transfer tax

There are also some additional costs that have to be considered when selling land. These include first and foremost the land transfer tax. It is different in the individual federal states. In Hesse the tax rate is currently 6% of the purchase price. In the federal state of Rhineland-Palatinate it is currently 5%.

Land transfer tax at purchase price 500,000 Euro

Source: real estate transfer tax table by Alex Fischer (Germany).

Broker commission and upper limits

In addition, there is the broker commission. The amount of the brokerage fee is not regulated by law in Germany. Usually the buyer usually bears this burden. Sometimes, however, the costs are shared between buyer and seller. The amount of the brokerage fee is regulated differently in the federal states. However, there are upper limits.

In the federal state of Rhineland-Palatinate, the usual brokerage fee is 7.14% and is divided equally between the buyer and the seller. In Hesse, the broker’s commission is 5.95% and is borne exclusively by the buyer.

Costs for the notary public

In addition to these costs, there are also the costs for the notary. The amount of the notary’s fees is uniformly regulated in Germany. The basis for this is the so-called Court and Notarial Costs Act. However, these notarial costs can be lower when purchasing building land.

Whoever acquires a property pays the necessary notary fees. If a building is erected on this property, this circumstance does not constitute a further purchase and does not fall under the obligation to pay notary fees.

Procedure of a notarial act

A notarial certification always follows a certain scheme. For the time being a date is chosen for the notarization. At this appointment, not only the notary but also all contracting parties must be present in person. The notary reads out the purchase contract. Change requests can then still be made. The notary decides whether the desired changes are also possible. Afterwards the purchase contract is officially signed by the contracting parties and the notary.

The notary then ensures that the purchase is recorded in the land register. In addition, the tax office is informed about the purchase, which sends the buyer the land transfer tax assessment. Finally, the notary sends the buyer his fee note.

How does the sale of a property work?

Family house, row house, villa – location

In all ranges above all the situation counts, not only with the sales of your single family house, terraced house, villa & Co. Land sell, house sell in addition, with the multi-family house sell, the situation is a central evaluation factor for the selling price of your real estate. Selling privately or “for free” and without an agent bears risks and makes the sale as well as the whole transaction (valuation up to notary and contract of sale) prone to errors. Selling real estate needs a good network of buyers, often real estate is not presented publicly, but only internally as off market property.

Foreword – Free tips? Yes!

All my tips in this guide are free of charge for you. As real estate brokers, we broker real estate from 1 million Euro sales value under the category luxury real estate. We give you here gladly Tipps and cheat for your sales, free of charge, in detail and step by step explained. Please also pay attention to our links, here you will find more detailed information on the individual topics. Should you wish to sell your property with us: Do you know what our unbeatable advantage is? We independently reach more than 250,000 readers per month, which means 3 million people per year. We are independent from common real estate portals and reach a solvent, special target group. In addition, we offer internal buyer groups and investors in our Off Market area, to whom you have no access via usual offers. Read more here: Real Estate Agents.

Marketing, client base, negotiation, brokerage?!!

The longer one deals with the sale of houses and condominiums, the faster one realizes how complex the matter is. From meaningful renovations in the house before the sales, up to modern marketing in the customer master in addition, by digital media. From the simple search for house sales fast more complex searches become to sell house privately expiration and the realization, which costs private house sales much time, possibly smaller purchase prices brings and naturally risk.

With the sales of real estates, privately or over a real estate agency, many questions arise. From simple topics to the selling price up to more complex tax questions, like:

• Which documents do I need to buy a house?
• What kind of documents do you need to sell an apartment?
• What is the time schedule and duration of the house sale?
• Who pays the notary public at the sale of the house?
• Which documents does the notary need from me?
• Where can I find a private sample contract for my house sale?
• Selling a house without an estate agent – is that possible?

No time? Read more about selling a house quickly here.

Special Advisor? House, apartment, apartment building

Houses are characterized by the fact that they are inhabited only by a family, a couple or a person living alone. They have a garden, which is also owned by the owner. Not all single-family houses are inhabited by their owners. There is also the possibility to rent a family house with a garden. In almost all federal states, single-family houses are very popular as a form of living. The demand on the property market is correspondingly high.

Here are free guides for all frequent cases of sale:

• All tips: Sell a property
• Selling an apartment
• Selling a house
• Selling an apartment house
• Selling a plot of land
• Sell property: Heir
• Selling property: Divorce

Sell real estate: profitable, safe and fast

Once the sales price has been defined and the exposé has been drawn up, we are also happy to receive inquiries from interested parties on your behalf. In addition, we also arrange viewing appointments with the interested parties and carry out the visits. It is important to us that your house is sold according to your ideas and wishes. Once a suitable buyer has been found, we will also be happy to accompany and support you in concluding the purchase contract with the notary and making the entry in the land register.

You have now clearly seen the complexity and scope of a property sale, which is why you should rather avoid a private sale without an estate agent with the necessary knowledge. If you still want to sell without an estate agent, here is our XXL guide to selling a house. For:

• Single-family house
• Apartment house
• Reihenhaus
• Double house
• City villa
• Villa
• Designer house
• Country house
• Half-timbered house
• Building house / Cube
• Mediterranean house

Valuate house: Calculate purchase price

There are many questions to be answered, the best answer is an expert at your side for real estate valuation. The central criterion is often the location. Real estate prices vary regionally, sometimes considerably. Therefore only objects in the proximity may enter into the real estate comparison.

When evaluating a house, aspects of the micro and macro locations are just as important as the immediate location of the property: soundscape, view and lighting conditions interest potential buyers and influence the value of the property and the achievable price.

Before we get deeper into the matter of evaluation of location, building fabric, market value & Co., we first ask 3 basic questions which reach us in consulting discussions with customers:

• How can I value a property?
• Who determines the market value of a property?
• How does the bank value a property?

Fair value is defined as the price that is calculated at a certain point in time according to various criteria and that is realizable for the property in the ordinary course of business.

House sale: basics and procedure

Sell privately – Selling a property successfuly as a beginner is harder than you think. There are many things to consider and many mistakes that can be made. So you should inform yourself about the procedures from the beginning and be sure that you do everything right. You can of course consult an estate agent for support, but this is not always the best choice.

The right advertisement is the be-all and end-all for the self-marketing of a property. But there are also other aspects to consider. If you approach a house sale without help, you should be prepared for a lot of time and self-organization. This process can only be made easier if you have the right expertise on the subject.

Display: Headline, content and attention

There is nothing worse than your ad going under in the crowd. Short, sober descriptions bore potential buyers and are not very inviting. So make sure that the title is already written in a relaxed but serious way. You should use a language that is as rich in images as possible, which arouses emotions and thus attracts attention.

Think about the title that would catch your attention. Particular advantages of your property can be highlighted by formulations such as

‘elegant old building with stucco’ or ‘sunny south terrace’

be highlighted, because you appear enthusiastic and invite the real estate seekers directly. Try to lure the buyer already with the headline on, so that he clicks further on your advertisement.

Once the potential buyer is on your ad, two further factors can convince him or her of the property. The ad text and your pictures. In your text you should explain important key data of the property as well as the criteria of the property.

Among the key data are:

• Number of rooms
• District
• Balcony
• Built-in kitchen
• Floor
• Full bath
• Cellar rooms
• Etc.

Describe the location of the apartment, its advantages and also name the furnishings as precisely as possible. Particularly high-quality equipment, should be listed with manufacturer. This includes kitchen equipment, heating systems but also other objects that will remain in the property. Name in this connection on the costs for the distance payments for existing equipment and brokerage.

Also important is information such as rental price, additional costs and the size of the apartment in square meters. Ask yourself again: ‘What would I want to know about an apartment?’ and describe everything in detail.

• Cost price
• Incidental costs
• Size of the base area
• Size of the living space

Photos: daylight, open space and diversity

But the most important factor are probably the pictures. A buyer naturally wants to see as much of the property as possible to get an idea of whether the object could be something for him.

In order to take great pictures of your property, there are a few things you need to consider. First of all, the rooms should be tidy and clean. Nobody is attracted to pictures of a messy apartment, because potential buyers want to imagine living in the object when they look at the pictures.

You should definitely take the pictures in daylight, so that the rooms can be seen very well and the buyers can estimate how much daylight falls into the rooms. Your cover picture should be the most meaningful and represent the best of the apartment.

The most beautiful room, the roof terrace, the open kitchen or maybe the bay window with a view. The first picture should impress and make the prospective buyer want to see the apartment. Pictures of all rooms and if available the garden/balcony/terrace, an exterior view and above all a floor plan may not be missing in any case.

The floor plan should never be missing, since potential buyers can get an impression of the size of the individual rooms in relation to each other and can see the layout of the rooms better. A video is also possible, although it does not replace the viewing appointment, but gives the prospective buyer a good overview.

Photo tips at a glance:

• Clean and tidy rooms
• Daylight (speaks for bright rooms)
• First image should be the best photo
• Cover all rooms and surfaces
• Floor plan
• Ground plan

Example: House after renovation (increase in value)

Example: Outdoor area and real estate in full screen

Example: Interior with fireplace

Example: Garden with pond

Taxes: 2 years not taxed

Who would like to sell its real estate, must consider also from the fiscal side some. These concerns are divided into an owner-occupied property and a property used by others.

There is a two-year period for owner-occupied real estate. This refers to the notarization date for the purchase and sale of the property at the notary.

Between these two dates, there must be a minimum of two years so that you do not have to pay tax on the profit from the sale.

For real estate used by third parties, a different deadline applies. In this case there must be a whole 10 years between the two dates. But caution is required here, because there are special regulations. Whoever sells more than three pieces of real estate used by third parties within five years is assumed by the tax office to have a commercial intention and the profits from the sales must be taxed and this also applies retroactively if the tax office only recognizes later that the sales are to be attributed to the commercial trade with real estate.

Time and effort: Prepare well

If you simply place an advertisement on the Internet quickly, your chances of a successful sale are rather low. In advance you should prepare yourself well and acquire the necessary expertise. Therefore you should gather information about the regional real estate market in order to be able to estimate in which area your real estate is located. In addition, you should already have all the important documents ready, because prospective buyers want to see them and you are necessary for the further sale of the house. This includes copies of:

• Floor plan and site plan
• Extract from the land register
• Energy Performance Certificate
• Calculation of living space and land

Go through these documents again yourself to answer any questions you may have. Prepare your property for photos and viewings, muck out and clean up.

Assign an agent: Yes or no?

What to look for when choosing a broker and selling without a broker: The decision whether to sell your house with or without a broker has many different aspects.

An estate agent can help you with advice and support, apply his or her expertise, and take work off your hands and help you. However, he will receive a commission that could reduce your profit. So if you decide to sell your house without an agent, you should consider the following points so that you do not make unintentional mistakes.

Although you save the broker’s commission in a private sale, you have additional costs that should not be underestimated, as they can amount to several thousand euros. These include taxes (speculation tax), renovation work, deletion of the land charge in the land register, advertisements and notices, expert opinions (appraisal, energy certificate) or prepayment penalty in case of a prematurely terminated loan.

If you are selling privately, you will find here my list of recommendations for real estate online portals for private sale.

Checklist: Sales process in 12 steps

Checklist house sale: 12 steps for selling houses and apartments. This is how we market your property.

1. Realistic time planning and considered strategy for the sales phase
2. Sale with or without broker?
3. Do you have all the documents for the sale?
4. Is your real estate prepared for sale?
5. Is the sales price you have set realistic?
6. Planning the marketing strategy of the property and placing targeted advertisements
7. Establish contact with interested parties and prepare for questions
8. Prepare for questions and establish contact with interested parties
9. Arrange and carry out viewing appointments and market the property convincingly
10. Sales talks with interested parties as well as creditworthiness check
11. Draw up and prepare the purchase contract for signature
12. Appointment for notarization at the notary and transfer to the new owner

Documents: energy pass, land register and Co.

If you want to sell a house, you must have many documents at hand. The floor plan and the energy performance certificate are only some of them. The presentation of your property is also important, which is why we need beautiful and meaningful photographs for the exposé. Let us help you with the preparation of the exposé and benefit from our experience. An exposé is basically the first impression a potential buyer gets of the property, which is why it is so important.

We know what is important to potential buyers, we see immediately which special features deserve their attention and should be emphasized and which aspects should not be missing in the exposé. Because only if the house is attractively advertised, a buyer will be found. And only if a buyer is found, you can earn money with the property.

Sale price: Determine offer price

Many people base the price on what they once paid for the property and hope to get the value they invested back. However, this can be far below but also far above the current value of the property.

You can have the value of the property estimated or you can use current prices of similar objects as a guide. Crucial for the price is however the current supply-demand situation. So try to wait for the right moment and sell your property so profitably.

Valuation: Location, equipment and the special charm

But how much does the property actually earn you? Valuation is our greatest strength, but it also depends on where your property is located, what type of property it is, how old it is, what quality it has and what condition the fixtures and fittings are in. Unfortunately, it is not always important what you have already invested in renovation and refurbishment or what price you paid when you bought the property, but rather how the demand and supply currently presents itself.

This is exactly why it is almost indispensable to employ experts when selling your own property, who will carry out the valuation using local knowledge and industry expertise, so that you do not earn too little money, but also do not experience too much disappointment.

You already knew? We evaluate and analyze for you free of charge

Did you know? We evaluate and analyze for you free of charge! First of all, it is important to know which basic criteria have an influence on the evaluation of a house or apartment. For the evaluations all conditions are asked in detail. This includes:

1. Object data of the apartment
2. Equipment of the interior
3. Construction condition and facilities
4. Modernization measures
5. Individual object criteria of your apartment
6. City district and local connection (school, supermarket, etc.)

For comparison you will find here different real estate prices in Germany. Focused on the large conurbations of the individual federal states.

Real estate prices: Germany comparison

Real estate prices:

• Berlin
• Düsseldorf
• Frankfurt
• Cologne
• Hamburg
• Hanover
• Munich
• Stuttgart

Marketing of the offer

Putting an online ad online only at a portal reduces your chances of a good sale. You want to reach as large an audience as possible with the ad and should therefore offer it on several platforms.

But not only online portals are a possibility. Newspaper ads can also be effective. However, the classic newspaper market is saying goodbye more and more. If you sell privately, focus especially on real estate online portals for private sale.

Also use your social environment to spread the news of the sale. Maybe the friend of a friend is looking for a property just like yours. Use all possible platforms and thus increase your reach and your chance of a sale.

Observation appointment until contract conclusion

It is always a pleasure to see the exposé that has been prepared arouse interest and the first interested parties move. If the demand is high, this can quickly become stressful for you as a seller, especially if you have a job and private obligations at the same time.

Visit: First impression and simple tips

In addition, we will also carry out the agreed inspections in your interest. Of course we have the same goal as you: to sell your property successfuly and quickly.

No matter whether your real estate agent conducts the inspection alone, or whether you will be present at the inspection or whether you will let us conduct it alone: care and preparation are essential.

Your property should be well cared for so that the prospective buyer gets a good impression of it. A prospective buyer will want to make plans for the furnishings before he or she has even seen the property and will dream of sitting at the dining table with his or her family. If the property is then unkempt or dirty, the interest can quickly be lost.

Conclusion: purchase price, sales contract and credit rating

Once the inspection has been carried out and a number of interested parties have been found, the next step is to find out whether these interested parties are also in a position to buy the property at the desired price. In this case, your real estate agency will take all the necessary steps for you to check the purchasing power of the potential customers.

Once this step has been completed and the ideal buyer has been found, the step to the notary public must be taken.

When selling a house, there are a few rules to be observed to ensure that the sale of the house goes off as quickly and smoothly as possible. Sellers of a tenement house have to clarify certain tax law questions.
Only self-users are excluded from this regulation. In addition, incidental costs for the sale must also be taken into account.

Ancillary purchase costs: land transfer tax, notary costs & Co.

The decision to sell a home is associated with costs, but the buyer bears a large part of these costs. The registration in the land register is in many cases borne by both parties, as are the costs for the estate agent. Take these items into account if you are planning to sell your property. Taxes are not actually payable on the purchase price.
However, if you have inherited the house and wish to sell it before ten years have passed, you may be assessed for inheritance tax. The amount of the tax is based on your relationship to the deceased and your individual tax allowance. It is reduced by the amount you have already claimed under the inheritance.

Ancillary purchase costs in federal states differ

Ancillary purchase costs such as land transfer tax or notary fees vary from state to state.
If a loan for the house has not yet been paid off, it is advisable to negotiate a loan assumption with the seller. If you want to pay off the loan yourself after the sale, in most cases you will have to pay an early repayment fee to the bank. In order to obtain a fair market price, an expert opinion should be consulted.

Improve the appearance of the property

An important part of the sales process is also the presentation of the property. If possible, take pictures of your house from different perspectives. Pay attention to the lighting conditions. If you are not sure whether the photos are of sufficient quality, consult a photographer.

Before you sell your house, you should carry out any necessary repair work. Especially important are those works that will visually enhance your property.

Function of pipes and installations

Of course, all lines and installations should also work perfectly. A need for renovation will in any case reduce the value of your property. Also make sure that the entrance area and the front garden appear in a visually perfect condition.

This is very important for the first impression a prospective buyer gets. Clean out your house carefully. Old furniture should be removed. If you no longer live in the property yourself, it is best to hire a company to do the complete clearing out.

Documents and contracts

Make a list of the necessary tasks before the house sale. This will give you an overview of the things that need to be done to ensure a smooth sale. This includes the following points in the first instance:

1. Floor plans
2. Site plan
3. Extract from the land register
4. Fire insurance certificate
5. An overview of the service charges
6. Listing of all renovation work
7. Photos
8. The current energy certificate
9. The specification of the living space
10. Any existing rental agreements
11. If there are several owners, the indication of the ownership structure
12. A detailed description of the object

Floor plan and site plan

The floor plan shows the individual floors as well as a section through the floors of the house. The floor plan indicates how the house fits into its surroundings and which additional buildings are connected to the main house. These include garages or garden sheds and tool sheds. Before the sale, one should obtain an up-to-date extract from the land register and read through the existing entries thoroughly. Fire insurance is a mandatory document for real estate in Germany. For the buyer it can also be helpful for financing. In this case, the incidental costs include the operating costs such as water, electricity or gas.

Heating system

The type of heating is also decisive. Is it an oil-fired system, an electric heating system or a solid fuel firing system?

Different types of heating also cause different running costs. When listing the recent renovations, you should list everything that has recently been renovated or repaired. This includes mainly sanitary facilities or installations. The building description is optional. If it is still available, please add it to the sales documentation.

The living space calculation could already be available at your financing bank. You must obtain the energy pass and the pictures or have them obtained. An appropriately designed exposé belongs to the object description. For all these matters it is advantageous to consult an estate agent.

• Heating system

Down payment

There are two options for the down payment. One is made before the notarization and one after. However, a house sale is only legally effective when the notarial act is completed.
The buyer could ask for a refund of the deposit paid. A down payment after notarization can be considered in certain cases. If you sell your house and need to live in it for a while, a deposit can be paid in this case. This gives you time and money to prepare your own move. Even if the buyer wants to do some renovation work before moving into the new house, he can ask for a down payment. This gives him the right to do the work in the house.

However, moving in is only allowed after the purchase price has been paid in full.

Rental agreements

A house sale is more difficult and complex even if tenants live in it. Of course, the sale also changes the ownership structure. In principle it applies that a sales contract cannot break the existing renting relations.

In some cases, tenants have a right of first refusal, if this is provided for in the lease. When the house is sold, these tenants must therefore first be informed of this intention. However, a termination of the lease should be considered as a last resort. Terminations are justified if a tenant causes problems. This is usually the case when rent arrears accumulate. In addition, there are a number of points to consider when terminating leases. These are:

• Cancel the tenant for own needs
• Terminate the tenant for economic exploitation
• Termination due to renovation or demolition
• Termination due to serious misconduct of the tenant

An own use termination is possible if the owner wants to move into the rented apartment himself or if his close relatives need this property. However, this personal use can also be reviewed by the tenant in court. The own need must be justified therefore exactly. An advanced own use justifies claims for damages of the tenant. An economic utilization is also present in the case of a sale.

Delay due to existing rental agreements

An existing lease agreement could delay or even prevent a sale. However, this sale must be effectively justified by the owner. You must therefore prove why you absolutely want to sell the property. A termination due to renovation or demolition work must also be justified. This can be the case if the property has to undergo urgent renovation work due to building regulations. Serious tenant misconduct exists if there are constant rent arrears, noise pollution or disturbance of the peace of the house. Then you can easily give notice to the tenant.

The 8 biggest faults

You should pay attention to this – The decision to sell a house is not easy for many, but once it is made, there are 1000 questions at once.

You are inexperienced and not familiar with selling houses, the paperwork and the effort. Often, careless mistakes are made at this point and the topic of selling a house turns out to be a nightmare.

To prevent this scenario, there are some mistakes that you can directly avoid and thus save yourself a lot of stress. Most house sellers are rather inexperienced in this field and do not know where to start. Often a few pictures are taken and put on a real estate portal. However, the homeowners do not know what to expect, what you have to consider and what all is in store for you.

To avoid this uncertainty, the most important thing before selling a house is to inform and seek help from experts in the field.

Broker is directly excluded

Of course, it is also possible to successfuly complete a real estate sale without an estate agent. So before you decide for or against an estate agent, think about what makes the most sense for you in your situation. An estate agent can save you a lot of work and time when selling a property. He also advises you in financial and marketing matters.

So ask yourself the questions:

1. Do I have the time to organize, accompany and complete the entire house sale on my own?
2. Is my level of knowledge and my professional competence really sufficient to successfuly complete the sale without an agent?
3. Can I coordinate the sale alone on the fast moving, regional and targeted real estate market?

You should be aware that a property sale requires a lot of time, organization and expertise. An estate agent will receive a commission for a successful sale, but this can be recorded in an estate agent contract. In addition, the real estate agent will take care of all the work for you, such as the correct advertising of the property, arranging and conducting viewing appointments, the preparation of sales contracts and the presence at the notary appointment. So you have permanently someone competent with sufficient expertise at your side who can advise you in all questions.

Wrong time

The timing of the property sale is directly related to the selling price. So to get the best selling price, there are a few things you should consider. First, you should keep an eye on the property prices in your area for some time before the sale. These also fluctuate and show certain trends. Offer your house at the right time in order not to go down in the competition. But you should also keep an eye on the interest rates. This is the only way to ensure that you sell your house at the best price.

The right time is also important to consider the tax, because there is a so-called speculation tax. This means that the tax expires after ten years on the property. So you will not pay taxes from 2018 on a property you bought before 2008. So it makes sense to sell the property after the ten year period in order to make more profit. It is therefore advisable to keep important legislation and cost aspects of the real estate market in mind in order to achieve the best selling price.

Unprepared for viewing appointments

Potential buyers, are faced with the decision to make a large investment or not. So they want to play it safe and be 100% sure in their decision. So that you conclude the house sale successfuly, you should give potential buyers as much security as possible.

With an inspection date you should be prepared for many questions of the buyers and have a good answer to all of them. Often it is about the condition of the house – how old are the windows / doors? When was the last time renovated and refurbished? What kind of insulation is available? How high are the additional costs? and and and and – be prepared for all these questions and get detailed information about your house right from the start.

Ignorance can unsettle potential buyers or be an excuse to lower the price. Also be open towards appraisers and understand that their buyers only want to play it safe.

Market value is unknown

Every homeowner still knows how much he paid for his house and how much renovation, refurbishment etc. cost. However, it often happens that the value of the property differs from the original purchase price, as property prices are determined by supply and demand. So before you put your property up for sale, you should know the value of this knowledge.

You can have the property value estimated by an appraiser or an estate agent and thus know better what range you can move in the price.

Small defects in the house can reduce the value of the property and be a reason for potential buyers to lower the purchase price. So before selling, consider whether you can have small defects repaired beforehand and thus demand a higher sales price. However, experts or real estate agents can also help you with this decision and estimate whether such an investment is worthwhile.

You are not willing to negotiate

As a seller, you naturally want to sell your property as profitably as possible. However, you are faced with a buyer who is the happiest at the end of the day to make a profit.

Don’t spoil your chances of buying a house by not being willing to negotiate, but meet your buyer. There is only one thing that helps in negotiations and that is good preparation.

You should consider from the outset in which framework you can move and what is the absolute minimum for you. You should also have good arguments to justify your selling price. This includes, for example, a good infrastructure, the location of the house or special advantages of your property. An experienced real estate agent can also help you to prepare for a successful negotiation or even support you on site. Stubbornness can be a major hindrance and can unnecessarily prolong negotiations.

Get together and find a price that both parties are happy with.

Wrong / too few interested parties

Each property is particularly interesting for a certain group of buyers. On the one hand, this is due to the different characteristics of real estate, such as size, location and room layout, but also to the price range in which you move. S

hey must be aware that your property only appeals to a certain group of interested parties. In order to spread your offer as widely as possible and thus reach as many of your interest group as possible, you should publish your expose on many different platforms. These include, for example, real estate portals, newspaper ads, but also social media. Thus you have a larger range and attract more prospective buyers.

Exposé gives wrong impression

The exposé is one of the most important factors in the successful sale of your property. The exposé is the first thing a potential customer sees and should therefore make the perfect first impression.

A bad exposé can ruin even the most beautiful house. What you should definitely pay attention to are good pictures. It helps to have them taken by a photographer, but also self-made pictures can look great. Note that the pictures are taken in daylight and the room is easy to see. In addition, it should be tidy and clean so that the potential buyer immediately feels comfortable and can imagine living there. Take pictures of all rooms and preferably also the floor plan, so that the buyer can get a clear picture of the property. Also pictures of the garden or special features of the house are good.

In the text of your exposé, be honest in any case. Do not give the customer false hopes or exaggerate, because this will only lead to disappointment at the viewing appointment.

Purchase contract not properly checked

The sales contract and the appointment with the notary are the last steps on the way to a successful house sale.

At the notary’s appointment the purchase contract is read out again by the notary and both parties sign it. After this appointment the contract is legally binding and the sale is completed.
If you are unsure, consult a real estate agent in advance who will go through the contract and advise you. You can always make inquiries on the notary appointment itself, but the notary will not advise you. He is only responsible for ensuring that the contract is legally correct.

So to be absolutely sure that there are no hidden uncertainties, it is better to have the contract checked in advance.

Help! 10 broker tips for the sale

All you need to keep in mind – the kids are out of the house and it has become too big and too much work for you?

Maybe you can no longer afford to keep the house financially or you just want to move to another place. All these are reasons to sell your property, but such a sale is not an easy matter and should be well planned and organized. So that you don’t forget anything and are prepared for all eventualities, we have summarized the top 10 tips for selling your property.

Calculate the sales value realistically

The prices for real estate are very different in Germany. This depends above all on the location and size of the property. In rural areas, for example, prices are much lower than directly in a large city. So the best thing to do is to find out about the square meter prices in your area and compare them with prices for similar properties. In case of doubt, consult a consultant who will examine your house and estimate the value for you.

With a broker you have even the least effort. He takes care of the sale of the house from front to back, makes appointments for viewing and arranges the formalities. The real estate agent can, for example, make viewing appointments even when you don’t have time, because this saves you time and your property has a higher chance of being sold quickly. In addition, an estate agent has more expert knowledge than you and can also answer potential buyers’ questions about building fabric, location or technology.

Look at the costs very closely

As a real estate owner you have to consider many things. These include, above all, tax and cost issues. A tenement owner, for example, must pay tax on the profit from the sale of the property if he has owned it for less than ten years. In addition, the ancillary costs of purchase are waiting for him. For owner-occupiers the sale is tax-free, but here too guidelines must be observed and the credit checked. It is best to contact the bank and get direct advice from them.

Be positive towards appraisers

They must be able to understand the thoughts of potential buyers, because they are making a big investment and of course want to make sure that everything is right. Therefore prospective customers often consult experts, who are to take the house under the magnifying glass. Do not be intimidated or threatened by this, although the appraiser comes to your house, he only wants to determine neutrally whether everything is in order. So be open towards appraisers and do not close yourself off, because they would certainly want to do the same as buyers.

Clean out your house

A house in good condition has more chances of being sold quickly than one with many faults. It helps to put in already once a thorough cleaning day, before prospective customers come to the inspection, and naturally the house to clean up. In addition, a small more deeply going Aufhübschprogramm cannot damage, in addition belong small things, like for example the squeaking door to oils or the weeds in the driveway times again most thoroughly to dispose. Nowadays there are even experts who prepare a house specifically for sale.

Show your property in the best light

One of the most important tips to get your property well sold is to take great pictures of it. Good and many photos show the potential buyers your house in the best light and they can make the first impression, because it counts most. Take the pictures in daylight and make sure that all details and the advantages of the house are clearly visible. You can get a professional photographer to help you or try it on your own. It is also often a good idea to take pictures of the property furnished to give buyers a direct insight into what your new home could look like.
This can be more difficult if you are still living in the property, but you should place a container in front of the house in time and get rid of unnecessary ballast. Clean out the cellar, attic, garage and storage rooms and throw away everything that wastes space. But also make sure that there is enough space in the living rooms by storing decorations – like pictures – in boxes. The bedrooms in particular should be nice and airy and have as few private things as possible. The potential buyer should not feel like visiting you, but should be able to directly imagine the new furnishings.

Look at your house from the outside

The first impression is most important and that is what interested parties get from the outside. Before an inspection appointment is due, you should look at your house again from the outside and evaluate it as neutrally as possible. Try to arrange the front garden and the front door as beautiful as possible to leave a cultivated impression. This includes, for example, clearing the children’s toys out of the driveway, sweeping leaves or simply attaching a beautiful wreath to the front door.

Check the solvency of your buyer

You should definitely check the solvency of a potential buyer, because you don’t want to experience unpleasant surprises after the sale of the house. For this purpose, you can ask the buyer to provide a self-disclosure. But a credit check can also give you an insight into whether the buyer could be risky for you. It is best if your buyer can show you the bank’s financing commitment that he has obtained a bank loan to purchase the house. This way you can be very sure that the buyer will not give you any unpleasant surprises.

Keep important documents ready

If you are going to sell your property yourself, you should have all the important documents ready. This is important for a quick and uncomplicated sale. One of the most important documents:

• Official field map
• Extract from the land register
• Floor plans / building plan
• Calculation of living space
• Calculation of the converted space
• Energy Performance Certificate
• Building contract
• Proofs about monument protection regulations
• Leasehold contracts

… for rented properties:

• Copies of rental agreements and proof of rental income
• Settlements of operating costs for the past 3 years
• List of modernizations / renovations
• Handicraft invoices for all major repairs and conversions
• Guarantee certificates
• Invoices and operating instructions for installations such as heating, fireplace or kitchen and of course the maintenance certificates

Individual living: Sales factor own home (negotiation)

The term single-family home is initially used to describe a property inhabited by people with family ties. Unlike a rented or owner-occupied apartment, there are no areas in a single-family house that are shared with other people. An exception are single-family houses with granny apartments. This is a self-contained apartment within the single-family house, which has its own entrance, kitchen and bathroom. However, these apartments are often occupied by family members such as the owner’s parents or children.
This is especially true for detached single-family homes. This form of living is very individual. It offers much space and a large garden. However, the detached single-family home is also the most expensive form of living. The prices for the properties are higher than if you decide to buy an apartment.

Double and row houses

As an alternative to the detached single-family house, there are semi-detached and terraced houses. These forms of living are very popular, especially on the outskirts of large cities and in structurally strong regions. The plots of land are somewhat smaller because they are divided among several parties. The living space is also somewhat smaller. Nevertheless, semi-detached and terraced houses have the advantage over apartments that the building is inhabited alone. Corridors, cellars and entrance areas do not have to be shared with other people.

Individual living: Sales factor

Single-family homes are also considered a very individual form of living. This is especially true if the single-family home is designed by an architect based on the ideas of the future owner. The possibilities of the organization can be realized just as individually with the single family house as the size and the use of the building materials. In addition to the classic variants made of stone and concrete, wood or large-area glazing is used.

Completed real estate: Move in immediately

Very popular are detached houses, which are sold as a completed property. Since the construction of a house requires lengthy planning and costs a lot of time and energy, many customers who would like to live in a single-family house decide to buy one.
The value of the property depends on many different factors and is determined before the sale sometimes quite elaborately. Ultimately, however, the law of supply and demand regulates the determination of the purchase price. This means that in practice you can get more money for a single-family home in need of renovation, which is in a very good location, than for a new property without the need for renovation.

In addition to the detached single-family home, there are semi-detached houses and terraced houses which are cheaper to build or buy, but still enjoy great popularity.

Free-standing single-family house

The free-standing single-family house is characterized by four exterior walls. It is located at some distance from the neighbor and is therefore the form of living with the greatest freedom and individuality. This is especially true if the single-family home is located on a large plot of land and there is no neighbor within sight or hearing distance.

Free-standing single-family homes achieve very high prices when selling real estate compared to other forms of living. This is not only due to the individuality of the form of living. The detached single-family home offers many possibilities to realize your own wishes and ideas of living. This is especially true when the house is owned by the resident.

The detached single-family houses can be divided according to their construction. If you want to sell a detached single-family house, the type of construction has an influence on the pricing. As a rule, you can charge a higher purchase price for an architect’s house than for a prefabricated house.

Architectural house

When building an architect’s house you can best realize your individual ideas. Put your ideas on paper and then commission an architect with a design. You can determine almost all components of the house yourself. Choose the living space, number of rooms, roof design and building materials. The house will be built according to your specifications. The cost of an architect’s house can be twice as high as for a prefabricated house that you choose from the catalog. However, for this you have implemented your individual ideas exactly.

Solid house from the catalog

There are a large number of companies on the market that specialize in the development and marketing of single-family homes. You can choose a model and in many cases make individual adjustments. However, the size of the living space and the load-bearing walls are fixed and cannot be changed.
The solid construction can be realized in different variants. A high quality is achieved with the traditional stone-on-stone construction method. Alternatively, finished concrete elements are used. These can reduce the construction time to a few weeks.

• Solid house

Lightweight single-family houses

Lightweight construction is considered the cheapest and fastest way to build a single-family home. The houses are available in many different variants, and the prices are very reasonable in comparison with the other types of houses. The builder-owner celebrates the topping-out ceremony after only a few days. Lightweight houses have a service life of up to 100 years and their floor plan cannot be changed afterwards.

Free standing houses with granny flat

Detached family homes can be equipped with a granny apartment. These houses have a larger floor space. The granny annexe is already planned during the construction phase. A subsequent integration of the granny annexe is possible if the house has sufficient floor space.

Granny apartments can be planned in the attic, in the basement or on a gable side. It is important that they are self-contained. Both parties live alone and are not dependent on the premises of the other party.

Many granny apartments have their own entrance. This is a necessary feature especially if the granny apartment is to be rented out. Alternatively, the granny apartment can be reached via a separate entrance and stairs or another door.

The living space of a detached single-family home can vary considerably. Small single-storey single-family homes in bungalow construction start with living spaces of 80 to 100 square meters. The average living space is between 120 and 160 square meters. Architectural houses commissioned by wealthy customers can have living spaces of several hundred square meters. House companies offer their models with living spaces of up to 250 square meters.

Double houses

A semi-detached house will be built on a plot of land. The owner acquires a co-ownership share in the property. Alternatively, the property is divided.

The two halves of a semi-detached house are identical in construction. Often the living spaces are arranged mirror-inverted. The average living space is between 100 and 160 square meters.

Semi-detached houses are often equipped with a cellar and have a roof shape under which the attic can be developed. In this way it is possible to extend the living space.

The advantage over the terraced house is that there is a gable side and the garden cannot be reached only through the living room, as is the case with mid-terraced houses. There is also a larger garden, and a garage or carport can be built more easily.

The construction costs and the cost of the plot are significantly lower. However, it must be taken into account that the neighbors live next to each other within hearing distance in a semi-detached house. This is especially true for balconies and terraces, which in a semi-detached house are usually directly next to each other.

• Double house

Terraced houses

Terraced houses are identical to semi-detached houses in terms of their construction. The property is divided among the co-owners or newly surveyed. This reduces the construction costs for house and plot. The architecture of the terraced houses, which are built together, do not differ from each other. Here, too, the outbuildings are often mirror-inverted because this gives a more attractive appearance.

In addition to the problem of proximity to the neighbors, the row house is also affected by the poor accessibility of the garden in the middle houses. The path leads through the living room or, if possible, around the entire row of houses. In addition, the middle houses have two neighbors within hearing distance.

Basement or utility room

The heating system, the boiler for the hot water preparation and all connections necessary for the supply of the house can be installed in the cellar or in the utility room. The cellar has several advantages. It increases the available living space and offers many possibilities for individual use. These include the extension of the living space or the creation of a room for the practice of hobbies. The cellar can be equipped with its own access and offer storage space for bicycles or garden tools. It is also possible to furnish an office.

A room in the basement is regularly reserved for housekeeping. Thus the cellar offers many advantages. The disadvantage is the high cost of building a cellar. Very large houses can also have a partial basement. Nevertheless, the additional costs compared to a basement slab are usually in the five-digit range.

If a cellar is not built, a room on the first floor must be set up for all connections and the installation of the heating system. This is a disadvantage, since less living space is available. On the other hand, the costs for building the house are not as high.

When reselling, the cellar always increases the value of a house. If you, as a builder-owner, decide to build a cellar, this is definitely considered a worthwhile financial investment.

Garage, carport and outbuilding

Single-family houses are often extended by a carport or a garage for parking the vehicles. The outbuildings can be extended with rooms for garden tools or bicycles. Older single-family houses are often connected to outbuildings that were used as utility rooms in earlier times. These buildings often have a very good solid structure and can be used in many different ways. They increase the value of the property when sold, especially if they are in a good or very good refurbished condition.

• Carport

Garden: Nature and recreation in your own home

Each family home has a garden attached to it, which can be very different in size. Older houses often have very large gardens. The reason for this is that the owners were self-catering and grew their own fruit and vegetables in the garden. With newer properties, the gardens are smaller and easier to maintain. This is due to a change in living structures.

Many owners of owner-occupied homes are involved in their work and have to accept further distances than before. A garden, which is very labor-intensive, is no longer desired. Small and low-maintenance gardens serve for recreation and relaxation. They are laid out with lawns or evergreen plants. The areas where fruit and vegetables are grown are much smaller than in earlier times.

In the context of real estate sales, a garden has a value-enhancing effect above all when it is very well maintained and at the same time easy to maintain. The size of the garden should be between 600 and 1,500 square meters if a value-enhancing component is to be achieved.

Sell inherited house

In most cases, the heirs decide on the inheritance. Even if the property is located far from the heir’s place of residence. But in exactly this situation the question arises what to do with the property. If neither inhabiting nor renting the house is an option, the most common consideration is to sell the inherited house.

After a house is inherited, the first step for the heir is to go to the local court. There the certificate of inheritance can be requested. This measure should also be taken if the heir is only claiming the compulsory portion. The certificate of inheritance identifies the heir as the rightful owner of the property.

The certificate of inheritance is issued by the probate court. The competent probate court is always the district court of the last residence under which the deceased was registered.

At the appointment at the probate court, the heir must prove his claim to the inheritance. This can be done through the public will, the inheritance contract or by proving the relationship with the accompanying legal succession.

• Read on: Inherited house for sale

Sell house after divorce

Those who choose to marry and be married, in most cases, have the intention to spend their life with their spouse forever and share everything that belongs to them. Nobody thinks during a marriage about the fact that there might be a divorce one day and that there might even be arguments about belongings. But in 2017 the divorce rate in Germany was over 36 percent, which shows that unfortunately not all marriages last forever. Often fraud, daily life including routine or even financial problems are the reasons for divorce.

• Selling property in case of divorce

Increase in value through conversion ?

An old property can be put to new use by a house conversion. Small rooms can be merged. Alternatively new rooms can be created. By extending the attic or the basement even new square meters can be gained. This opens up many possibilities for the current residents of the house, but can sometimes also be useful if you want to sell your house. Especially for old buildings with small rooms, a conversion can work wonders and attract more buyers. However, conversions involve a lot of effort and a high financial outlay. You should therefore only use it to increase the value of your property if your chances on the real estate market improve noticeably as a result.

• Selling a house and increasing its value